It is hard to deny that Malaysia is a naturally beautiful place. With their modern architecture, diverse cultures, unique wildlife and plentiful job opportunities, it really shouldn’t come as a surprise that more and more people are moving to the country. Being the 44th most populous country in the world with over 30 million residents there really are ample opportunities for anyone looking in the right places. That being said, you can’t move to the area without a place to stay. While the real estate market in the Malaysian region might not have been anything to get excited about in 2017, experts suggest that things might be looking up for the years for 2018 and 2019. So, what changes can you expect to see?
Are Things Picking Up In The Year Of 2018?
It seems that this far into the year, things have actually started picking up in the real estate sector. This could be due to the fact that the general election is over and the Malaysian government has promised to make some major changes in the property industry. Last months reports from the Valuation and Property Services Department director revealed that property transactions have improved by four-percent. And, this four-percent came within the first two months of the New Year. It is true that the market is still currently soft and somewhat in shambles, but this is a sign that things are improving.
Experts are hopeful that the market will continue to increase and rise for the foreseeable future, now that the elections are over and out of the way. In fact, some individuals are expecting to see at least another two to three-percent growth this year alone.
More Transparency Now Available
Anyone that was in the real estate market in post general election timeframe will tell you that there wasn’t much transparency in the industry. In fact, things looked grim and no one could tell where the government was headed with its real estate laws and regulations. Thankfully, that is no longer the case. Before and during the elections people just weren’t investing in property, but now that the election is over and all the dust has settled that is changing. Other things are changing as well, as there is no more clarity in the market. This newfound confidence will encourage more and more people to invest in the market.
This especially hurt the housing market industry in the overseas investment sector. It is no secret that most of Malaysia’s property investors are overseas investors and these individuals just do not like uncertainty. No that the uncertainties are over there is likely to a huge rise in overseas investment.
Where Will The Market Go In 2019?
If you ask any reputable developer of Malaysia Properties they will plainly tell you that there is always a period of adjustment and consolidation before prices can get back on track and start rising. Many experts in the sector are estimating that is will be in the year of 2019 when things start to firm back up. Unfortunately, it might even take until 2020 before developers can start stepping up in supply. Regardless, if you are looking to invest or you are just looking to put down roots in Malaysia, now is the time to invest or buy.
You will not only get better rates and cheaper prices, but if you hang onto your property or stocks, you could potentially make a fortune in the future when the market comes back into play. Malaysia is known for their highly liberal policies when it comes to foreign investments and commercial property, so there have always been huge opportunities to earn mass yields.
What Really Caused The Housing Market Drop?
Whether you have been in the Malaysian housing market for years or you just got into it over the past couple of years, it is hard to deny that the housing supply demand shifted from residential to higher-end proprieties. Anyone could clearly see the shift and it really had to do with the fact that developers were able to achieve higher profits in this sector. Affordable housing moderate residential just didn’t bring in the profits that major investors and developers were looking for. This coupled with the pending election could have truly been some of the things that drove the market down.