Good time to invest in Aussie property — GM
KOTA KINABALU: The recent Australian currency depreciation indicates that it is now a good time for Malaysians to invest in the country’s property, particularly in Perth, said Kozin Real Estate general manager Peter Ling.
“I think it is a very good time to buy Australian property. Malaysian currency has dropped a lot against all major currencies but the only currency that, in fact, has dropped more than the Malaysian currency is the Australian dollar,” said Ling to the Borneo Post at the company’s Australian property exhibition at The Palace Hotel here yesterday.
“So compared to USD (United State Dollars), (British) pounds, we (Malaysian currency) have dropped so much. However, against the Australian dollar we have appreciated, they have dropped more. It is a very good time to buy, to exchange our currencies to Australian dollars and to invest in Australian property.
“Australian government wanted its currency to drop all this while because their currency has been too strong and it is no good for their economy. They are very much export base, they got a lot minerals, agriculture products. The moment it (Australian currency) dropped, it is helping the Australian economy,” he added.
In addition, Ling said most analysts have predicted that the Perth property scene is anticipated to make a comeback within the next couple of years.
“The Perth property has been quiet for the past two years, and most of the analysts say that Perth property is coming back strongly, at least, within the next year or onwards,” he said.
“The price of property will never come down. Maybe it will be stagnant for a while, after consolidation, the price always goes up because there are no major financial crises in Australia, so far. In fact, Australia was a safe haven during the GFC, global financial crisis, in 2009. That is why the currency in Australia was even higher than US (United States). Banks in Australia have a very strong foundation.
“I am sure there will be another property upswing, especially in Perth. I received the very encouraging report yesterday that Perth Property is about to take off again,” explained Ling.
Ling also advised interested buyers not to play the waiting game when it comes to property.
“You can’t wait. We sell a lot of landed property and the land is always in short supply. So when it comes to property, you don’t wait. The longer you wait the more you pay.
“The good thing is that here today we also give some rental guarantee for people who are worried that the market may not be strong in the next few years. We do give good rental guarantee, so buyers can be assured that their property will be rented out for the next few years after completion,” he assured.
According to Ling, Australian property popularity in Sabah is reflected through Kozin’s 30% Sabah client makeup out of its total client base in Malaysia and Brunei.
“I sell property throughout Malaysia and as far as Brunei. Thirty percent is big. However, being an East Malaysian makes East Malaysia my forte and I have about 60 to 70% of clients from there. About 70% of my buyers are buying property in Perth while the rest are buying in Melbourne. Buyers also buy property in Sydney, Adelaide or Canberra.
“A lot of Sabahans have sent their children to Australia for education especially Perth because Curtin (University) is very popular here. The university is also popular in Sarawak as Curtin has a campus set up in Miri.
“Perth has also been the most popular choice among Sabahans due to the proximity in terms of location. It is the closest to Asia and there is a direct five-hour flight from Sabah. Perth also shares the same time zone with Malaysia,” elaborated Ling, while adding that Melbourne was the next popular spot for education destination amongst Malaysians due to shorter traveling time compared to the United States and United Kingdom.