Homebuyers cry foul, accuse developer of price disparities

CLOEE to 150 homebuyers have demanded answers from a property developer after alleging they were misled into purchasing residential units at full market value, only to later discover similar units were being offered to other buyers at significantly reduced prices under government-backed housing schemes.

The dispute centres on claims that homes initially marketed and sold through the open market were also made available under the Malaysian Civil Servants Housing Programme (PPAM) and the Rumah Selangorku affordable housing initiative at discounts ranging between RM50,000 and RM100,000.

The affected buyers have appointed lawyers Tham Joe Ping and Azri Asyraf Zulkefli of legal firm Tham, Goh and Partner to pursue clarification from the developer and seek an amicable resolution through dialogue and negotiations.

A representative of the buyers, who identified himself only as Iskandar, said many purchasers entered into agreements in 2021 believing the development was being sold exclusively under standard open-market terms.

However, concerns emerged around June last year after buyers allegedly came across social media advertisements promoting units in the same development under the PPAM and Rumah Selangorku schemes.

“That raised serious questions and concerns among buyers because those schemes were never disclosed to us,” Iskandar told reporters during a press conference at the law firm’s office in Seri Kembangan on Sunday.

“As a result, 149 buyers engaged legal representation in June last year and submitted letters of demand to the developer seeking clarification,” he said.

He stressed that the purchasers were seeking a professional and amicable settlement, including direct discussions with the developer to resolve the matter without escalating the dispute further.

Another buyer, identified as Muaz, said the pricing gap had fuelled frustration among purchasers who paid substantially more for what they believed were equivalent units.

“The prices offered to buyers under the other schemes were between RM50,000 and RM100,000 lower than the prices offered to us,” he said.

Lawyer Joe Ping confirmed that several letters of demand had already been sent to the developer through the company’s appointed legal representatives.

In a formal response dated Oct 31 last year, the developer’s lawyers denied allegations of false, misleading or dishonest representations during the sales process.

According to the reply, the developer maintained that the buyers involved were never purchasing units under the PPAM scheme and had instead entered into agreements under open-market arrangements.

“The PPAM scheme is an initiative by the Government of Malaysia. Only eligible civil servants who apply, are screened and approved by the PPAM Unit are permitted to purchase the limited properties offered under the PPAM scheme, and such purchases are subject to specific conditions imposed by the PPAM Unit and the PPAM scheme,” the response stated.

“Therefore, allegations claiming that the project itself is a PPAM project are untrue.”

The developer further argued that it had no authority over approval procedures, eligibility requirements or policy decisions imposed by the PPAM authorities, adding that all transactions were conducted strictly according to the terms and conditions outlined in the sale and purchase agreements signed between both parties. - May 17, 2026