MALAYSIA'S PROPERTY MARKET ON ROAD TO RECOVERY - NGA KOR MING

Malaysia's property market is on the road to recovery, as evidenced by improved volume and value in property transactions last year and steady economic growth, said Housing and Local Government (KPKT) Minister Nga Kor Ming.

He said Malaysia witnessed 399,000 property transactions worth around RM200 billion in 2023, a 2.5% growth in volume and 9.9% in ringgit value, he said in a keynote address in conjunction with Rehda Institute's Regional Housing Conference 2024.

Since the MADANI government came into power, completed unsold properties, commonly known as an overhang, have decreased to less than 24,000 units from 37,066, an improvement of more than 40%.

"We expect steady performance in the property market in 2024. This will help boost our gross domestic product (GDP),” he said, adding that property stocks have appreciated, some by more than 600% in the last 12 months.

Rehda Institute is an independent industrial tink-tank focusing on research and education related to housing. It is the training, education and research arm of the Real Estate And Housing Developers' Association (Rehda) Malaysia.

Nga also witnessed the launch of a report “Affordable Housing II – Closing the Gap: A Strategic Approach to Balancing Supply & Demand” by Rehda Institute.

The minister also said Malaysia has become a magnet for expatriates, with the number of working permits issued by immigration to high-skilled expatriates rising to 154,115 in 2023 against 110,819 in 2022.

He said this 40% rise suggests that the influx of foreign direct investments (FDIs) has created more high-skilled job opportunities.

Meanwhile, on the Housing Integrated Management System (HIMS) launched on Jan 31 this year, Nga said the system is designed to ease how business is done.

This includes applying for developers' licenses, generating electronic sale and purchase agreements, housing project updates and compliance issues.

"Information on licensed housing projects has been seamlessly updated in almost real-time from HIMS to TEDUH (Sistem Bank Data Perumahan) to help purchasers and members of the public to follow up on the project status, from the availability of units/prices to construction status.

"This empowers individuals to make informed decisions, narrow their search and reduce time spent on property hunting," Nga said.