Prope New Launches and Sale Performance from 2017 until 2021.

(Source: NAPIC PROPERTY MARKET)

According to estate agent of Landsworth Properties Sdn Bhd, Mohd Shah Dolah, 42, the lowest home price was determined by location, as the cheap house was located far from the city center.

“Only 32% of the homes that have been put on the market have been purchased, implying that a large number of unsold units were simply rolled over from 2017 into 2018.

"However, developers continue to release new projects, but approximately 77,000 remain unsold, and the results are unfortunate," he said.

Real Estate Agent at Landsworth Properties Sdn Bhd, Mohd Shah

(Source: Mohd Shah)

He emphasized that in the post-pandemic era, the price of building materials impacts not only the price of the housing market, but also manpower.

“The government also imposed restrictions on the country's entry borders, resulting in a shortage of foreign labor in the industrial sector, and forcing developers to pay higher prices to hire Malaysian labor,” he added. 

A subsale agent of IQI Realty Sdn Bhd, Izzat Sufi Ismail, 28, said that there are situations in which a small number of homeowners wish to sell their homes but are unable to do so because the market price of the house is too high compared to the demand price.

Subsale Agent Estate at IQI Realty Sdn Bhd, Izzat Sufi
(Source: Izzat Sufi)

"I can say that residential areas in Semenyih and Puncak Alam are increasing because the market price can reach RM 50,000 within two years because high-rise houses are easier to mark up than houses on land," he said.

According to Izzat, some developers build premium houses because they have a market segment that is not from the bottom 40% of household income (B40), but rather aim to attract wealthy individuals as tenants.

There are developers who cater specifically to the B40 group, such as Rumah Mampu Milik Wilayah Persekutuan (RUMAWIP) and Rumah Selangorku, for those in the B40 who are looking to purchase a home at a more affordable price.

Market prices for government housing assistance are less than RM300,000, with some as low as RM180,000 and even RM120,000.

According to Nova Persona Sdn Bhd, the master layout plan was approved a year after the company met all New Hillslope Development Standards 2010 compliance guidelines by City Hall's JKKAS panel, which monitors development in environmentally sensitive areas.

"From 2004 to 2022, the developer has invested significant time and money. It took 18 years to design and develop this private land," it said.

"Extensive studies have been done taking into account all stakeholders' views and interests, including giving up 32.13 acres of private land and giving back to the community with a recreational public park. 

"In regard to this development, the developer has satisfied Dewan Bandaraya Kuala Lumpur (DBKL) stringent standards," it added. 

The majority of the B40 group is unprepared to purchase a home and lacks expertise about financial management, particularly loan-related concerns.

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