Press Release: Average New Apartment Price Hits RM582,887; Kuala Lumpur Is Priciest
Asia’s global real estate agent network IQI, which is a member of proptech giant Juwai IQI, today released its first-quarter 2024 Residential Sales Market Report for Malaysia, which is based on the analysis of more than 70,000 residential sales in the subsale and new project markets across Malaysia since 2018. The Report provides a comprehensive analysis of the residential sales market, with a special focus on trends in sales prices and housing affordability.
What Is the Average Sales Price?
Juwai IQI Co-Founder and Group CEO Kashif Ansari summarised the data, saying, “The average subsale sales price across Malaysia in the first quarter of the year was RM521,614 and the new unit price was RM582,887.
“Those average prices are slightly higher than NAPIC’s 2023 house price, which was RM467,144. We believe the difference lies in the mix of property tracked and in the slightly different timeframe.”
Which States Are Most Expensive?
“It is no surprise that Kuala Lumpur has the most expensive property in the country. The average subsale home price in Kuala Lumpur is RM801,557. New homes are somewhat more affordable, with an average price of RM708,462.
“After Kuala Lumpur, the three most expensive states for subsale homes are Kuala Lumpur, Sarawak, Sabah, and Johor.
“The next three most expensive states for new home sales are Johor, Sabah, and Kedah.
Terengganu is the least expensive state for subsale homes, with an average price of RM293,714. After Terengganu, the next least expensive states for subsale homes are Perak, Kedah, and Pahang.
“In the first quarter, Melaka was the least expensive state for new units. The average price of a new unit home in Melaka is RM305,463. After Melaka, the next least expensive states in which to buy a new unit are Pahang, Perak, and Kelantan.
| SUBSALES | PROJECTS | |
| Malaysia | 521,614 | 582,887 |
| Johor | 447,727 | 656,648 |
| Kedah | 323,399 | 483,965 |
| Kelantan | 390,381 | 352,970 |
| Kuala Lumpur | 801,557 | 708,462 |
| Melaka | 367,804 | 305,463 |
| Negeri Sembilan | 364,958 | 478,620 |
| Pahang | 346,144 | 338,690 |
| Perak | 322,256 | 343,028 |
| Sabah | 526,510 | 547,073 |
| Sarawak | 572,680 | 381,566 |
| Terengganu | 293,714 | 432,322 |
Most Transactions Are Affordable
“Most purchases occur in the lower price ranges. Just over half of new unit buyers paid RM500,000 or less in the first quarter. Only about one-quarter of buyers paid more than RM750,000 for their new unit.
“In the subsale market, you see a similar distribution, with nearly half of buyers spending RM500,000 or below.
“It is good news that affordable home buyers can find appealing homes to buy. That means the market is supplying an abundance of housing for medium- and low-income earners.
“The market is well balanced, with ample supply catering to buyers at all price points. What’s the Monthly Expense of a Home Today
“The average interest rate for a new housing loan was 4.2% at the end of the year, according to Bank Negara. We calculated how much a buyer of an RM300,000 home would have to pay every month.
“If a buyer puts down RM30,000 on a RM300,000 home, their monthly mortgage expense would be RM1,228 per month. That makes buying an affordable home significantly cheaper than the average rental, which is RM1,975. Please see our most recent rental report for rental trends: The Malaysia Home Rental Index Report: Q4 2023.
“Buying an affordable home would save you RM747 per month compared to paying the average rent.
“The data on monthly expenses can help buyers understand their financial position when considering the purchase of a home. You need to know your budget when assessing long-term affordability and pay-off amidst fluctuating economic conditions.
“We continue to believe that owning your own home is the shortest route to financial security and independence for most Malaysians.”
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