PropertyGuru: Malaysians stay positive on real estate sector post GE14
KUCHING: It appears that even after four and a half months, the spirit of Malaysia Baru continues to resonate among Malaysians, as reflected in the continuing uptick of positive sentiment for the local property sector.
The PropertyGuru Consumer Sentiment Survey, Malaysia’s leading indicator in gauging the pulse of consumers and their appetite for properties has seen consumers express a 42 percent satisfaction rating for the local property sector post General Elections 14 (GE14).
The record high is a marked improvement from just 25 per cent in 2015 and 38 percent in 2H17. The rise in overall positivity comes even as Malaysia continues to face uncertainties attributed to various macro- economic and socio-political issues.
PropertyGuru Malaysia country manager Sheldon Fernandez believes that the rise in sentiment to breach the 40 per cent mark is indeed a reflection of changing perceptions among Malaysians towards the country and thereby the real estate market.
“We have been tracking consumer sentiment for years and the present level of 42 per cent is unprecedented. It doesn’t appear to be a temporary effect or kneejerk reaction. Clearly, more Malaysians are expressing optimism for the property sector and wish to transact.
“People who previously were thinking of relocating overseas have changed their plans or have deferred them. Others who postponed home purchases are beginning to explore both primary and secondary markets again. Even Malaysians abroad are considering returning home,” shared Fernandez.
The rise in positive consumer sentiment is further confirmed by more than half of those polled expressing desire to purchase a property or properties within the next six months. Of these, 37 per cent are looking for homes priced between RM300,000 to RM500,000 while 27 per cent are looking at below RM300,000.
As a whole, 71 per cent believe the property market continues to face oversupply issues – providing ample choice to find good deals from both developers and private owners. “As we have mentioned before, there is a huge pent-up demand for affordable homes and we hope that the new government will address this segment effectively via the National Housing Policy and the upcoming Budget 2019.
“But beyond this, more facilitating polices and measures are needed and greater involvement of all stakeholders, including property developers and consumers towards ensuring that young Malaysians can afford a roof over their heads.
“Malaysia is caught in a unique scenario of oversupply (of properties) in certain segments, but an overall shortage of homes and a growing demand that cannot be met due to affordability issues,” said Fernandez.
He also cautioned that decisive action is needed within the year to leverage on the present optimism expressed by Malaysians.