Malaysia Redefines Affordable Housing: Quality of Life Now Takes Centre Stage

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The government is reshaping its approach to affordable housing, moving beyond simple price-based measures to prioritise liveability, wellbeing, and human dignity, Housing and Local Government Minister Nga Kor Ming announced.

Speaking in a written reply to the Dewan Rakyat, Nga said the revised framework, to be implemented under the forthcoming National Housing Policy 3.0 (DRN 3.0), recognises that housing affordability is not just about a household’s ability to buy a home, but also whether the property is safe, healthy, and suitable for long-term living.

“The government views housing not merely as a physical structure or supply figure, but as a core element of human wellbeing and dignity,” he stated.

Nga was responding to Datuk Seri Hishamuddin Hussein (BN-Sembrong), who asked if the current definition of affordable housing still reflects the income realities of Malaysians, particularly in urban centres.

Under the new “Humanising Housing” approach, the ministry will place equal emphasis on mental health, safety, access to green spaces, social integration, and proximity to essential amenities. This is seen as especially critical in cities, where rising land and living costs have widened the gap between household incomes and housing needs.

Affordable housing will now be defined and priced more locally, taking into account regional income levels, demand and supply, and specific community characteristics. Nga said this ensures that homes labelled as “affordable” genuinely meet the financial and lifestyle needs of local residents.

The ministry will also consider the long-term impact of housing on market stability and the national economy, while keeping urban sustainability and quality of life at the forefront.

“Homes must support family growth, children’s learning, worker wellbeing, and a dignified life for seniors,” Nga added, highlighting the government’s goal of preventing households from falling into unsustainable debt in pursuit of homeownership.

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