Real Estate & Housing Developers’ Association Malaysia (Rehda) president Soam Heng Choon said sales had moderated in the last year and a half, and the industry is expected to pick up moving forward.
“If the broader economic recovery happens, we anticipate that the industry will improve. With improved employment rates, job stability and salaries, there is bound to be more buyers in the market so developers are more optimistic now,” he said during the media briefing on the Rehda Property Industry Survey for the first half of 2021 and its market outlook on the second half of 2021.
The survey which received feedback from 180 respondents all across Peninsular Malaysia said it hoped herd immunity will help accelerate the property market recovery and at the same time looked forward to campaigns such as the extension of HOC to assist home buyers.
The top three performers by the type of homes were multi-storey terrace homes at 2,312 units, followed by single-storey terraces at 601 units, and apartments or condominiums with 503 units.
“Most are located in Shah Alam and Klang with first-time purchasers being the majority of buyers, mainly for the purpose of self-dwelling, followed by buying for family members and for investment,” Soam said.
He added that a total of 15,076 units are planned to be launched in the second half of this year, of which 9,319 units are strata residential units and 5,549 are landed residential units.
Terengganu, Perak, Kedah, Perlis and Negeri Sembilan plan to launch residential units within the RM250,001 to RM500,000 price range, while Selangor, Kuala Lumpur and Penang are launching residential units within the RM500,001 to RM700,000 price range.
“In terms of price range, the most launched selling prices were those between RM250,001 and RM500,000.
“Most of the new launches were apartments and condominiums with 3,955 units, with the majority of them located in Puchong and Klang. Multi-storey terraces was the second highest with 3,142 units followed by serviced apartments at 1,156 units,” he noted.
Meanwhile, Soam said despite the price of raw materials increasing, it is unlikely to affect housing prices which are expected to normalise in the next few months.
“The increase in the price of raw materials is due to two main things, because of global commodities and the effect on it from the pandemic and, the demand for materials in the country.
“When the lockdown was implemented, factories were not allowed to open but the construction of major infrastructure continued, which caused them to draw from the stockpile, so there has been more demand than supply.
“There needs to be more robust engagement between suppliers and manufacturers. We are an advocate of the free market, but if it goes on for a prolonged time, intervention from the government will be necessary,” he added.