It is the writer's hypothesis that the present housing situation is very bleak and corrective measures and proposals are very much needed to effect the government's objective of creating a home ownership democracy in the country. This dissertation begins with a study of the housing situation in P. Malaysia. In this respect the effective demand and housing needs of the growing population are being analysed. A discussion on the National Housing Policy is also being made. Concurrent with the objectives of this dissertation seperate chapters are promulgated to deal with : a) the causes of the present shortage of housing; b) the problems faced by private developers; and c) the problems faced by house-buyers including a critique on the present housing laws. A review of the performance and impact of the land Speculation Tax Act, 1974 and later the real property Gains Tax Act, 1976 on the real property market is given in Chapter VIII. Chapter IX deals with policies and proposals advocated by the writer to ameliorate the housing problem. Finally Chapter X is devoted to the writer's conclusion in his study of the subject.