23 October, 2019

Property Guides

An April 2019 Global Living report released by real estate firm CBRE noted that houses in Kuala Lumpur are among the cheapest compared to 34 other cities worldwide. The report listed Hong Kong and neighbouring Singapore with an average property price of RM5.1 million and RM3.6 million respectively, a stark contrast with the Malaysian capital average of just under half a million ringgit.

Other news sources report that the market has bottomed out with better sentiments returning since property market cooling initiatives have taken place alongside an increased effort to drive affordable housing by the government. There are considerably more reasons to look at new property in KL. Here are our Top 10:

Reason No. 1: Transactions have been decreasing but buying interest is picking up

A May 2019 report by JLL Property Services Sdn Bhd published on the Real Estate and Housing Developers’ Association Malaysia’s (REHDA) website noted that the volume and value of residential transactions in Malaysia experienced year-on-year decline since 2014 but have started picking back up in 2018. This shows the market has bottomed out and purchasing confidence is returning.

Reason No. 2: There are many units of KL Property available

A H1 2019 report released by the Valuation and Property Services Department and published on the National Property Information (NAPIC) website shows an existing stock of some 483 thousand units available in the market with about 14,000 additional new properties in the Kuala Lumpur market, so buyers are spoilt for choice.

KL properties

Photo by chuttersnap

Reason No. 3: Smaller, sexier units are being built

Young urban dwellers may prefer to live in studio or one-bedroom apartments compared to bigger units so that they have more freedom and personal space. Likewise, developers are meeting that demand by building more boutique properties in Kuala Lumpur and its surrounds. The focus is to have swankier shared common spaces (like fitness and health facilities on the rooftop e.g. gyms, pools, meditation lounges, media rooms and multi-purpose halls). Home buyers pay less on their purchase with smaller square-footages.

Reason No. 4: Prices are increasing at a slower pace

The Malaysian House Price Index shows housing price growth is at its slowest since 2001, at 1.1% in Q3 2018 vs a peak of 14.3% in Q4 2012. This is a reflection of weaker demand for property in the higher-priced segments.

Reason No. 5: Government and builders are building more affordable housing

The Government, through the National Affordable Housing Policy or Dasar Perumahan Mampu Milik (DRMM) has pledged to drive more construction of properties within the affordable price range and developers have followed suit. The policy outlines detailed guidelines for developers keen on building affordable homes and includes building standards, key specifications and the ceiling price of affordable homes.

Mah sing property

Photo by Ivan Bandura

Reason No. 6: More home-purchasing programs are available for new property in KL

Starting 1 September 2019, Bank Negara’s RM1 Billion Fund for Affordable Homes – to assist home buyers from the lower income group to finance the purchase of their first homes – have been enhanced to include an expanded eligibility criteria i.e. maximum monthly household income raised to RM4,360 and maximum property price up to RM300,000.

The Home Ownership Campaign has also been extended from 1 July 2019 to 31 December 2019. The campaign entails stamp duty exemptions on Memorandum of Transfer and loan agreements.

In the recent Budget 2020, more assistance have been announced to facilitate home-ownership such as the Rent-To-Own Scheme for first homes worth up to RM500,000 as well as an extension of the Youth Housing Scheme to enable eligible borrowers to obtain full financing and initial assistance on monthly instalments.

Reason No. 7: Liveable KL is getting larger

New property in KL can be found in the more recent, well-planned townships. There are excellent offerings in the KL South, KL North and central KL itself that are well-connected by upgraded expressways and public transportation services.

KL property for sale

Photo by Izuddin Helmi Adnan

Reason No. 8: Residential loans applications are increasing

Comparisons of housing loan applications in H1 each year shows that they are back up on the rise in 2018 and 2019 at RM113 billion and RM126 billion respectively since dropping from RM112 billion in 2013; to RM109 billion in 2014; and RM101 billion in both 2015 and 2016 with approval rates still hovering between 40%-50%.

Reason No. 9: The Housing to Population Ratio remains high

The JLL (REHDA) report states that the number of property for sale in Kuala Lumpur outweighs the number of households in 2018. This means buyers can have their pick of the available KL properties for sale.






Register for blog updates.

m vertica cheras condominium

The Top 6 Best Condominiums in Kuala Lumpur (KL) to Invest in Now

August 11, 2023


Why Property Investment In Malaysia Is Still The Best Kind Of Investment Now

August 11, 2023

Businesswoman Holding Magnifying Glass Over House Model

A Complete Property Inspection Checklist For Your New Home

July 5, 2022


How To Use Step-Up Financing To Get Your Dream Home

August 10, 2022


7 New Mah Sing Launches To Watch Out For In 2022

March 10, 2022

Related Posts

malaysia property investment
New Condos In Selangor: 3 Things You Should Know About Its Growth Prospects
5 October, 2020
Read More
Best tips on maintaining your shoes
12 November, 2019
Read More
house for sale keyword
Houses For Sale: 3 Tips On Refining Your Keyword Searches To Search For Your Dream House
29 June, 2020
Read More

Tell us what your search is today


Admiral (R) Tan Sri Dato' Seri Abu Bakar Bin Abdul Jamal

Chairman/Independent Non-Executive Director




Admiral (R) Tan Sri Dato’ Seri Abu Bakar Bin Abdul Jamal was the 10th Chief and the first four-star Admiral of the Royal Malaysian Navy. Admiral (R) Tan Sri Abu Bakar served the Royal Malaysian Navy for almost 40 years both at the staff and command levels culminating in the highest office of The Chief of Navy from 1998 to 2002.

Admiral (R) Tan Sri Abu Bakar was the former Chairman of Affin Fund Management Berhad and also the former Chairman of several companies covering diverse industries post his retirement including naval and marine, property development, construction and automative. He was also a former Board member of Lembaga Tabung Angkatan Tentera (Armed Forces Fund Board).

In recognition of his services not only to Malaysia but also towards promoting international and regional understanding and peace, Admiral (R) Tan Sri Abu Bakar was bestowed the Panglima Setia Mahkota award carrying the title Tan Sri. In addition, he also received international recognition in the form of the following awards:

  1. Bintang Jalasena Utama by Indonesian President Abdul Rahman Wahid on 28 August 2000
  2. Legion of Merit by United States President Bill Clinton on 6 October 2000
  3. Knight Grand Cross of the Most Noble Order of the Kingdom of Thailand by His Majesty King Bhumibol Adulyadej R on 24 February BE2544 (Gregorian 2001)
  4. Legion d’ Honneur by President of France, Jacques Chirac on 17 June 2001

There is no family relationship between him and any director and/or major shareholder of the Company.