Property Investment 101: Buy when the property launches are MORE or when they PLUNGE?
Some friends, when the property market is hot will say…
Aiyo… not sure whether when will this suddenly drop. Everyone is buying property. Property developers are launching properties every week. Banks are lending and lending and lending. How long can this be continuing because surely price will suddenly drop in the very near future? Or maybe tomorrow or maybe next week?
Many of these friends who are not into property would watch from the sidelines. Thinking and thinking and doubting. Doubting the market, the people, the banks and everyone except not doubting that they could be losing out on potentially good properties too. Remember, even during hot times, there are good properties and not all are overpriced…
Some friends, when the property market’s total transactions are going down will say…
Oh, the market is turning from bad to worse. Many friends are saying the same in their social media. Even property transactions are dropping. People are all running out of the property market. People are no longer buying properties. Surely very soon property prices will be dropping. Better not make any drastic decisions so as not to lose money in the property market.
Latest news? Property new launches dropped 26 percent!
Article in malaymail.com Property launches in Malaysia fell 26 per cent to 12,938 units in the first half of 2025, from 17,404 in the second half of 2024.
Real Estate and Housing Developers’ Association (Rehda) president Datuk Ir Ho Hon Sang said sales also declined to 3,125 units, cutting the take-up rate to 24 per cent from 55 per cent in late 2024.
“Terraced houses, both single-storey and two to three storeys, remained the top sellers, which really shows Malaysians still have a strong preference for landed homes,” he said in a media briefing on Property Industry Survey 1H 2025 and Market Outlook for 2H 2025 & 1H 2026 here today. Full article here: Article in malaymail.com
Wait until property launches increase again?
When new launches are dropping, it could mean developers are selling their existing launches from previously. It could mean they prefer not to launch so many since there are uncertainties. However, if we look at typical property transactions data across many year, the property transactions are usually higher in the final 2 quarters of the year.
This happens in most years. My own thoughts would be that people would usually decide to buy in the early parts of the year but property buying is not like buying vegetable in the market. So, it will take some time to be completed. Viewing, inspecting, asking, checking, applying for loans etc until the actual signing could take months..
Below are the transaction numbers across many years for your reference:
I drew two lines at the Q2 quarter so that you can see Q3 and even Q4 are generally higher.
Buy when more launches or when less launches? My View?
Buy ONLY when you have found the right property to buy. A property which will help you achieve your property investment goal. Even if it’s for own stay, it is still a very worthy goal. Imagine paying rental for 10 years and then realize all that money is actually gone forever…
Buy a property which is not overpriced when you compare it to similar properties. Do not choose by looking at the discount percentage. If the property meets expectations of most people, more often than not, it does need any heavy discount. Plus if there’s heavy discount, do we believe the quality can still be maintained the same? Who will bear this discount and still deliver the same level of quality…? Some discount at the start is common lah, when more people buy, then the discount can be removed. Cannot be discount from Day 1 until the end and the discount kept increasing…
Cheers,
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