Excellent
and Continuous Demand for Malaysia Property
Malaysia is one of the major Asian
tiger economies, with consistent recent economic growth far stronger
than that of America and the European
Union. Its economic growth exceeded 8% in each year of
1989–1997.
The current economic downturn in
America and some
of the other western countries is not evident in Asia. Malaysia is buoyed by the wealth of
surplus funds in the region, particularly from wealthy investors
from the Middle East, Malaysia’s compulsory
pension schemes and sovereign investment funds.
Property in
Malaysia is a strong and established market
In the
current uncertain global economic situation in the major markets of
the USA and
UK, retirement planning
for the Malaysian non-welfare state, with its trademark absence of
taxation-funded old-age pension has seen a flight by local investors
into the quality of on-shore real estate investment. Listed property
trusts have operated in Malaysia for the past 20
years, and their strict regulation (they must be sponsored by
financial institutions) has assisted even Malaysians with modest
pension funds to invest in Malaysian real estate.
Housing
development in Malaysia is controlled unlike some
other Asian countries, having been set up in the mid-1970s
development control legislation patterned on the British
Town and
Country Planning Act. This to some extent props up prices,
particularly in the fast-growing urban areas. Its developed legal
system keeps away excesses of developers, which are common in
countries with less -developed legal systems, and the system also
offers a a good degree of protection for consumers.
Why is
the Malaysian market soaring?
The thriving Malaysia
property market is fuelled by continuous economic growth; a
naturally-growing population averaging 1.8% long-term; increasing
migration from country to city; the growth of the state-sponsored
pension fund; expansion of economic activity by nearby Singapore;
and the 10-year-old “Malaysia- My Second Home”
programme.
In what sort of Malaysia
properties do affluent locals wish to live?
The
buy-to-rent market is growing in Malaysia, fuelled by
increasing incomes of a growing well educated and youthful affluent
population class.
Tunisia has seen a launch
of high-end properties all around the country, due to the keen
interest from locals, as well as people from overseas. Developers
believe that demand will remain consistent, and are careful to build
high-end projects in prime locations such as the city centre and
near certain attractions like the formula 1 race track along Sepang
Goldcoast, targeting niche markets.
The properties being
build that we are aware of make the most of the tropical coastline
and some of the new touristic resort developments like The Palm and
Tropical Cluster which are being built as part of Sepang Walk along
the Goldcoast near the Sepang Formula 1 race circuit are very
popular with foreign investors. The Palm was one of the fasting
selling developments we have heard about and was in very high
demand.
