Advertisements
Skip to content

Kuala Lumpur new condos are now RM700k instead of RM600k last year

Posted in Property, KL / Selangor

Reported in The Star (16 August 2014), Raine & Horne executive director Lim Lian Hong says in Kuala Lumpur, condominium units dominate the residential sector with transactions accounting for 70% of the market. Developers are building even more high rise because this is more lucrative and condo units are now priced at RM700,000 per unit instead of RM600,000 a year ago. Prices of double and 2.5 storey terraced houses are now RM900,000 on average versus RM700,000 last year. These are average numbers and not the absolute numbers.

klI think the above confirms what a friend of mine said 2 years ago. She will only be concentrating on landed properties because it will appreciate much faster moving forward compared to any high-rise units. I told her then that I do agree but I would still stick to my ‘still affordable high-rise’ investment principle instead. Landed properties are indeed better for capital appreciation but rental yield cannot even break-even, just be prepared for some negative returns for a while while waiting for the potential capital appreciation which should happen if you bought at popular areas. Condos may not even have much capital appreciation and if they are old units may require more maintenance but it is still easier to rent out and possibility of a very marginal % return is still possible if you are renting it out fully furnished.

In terms of Selangor, Lim said that it is also slowing down and the volume is concentrated in the RM500,000 to RM1 million range. I think I agree as I had also just bought a unit within that range in Q4 of 2013. Majority of the transactions are within Petaling. If you are in the market you would understand that Petaling is HUGE! From Kelana Jaya to Damansara Utama and all the way till Damansara Damai right next to Sungai Buloh, all these are still within Petaling! The average prices are of course lower compared to KL. It ranges from about RM280,000 a year ago to about RM330,000 for the first quarter of this year. Don’t look at me and said, ‘there’s no such units in Petaling’. Again, this is average. For absolute numbers, trying going online and check it out. I think either PropertyGuru or iProperty or Propwall should have the information you want.

written on 16 Aug 2014

Next suggested article: Average Value of residential properties in KL is RM673K

Advertisements

One Comment

  1. asali
    asali

    Please share which project u bought at last year Q4

    August 25, 2014
    |Reply

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

%d bloggers like this: