In the first half of 2024, several trends emerged in the Malaysian real estate market. Here are some key topics:
- Price Growth and Rental Increases:
- Property prices were projected to rise by around 9.95%, and rents by about 9.57%, driven by factors such as economic recovery, foreign investments, and urban demand. The economic growth forecast by the World Bank, expected to be around 4.3% in 2024, supported this optimism.
- Affordable Housing Demand:
- A significant portion of real estate transactions focused on affordable housing units, with 51% of homes falling within the RM 100,000 to RM 500,000 price range. The demand for affordable housing remained strong, as more people sought cost-effective housing in urban and suburban areas.
- Sustainability and Smart Infrastructure:
- Green building practices gained momentum in 2024, with a growing number of developers integrating sustainable features into both residential and commercial projects. Smart technologies, such as automated home systems and energy-efficient designs, became a priority for homebuyers looking for modern amenities.
- Industrial and Commercial Real Estate Growth:
- Industrial properties, particularly logistics and data centers, saw increased demand due to the growth of e-commerce and digital economies. The rise of Malaysia as a hub for data centers contributed to the increased interest in commercial real estate investments.
- Mixed-Use Developments:
- The concept of mixed-use developments continued to gain traction, combining residential, retail, and commercial spaces within a single project. These developments became particularly attractive due to their ability to offer convenience and community-focused living environments.
- Foreign Investment:
- The first half of 2024 saw sustained interest from foreign investors, particularly in urban centers like Kuala Lumpur. Favorable policies encouraging foreign ownership, as well as Malaysia’s strategic location and growing economy, attracted attention from overseas buyers.
These topics reflected the evolving dynamics of the Malaysian real estate market, shaped by economic recovery, housing demand, and technological advancements.
