Connect with us


Expert Says Malaysians Should Make More Babies To Occupy Unsold Homes


- World Of Buzz
Source: MalayMail & EdgeProp

Follow us on Facebook, Youtube, Twitter, and Instagram for the latest stories and updates daily.

It looks like there are still a lot of unsold houses in Malaysia!

According to BH Online, it was reported that residential property prices are expected to decline over the next few years due to the dumping of unsold homes in Malaysia, which are currently valued at RM29.97 billionNow, that is a lot!

House 7

Source: malaymail

House 6

Source: edgeprop

Rahim & Co International’s Director of Strategic Research and Planning, Sulaiman Saheh has stated that the trend is expected to continue until 2021, unless there is an increase in house purchasing rates. 

“I have mentioned this a few years ago – Malaysians, maybe we need to make more babies. Our population is insufficient to keep up with the supply of residential units in the market,” he told the audience at the 12th Malaysian Property Summit 2019 yesterday (February 21), as reported by Edge Markets

Besides the suggestion to increase the population, creating job opportunities among Malaysians is also essential.

Sulaiman cited Iskandar Malaysia as an example of this issue, saying that houses there were built even before people were well secured with adequate job opportunities to move into the area.

He said that the downturn in housing prices began in 2016 at a rate of 1 to 5 per cent, and this depends on certain location factors as well as property value in that particular area. 

Less population and insufficient job opportunities are certainly contributing to lower house purchasing rates but there are other factors in play as well. The buyer’s financial inability, tough times obtaining loans, weaknesses of value-added properties such as lack of transport facilities and good highway networks which are other contributing factors resulting in unsold homes in Malaysia. 

House 3

Source: the mole

Rahim & Co’s Executive Chairman, Tan Sri Dr Abdul Rahim Abdul Rahman had attended the event as well.

Based on a report by the property consulting firm, there were 149,889 transactions worth RM67.74 billion recorded in the first half of 2018. For the third quarter of 2018, the movement slowed down as the number of transactions declined to -0.3 per cent, while the value was -1.4 per cent.

Three years before, the downward trend has shrunk significantly since the first half of 2015 and the first half of 2016 where the percentage drop is as high as 12 to 16 per cent for transaction numbers and values.

 - World Of Buzz

Source: the star

As for 2019, the report indicated that the house purchasing rates made a slight improvement, however, the number is still seen as insignificant. Abdul Rahim pointed out that the property market for this year is expected to remain flat but he expects that it will recover slowly.

He explained that the market is expected to get better as new policies and incentives are introduced which will help target real estate markets such as the National Housing Policy (DRN) 2.0 and property crowdfunding platforms.

“Overall, mixed responses seen in the Malaysian property market show that it is in its adaptation phase with the current economic and political environment.”

“Buyers have a wait-and-see policy and the difficulty for obtaining mortgage loans contribute to the decline in the market while showing an increase in inventory levels.” 

What do you have to say about this? Are there any other reasons for the low house purchasing rates? Let us know in the comments section below!


Also read: Over 80% Unsold Houses in Malaysia Cost Above RM250k & We Still Can’t Afford Them
House 11

Follow us on Facebook, Youtube, Twitter, and Instagram for the latest stories and updates daily.

Just In

My Post 1 72 My Post 1 72
News8 hours ago

WATCH: M’sian Coast Guard Heroically Rescues 5 Fishermen Stranded On A Rock In Rough Seas

Five local fishermen who were stranded on Pulau Batu Berantai in Selangor owing to heavy weather, which was 1.4 nautical...

Jellyfish Stings Boy Jellyfish Stings Boy
News1 day ago

5yo French Boy Dies After Jellyfish Sting In Pangkor Island

The sea is a beautiful place to be when the weather is hot. However, we must never forget that other...

Ft Zahid2 Ft Zahid2
News1 day ago

Zahid Hamidi Shows Support To Najib Following Court Decision, Urges UMNO Fans Not To Lose Hope

On August 16, former Prime Minister Datuk Seri Najib Razak had his application to produce new evidence in his final...

E2451Efb 51Dd 40C9 8Cfc 92B81C2E278A E2451Efb 51Dd 40C9 8Cfc 92B81C2E278A
News1 day ago

Johor To Implement 4-And-A-Half Days Of Work Per Week By Year End?

For many decades, humans around the globe have been working on a 5-day work schedule and it wasn’t until the...

Collage 30 Collage 30
News1 day ago

Super Idol Winner & M’sian Singer Eison Chai Found Dead At Train Station In Taiwan

Death often creeps in unexpectedly. Just yesterday (August 17), a Malaysian pop singer based in Taiwan met his demise after...

Pexels Photo 6578754 Pexels Photo 6578754
News2 days ago

JUST IN: First Human-To-Pet-Dog Transmission Of Monkeypox Has Been Confirmed In France

While the world is still battling Covid-19, the sudden outbreak of monkeypox has caused a lot of stress to people...

My Post 1 66 My Post 1 66
News2 days ago

15yo Girl & 3 Male Friends Arrested After They Were Found At Kedah Motel With Used Condoms

A teenage girl was arrested along with three male friends after a motel they were at in Padang Temusu, Kedah,...

Collage Airport Collage Airport
News2 days ago

KLIA & Langkawi International Airport Named Among World’s Best Airports; Netizens Disagree

KL International Airport (KLIA) and the Langkawi International Airport (LGK) have been listed among the world’s best airports for Q2...


Latest Videos