Property buyers must understand that real estate is a medium to long-term investment and not one based on speculations. While it is a known fact that property prices do fluctuate over short periods of time, the current prices are now at one of the lowest points. 

“It’s our view that it’s an opportune moment to purchase if you have the need and ability to do so. The longer you wait, the higher the price will be. Then it will be out of reach for many,” said Malaysian Institute of Estate Agents (MIEA) president Chan Ai Cheng.

“It is said that there is never a good or bad time to purchase a property. All it takes is having the sufficient funds to lay the initial capital, secure a loan and have the heart and commitment to see through the payments,” she said.

With the Malaysian economy expected to strengthen between 5.5% and 6.5% as per the Economic Report 2022, it should strengthen the new purchaser’s confidence in the market.

Chan said that buyers could reach out to MIEA members, who are registered estate agents, probationary estate agents and real estate negotiators, to assist them in their endeavour to own a home. 

“When it comes to purchasing a property, it is no longer about generic data or general knowledge. You have to get down to the specific data to determine the right price to enter the market. The reason is that some locations are experiencing price adjustments while others are steadily rising in value. Always allow data to guide your decisions,” she advised. 

A reason for the hike in property prices is due to the increase in material cost, Chan said, adding that MIEA members are already witnessing this in landed residential homes.

According to the Department of Statistics, the Building Materials Cost Index (BCI) has gone up by 0.3% to 3.1% as a result of a rise in construction costs and shortage of labour. 

On a brighter note, she pointed out that those who have bought real estate or are in the process of buying a property can benefit from the value increase. 

She said the 20-year National Property Information Centre (Napic) house price index shows the rising values of property over the years, some with double-digit growth over time.

“Real estate investment cannot be lost or stolen, nor can it be taken away. Purchased with common sense and managed with reasonable care it is the safest investment in the world,” said MIEA president Chan Ai Cheng, sharing Franklin Roosevelt’s famous quote. 

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