MM2H News: High rental in Singapore means higher property transactions in Johor?
Working in Singapore. Staying in Singapore or JB.
It’s clear that there are many Johoreans work in Singapore. Some of them stay in Singapore, some of them stay in JB and travel there early morning and coming back late evening. Staying there in Singapore means they save time because they could wake up way later than ones who stay in JB. In other words, they can sleep more. However, they will have to pay rental in SGD. In other words, if their main purpose to work in Singapore was to save money, then they are spending a lot of their savings on rental alone. It’s easily SGD800 per month if not higher.
For those who chose to travel daily, they will have to sacrifice some of their time in order to save SGD800 for room rental. Hard to have the best of both worlds except of course one could stay in JB and travel to work in Singapore quickly and easily. Well, no such thing at the moment until Rapid Transit System (RTS) starts. That’s end 2026 though. According to news, if MM2H conditions are eased, coupled with high rental in Singapore, then this will boost the Johor property market.
Article in nst.com.my Johor State Housing and Local Government Committee Chairman Datuk Mohd Jafni Md Shukor said that easing the strict conditions for the My Malaysia Second Home (MM2H) programme and the high rental in Singapore will provide a much-needed boost to the Johor real estate sector. This can resolve issue of unsold properties and review Johor’s housing projects.
He said, “From the first quarter of 2022 to the first quarter of this year, Johor real estate sales has increased by 17 percent, following the doubling of rents in Singapore.”
“We are seeing many who work there and Singapore citizens buying properties here. So, certainly, the easing of the strict MM2H requirements will further revive the real estate sector and help resolve the unsold properties issue as well.” Article in nst.com.my
The catalyst is not likely to be MM2H participants
The catalyst if you ask me is the RTS yeah. The earlier this is completed, the earlier will see demand increases. Relaxation of MM2H stringent requirements is a good secondary factor but it cannot be a catalyst as it will not be Mm2H participants buying up all the unsold units for example. Just need to also note that close to 90 percent of all MM2H applicants are approved yeah. Quite a wow if you are to ask me since so many said that the new MM2H requirements are not possible to fulfill. Here’s that news earlier on the close to 90 percent approval rate. Nearly 90 percent approval rate
We will know once the MM2H requirements are relaxed. Perhaps Datuk Mohd Jafni Md Shukor. Good news to the JB property market if indeed this comes true.
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