Real Estaste Indonesia (REI) supports Bank Indonesia (BI) steps to relax Loan to Value Ratio (LTV). The policy is thought to help boost property growth by up to 10 percent this year.
REI Secretary-General Toto Lusida said, during this time the increase in the property sector occurred in homes for Low Income Communities (MBR). "The increase in MBR houses is doubling, but the upper middle ones are down," he told Republika late Friday, (29/6).
Furthermore, he explains, property growth of six percent last year was largely contributed by home mortgages (mortgages) to MBR. So REI hopes, the property of the upper middle segment in 2018 could grow to 10 percent.
"If the growth is up to 10 percent outside the MBR house, then the MBR house can still grow and not affect the economic crisis," said Toto.
Please note, this LTV easing rule this time is freeing the banks to provide the maximum amount of first home purchase LTV credit score. That way, the bank may require an advance payment amount, even the possibility of a zero percent down payment.
"The down payment is possible, but the down payment will be seen from the debtor's worthiness If the debtor has a permanent job, the bank dares to love the Housing Loan (KPR), but if the debtor's job is not clear, the bank is afraid to go first," he explained.
So according to him, it does not matter. He added that banks should also see the extent to which the ability of developers.
Toto said the property growth inhibitor is not just related to LTV. "During the meeting with the Governor of BI, I have to say, other factors include slow taxation and licensing, which is necessary for action from the government," he said.
He revealed, now REI is negotiating with the government regarding taxes and property licensing. The goal is that, people want to buy property without fear.
"So things beyond this LTV need to be changed as well, however, LTV easing assistance is also very helpful," he said.