All charts were provided by Michael Geh , Senior Partner of Raine & Horne and also the Vice-President of FIABCI Malaysian Chapter with numbers from NAPIC. Great news if you are thinking of KL. The average property price in KL has showed a drop instead of staying stagnant like the average property price for Selangor or the slight increase for Penang. Yes, I am talking about the average property prices for KL, Selangor and Penang for Q1 2015 in comparison to Q4 2014. The average property price in KL for Q4 2014 was RM729k and it has dropped to RM714k in Q1 2015. Read here for an earlier report one year ago: Average Value of residential properties in KL is RM673k
So, we can see that the prices are still higher than one year ago but I am hoping that Q2 2015 may see another slight drop. We shall see when the report is out later in the year. Before everyone starts to hope that the prices would continue to drop and drop, I seriously think we must be cognizant of the property market. A continuous drop in property price is NOT considered an awesome thing. Prices must adjust to a good and affordable level but today, prices for secondary remain to be accessible even if many would debate with me on the term affordable.
So, what should be the strategy now? Well if there’s a drop in price, there must be some opportunities which we should try to identify. If you are buying for the first time ever, there’s no such thing as a best time or the worst time. As long as you buy within your means, it meant others can also buy from you in the future. If the prices go down and you are staying in it, you do not lose until you sell. Since you are saving on rental, there’s no need to sell and incur both losses and rental. Haha. However, if prices do move up, the one who is laughing to the bank would be, YOU. Happy thinking of KL properties or perhaps you can also expand a bit to cover Selangor properties. There are even more choices and lower priced too.
written on 10 July 2015
next suggested article: First property? Some considerations.