Chinese buyers love to buy properties in Malaysia. What’s next?
Buy to sell to the Chinese buyers (from China)?
A friend asked me if the Chinese investors love Malaysian properties, what does that mean to the property market? Erm… nothing. What can Malaysian investors do in order to capitalise on the interest of Chinese investors? Erm… nothing much. Reason is these Chinese investors are categorised as foreign property buyers. Thus the type of properties they could buy would be easily RM1 million or higher depending on state.
I do not know any friend who’s buying a RM1 million property in order to sell to foreigners yeah. Maybe better and safer to buy something which could be bought by other Malaysian investors instead of buying and waiting for foreign buyers yeah. However, this was the exact piece of news which stated that Penang is now favoured by Chinese investors.
Article in nst.com.my China Communications Construction Group (CCCG) Overseas Real Estate Pte Ltd director Zhang Bao said Chinese companies that are looking to expand and diversify their operations have set their eyes on the northwestern city-state. This is in line with Penang’s aim to become a tech hub with an established electric and electronic (E&E) industry, offering Chinese companies a regulatory framework and talent base for success.
Meanwhile, being Malaysia’s largest urban hub, KL and Selangor have also attracted property buyers from China. A research report from Juwai IQI revealed that many Chinese buyers anticipate Malaysia’s property market to recover and receive rewards for their investments. Malaysia secured a record RM170 billion of Chinese investment in April 2023, potentially contributing 10% of its GDP. “Malaysia is geographically proximate, affordable and offers an appealing lifestyle to buyers from China, especially from the colder north. Article in nst.com.my
Property Investment is about the property, not about foreign buyers
Far too many people read too much about things not too related to their property investment. Foreign buyer interest is one of it. Another one would be overhang property units. Everytime someone tells me about overhang property units, I would ask if they are looking to buy these overhang property units. They said no. They are waiting for all the prices in the property market to drop before they buy. They only want properties in certain area / neighbourhoods.
Unfortunately for them, these popular properties has no overhang and it’s close to impossible due to the demand being far too higher versus the supply of the properties. In fact, prices remain high because no one would sell their properties just because we tell them there is overhang property in the market. They may encourage you to buy those overhang properties instead!
Hope this explains.
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