Malaysia’s government has outlined a new framework for the National Housing Policy 2026-2035 that will determine affordable home prices based on local income and housing demand data.

Deputy Housing Minister Akmal Nasrullah confirmed the approach, signaling a move away from broad national averages toward more granular, region-specific benchmarks.

The policy aims to ensure that affordable housing units are priced within the reach of local households, addressing long-standing concerns about affordability in key urban centers.

The shift in methodology is designed to better align housing supply with actual purchasing power across different states and districts.

By using localized income data, the government intends to prevent the mismatch where homes classified as 'affordable' at a national level remain out of reach for residents in specific high-cost or low-income areas.

This data-driven approach is expected to influence future land allocation and development guidelines for both public and private developers.