Tebrau spans 21,800ha and is the third largest mukim in the district of Johor Bahru.
It is situated on the coast of the Straits of Tebrau between Singapore and Peninsular Malaysia and can be accessed via the Causeway Link route from the Johor Bahru Sentral railway station.
It connects to the Straits of Melaka to the west and the Singapore Strait to the southeast.
Analysis by Property Advisor shows that prior to the Covid-19 pandemic, the property market in Tebrau was faring well.
Transaction volumes in both the high-rise and landed property sectors had increased from the first half of 2018 (1H2018) to 1H2019.
The transaction volume for high-rises spiked 24% while landed property transactions increased 9%.
Median prices, meanwhile, had declined 2% and 1.5% respectively. All in all, last year was a good year to buy property in Tebrau.
However, after the Covid-19 pandemic hit, transaction volumes plunged.
High-rise property transactions dropped 80% while those for landed properties plummeted 86% in 1H2020, compared with 1H2019.
Median prices, however, went in the opposite direction, rising 3% for high-rise properties and 4% for landed.
Broken down into buyer profiles, trends for prices and transactions look slightly different.
From 1H2018 to 1H2019, the transaction volume for both first-home buyers (FHB) and investors declined 19%.
The same goes for median prices. The median price paid by FHB fell 7% while the price for investors dropped 6.5%.
In 1H2020, despite the pandemic, the FHB transaction volume increased 8% while the median price continued to fall by another 2%.
As for the investor market, despite a plunge of 79.5% in transactions, prices increased nearly 2%.
What does the expert say?
Cheston International assistant manager David Ng Wei Ming says Tebrau is an established township with a stable market price.
It is considered a preferred residential area. “Major developers in the region have been steadily developing by phases, with reasonable prices and adequate planning for the future.
“The township of Tebrau will continue to flourish in the coming years. Market values have been appreciating steadily over the years and Tebrau can easily be one of the top townships of Johor Bahru,” he tells Property Advisor.
In an era of unprecedented change, mainly stemming from rapid technological advances, Ng said a good township offers something different to each individual or household.
“The most common aspects taken into consideration are accessibility, liveability, vibrancy and the safety of the township.”
Tebrau is easily accessed, connected to major highways and well-linked to adjoining residential developments.
It also has great shopping facilities, including Aeon Tebrau, Toppen/Ikea, Tesco and other supermarkets.
“There is also a general hospital, a few international and public schools and a good mix of residential and commercial developments, such as shop-offices, as well as light usage workshops,” said Ng.
He said most of the residential developments are gated and guarded as safety is the main concern in any township, and residents place a high premium on security and peace of mind.
“The developer and residents should prioritise safety, working hand-in-hand with the local authority to combat crime.
Examples would be widening the CCTV coverage area, increasing security patrols and improving community infrastructure.”
To become an exemplary township, traffic and accessibility are important factors.
Ng says, “Getting home should not be a problem in terms of traffic congestion or inconvenient road access. Another important factor would be recreational facilities such as parks, an event arena and fitness and sports facilities.”
According to Ng, double-storey houses in gated and guarded communities, priced at RM600,000 to RM800,000, are in high demand, with most launches taken up almost immediately.
“The next bestseller would be double-storey cluster houses priced from RM800,000 to RM1.1 million. We have observed that such transactions are most active in the secondary market within Tebrau,” he added.
However, due to Covid-19, he said secondary market transactions in Tebrau have decreased compared with previous years.
“This is mainly due to current market uncertainties, the tightening of bank loan approvals and other factors. Market values remain stagnant or have dropped slightly [5% to 10%] because of this.”
This article was written by Sharina Ahmad of PropertyAdvisor.my, Malaysia’s most comprehensive source of property data, property analytics and insights.