Abundance of Unsold Houses Yet Property Prices Remain High, Much To The Dismay of Malaysians

It’s no secret that houses in Malaysia are so damn expensive that a large majority of us may never be able to afford one in our lifetimes.

But, what makes this sadder is that there is an abundance of unsold houses.

According to a report by Utusan Malaysia, speculative activities and the premature market are among the 2 main causes of housing prices remaining high despite dumping due to supply exceeding the demand, with 37,000 unsold units worth RM22.79 billion.

Ringgit Oh Ringgit took to their Facebook page to question the current property overhang, considering if there is an oversupply, shouldn’t prices be cheaper?

“Over 37,000 homes couldn’t be sold, but property prices expected to increase by 11.8% in the next 12 months. How does that work? Why does this happen? The article says it is due to ‘speculative activities’ and a ‘premature market'”, they wrote.

Netizens have since taken to Ringgit Oh Ringgit’s post to share their opinions on this matter 

While some shared reasonable explanations as to why property prices are insane…

…others shared their justified disapproval over the ridiculous prices.

The authorities should urge developers to lower the prices of unsold houses, to allow for regular Malaysians to afford to purchase a roof over the heads, instead of allowing these properties to remain desolate.

Stay tuned for more updates. 

Also read: M’sians Are Calling LHDN Out For Double Standards Over Najib & Son’s RM1.7 Billion Overdue Taxes