Malaysia’s property market experienced a 1.1% YoY increase in transaction value during 1H2023, with Selangor contributing significantly, indicating cautious optimism for the market’s recovery.
KAJANG, 14 Sep 2023 – Cautious optimism surrounds Malaysia’s property market as transaction values in the first half of 2023 (1H2023) showed a slight year-on-year increase of 1.1%, reaching RM85.37 billion. The National Property Information Centre (Napic) reported more than 184,000 transactions during this period.
During the report’s launch, Deputy Finance Minister I Datuk Seri Ahmad Maslan (pictured) commented on the property market’s stability in 1H2023. Despite facing various challenges, such as inflationary pressures that constrained growth, the market remained resilient.
“We are cautiously optimistic about the outlook for the second half [of this year]. The property sector is expected to continue its recovery momentum, in line with economic growth. Initiatives envisaged in Budget 2023 will also help support property market activities, in addition to accommodative policies and implementation of initiatives under the 12th Malaysia Plan,” he stated.
In the residential property segment, there were 114,973 transactions valued at RM44.78 billion in 1H2023. Although this marked a slight contraction of 1% in volume and 1.8% in value compared to the previous year, Kuala Lumpur, Penang, Johor, and Selangor collectively accounted for around 50% of the total transaction volume.
The commercial property segment recorded 17,602 transactions totaling RM16.76 billion, representing a significant increase of 16% in volume and 19.5% in value.
Selangor played a prominent role in contributing to the national market share, accounting for 26.1% of volume (4,590 transactions) and 26.5% of value (RM4.44 billion).
However, the number of new residential property launches saw a substantial decline of 50.2%, with slightly over 16,000 units launched during this period compared to 33,205 units the previous year.
Johor led in the number of new launches, capturing nearly 25.9% (4,286 units) of the total, with a sales performance of 34.5%. Selangor followed with 2,978 units (18% share) and a sales performance of 38.6%, while Penang recorded 1,632 units (9.9% share) and an impressive sales performance of 64%.
