Minister urges East Java developers to consistently support FLPP subsidised housing scheme
Developers in East Java are showing great enthusiasm in preparing housing for the people, according to the Minister of Housing and Residential Areas (PKP), Maruarar Sirait. The Minister urged housing developers in East Java to continue assisting the government in providing subsidised housing through the Housing Finance Liquidity Facility (FLPP) scheme.
“Developers in East Java are enthusiastic about preparing houses for the people,” said Maruarar, often referred to as Ara, following an inspection of subsidised houses at Lawang Park Residence, Malang Regency, on Wednesday night.
Ara also encouraged the residents of East Java to utilise the FLPP subsidised housing facilities provided by the government to help address the housing ownership backlog. The government has ensured that the FLPP interest rate remains at 5 per cent until the end of the tenor, which can be extended up to 40 years, with down payments starting from just 1 per cent of the house price.
“There is still a significant backlog of people who do not yet own homes. I believe the Deputy Governor of East Java can help drive this, as demand is certainly high,” he added.
Furthermore, he stated that to address the housing backlog in urban areas, the government is providing subsidised vertical housing in the form of low-cost flats (rusun). Meanwhile, to tackle the issue of uninhabitable houses (RTLH), his ministry has introduced the Self-Help Housing Stimulant Assistance (BSPS) programme for low-income communities.
Ara assessed that the FLPP-scheme subsidised houses at Lawang Park Residence possess good quality in terms of construction, water quality, and the area’s drainage system. “The water quality here is good; I have checked the houses and the interiors are excellent, with thick walls and no cracked floors. I also checked with residents, and the area is not prone to flooding,” he said.
A resident of Lawang Park Residence, Yeni, shared that the FLPP programme has been instrumental in helping people obtain affordable housing. Through the FLPP scheme, she was able to purchase a house valued at Rp166 million with a down payment of just Rp1.6 million, with a repayment period of 20 years.
Her property features two bedrooms, a guest room, a bathroom, and a kitchen. “After the process, the BI checking was completed and it was immediately approved; the contract was signed in less than two months. My monthly instalment is Rp1,072,000,” she added.