Property Market Q1 2021: Covid19 Vaccine Rollout An Important Role

While the current environment of once-again eased restrictions offers room for improvement in Q2 2021, the property market is expected to put in a mixed performance for the duration of the year while pandemic-related uncertainties persist.

With the availability and rolling out of the COVID-19 vaccine throughout the country, the National Property Information Centre expects the property market to experience a boost in the second half of 2021.

Furthermore, consumer sentiment will likely improve in tandem with an increased vaccination rate as the year progresses.

Property Transactions

The total volume as of Q1 2021 was 80,694, with a value of RM 32.12 billion

What to Know About Malaysia’s Covid19 Vaccine Program 2021

Newsletter – Real Estate Market – June 2021 by Juwai IQI

Construction Activity

There were 3 types of development in construction done in Q1 2021 – residential (landed and high rise), service apartments and commercial units (shops).
A total of 17,550 units have been completed, 40,766 have started and 15,181 in the planning.

Malaysian House Price Index

While the average price of the property types (terraced, high rise, semi-detached, detached) has decreased between -0.1% to -0.8%, the numbers are still strong compared to Q4 2020.

What to look forward to in Q2 2021?

The HOC extension in 2021 means that buyers still have access to attractive financing incentives.
The rise of affordable homes priced at RM500,000 and below are expected to dominate the market in the coming months.
The various major infrastructure projects, be it completed or in the progress – the East Klang Valley Expressway, the Rapid Transit System, Kulai Iskandar Data Exchange projects in Johor, the East Coast Rail Link and Pan Borneo Highway in East Malaysia.
The growing tech evolution in the property sector – offering more solutions to the property selection and decision-making process for home seekers.