LBS Bina Group Bhd (LBS) has requested the government to take into account implementing subsidies for raw material costs to lessen the burden brought on by growing prices.

Its executive chairman Tan Sri Lim Hock San said the government should take into account setting a price cap on the cost of raw materials to prevent an astronomical price increase.

Lim said that the recent volatility in raw material pricing has not spared real estate developers or contractors.

"There is a huge responsibility on our part to ensure the delivery of our housing on time to meet the demands of the public. However, contractors are often delayed as they are met with difficulties with managing their costs, thus leading to a knock-on effect on developers," he said.

Property players will be able to manage expenses more effectively if they have stronger control over pricing, he said.

"We hope that Budget 2023 will provide a paradigm shift and deliver an upswing in property sentiment via stimulus packages," he said.

Lim said that LBS is hopeful that the government will announce initiatives that will provide the company an additional boost as it remains focused on completing its projects in light of LBS' 2023 sales target of RM2 billion.

"We look forward to seeing a stronger recovery of the property market in 2023," he said.

According to Lim, the government has the chance in Budget 2023 to help the general population lessen the stress of daily living, which includes homeownership.

He said the establishment of a Unity Government will be able to foster a climate that will draw in more investors, as well as encourage economic growth and improve people's quality of life.

"With this, we look forward to the government's commitment to ensuring the provision of adequate, quality, and affordable housing segments for more people to own their dream homes," Lim said.

Lim said LBS looks forward to the measures which will be announced by the government during Budget 2023.

LBS has several other proposals on its wishlist which it believes are crucial towards revitalising the property sector. They include a revival of the Home Ownership Campaign (HOC), reduction of financing costs, and resolving the foreign worker shortage.

"We request that the government consider the reintroduction of the HOC. The effectiveness of the HOC is widely evidenced during its implementation between 2019-2021. Hence, its reintroduction will help spur demand and further encourage homeownership, providing more options and price points for potential homebuyers," Lim said.

Additionally, he suggested that the government explore cutting mortgage finance rates or providing first-time homeowners with rebates of up to 10 per cent to encourage homeownership, particularly for those in lower-income households.

According to Lim, the rise in interest rates until 2022 has caused an increase in property prices due to an increase in mortgage costs.

"We are hopeful that the government will be able to deliver on their recent plan to allow entry of 500,000 foreign workers from 15 source countries in 2023 to overcome the shortage of labour in various sectors, especially the construction sector," he said.