Ferringhi Residence 2 by Mah Sing

Mah Sing Group Bhd is cautiously optimistic about the property prospects in the medium to long term, citing robust demand for properties from the country’s young population.

The impact of the epidemic has had an influence on the property market in Malaysia over the last two years, resulting in a change in consumer patterns and new challenges for property players, it said in a statement on Tuesday.

“The group foresees that the pace of revival can quicken, provided global and domestic economic growth is stable. The overall health of the economy is the most important element that influences the value of real estate.

“Moreover, a better economic outlook is also anticipated in the upcoming months, indicated by the stronger growth of the Leading Index as compared to the previous month. Similarly, a positive business situation is foreseen for the next six months as reported in the Business Tendency Statistics.

“Employment in a variety of industries, including hospitality, airlines, tourism, and corporate, may begin to increase and to some extent, this will help improve purchasing power in the real estate sector,” it said.

Meanwhile, Mah Sing said rental demand is likely to increase next year as a result of the opening of travel borders, with more foreign expatriates, business partners, tourists, and foreign students contributing to the total growth.

“Rental demand in the Klang Valley has grown from -2.9% in the first half of (1H) 2020 to +2.6% in 1H 2021, according to iProperty’s H1 2021 Portal Demand Analytics (Residential Rental Market).

“Many renters in Kuala Lumpur are looking for condominiums and serviced residences sized between 1,000 square feet (sq ft) and 1,200 sq ft and priced from RM1,500-RM2,000. This can be beneficial for house buyers intending to buy a house for investment,” it said.

Ultimately, Mah Sing said the property market looked to be experiencing a revival as Malaysia moves into 2022.

“We will continue to ensure that our products are aligned with market sentiment and meet the pent-up demand for affordable housing.

“The group intends to continue leveraging the strengths of its existing digital market platforms to boost sales by streamlining processes from awareness to payments,” it added.

Source: Bernama