Malaysia remains a popular location with overseas real estate buyers, according to a local market expert.
Real estate website propertrack.com has recorded an upsurge in both enquiries from and purchases by foreign investors.
Much of the interest in Malaysian property from overseas has been in existing apartments in prime locations, rather than in new developments.
Stephen Hodgson, managing director of propertrack.com’s parent company Asia Move Machine, told the Star there are a wide range of reasons why Malaysia is appealing to buyers from other countries.
Among them are a regulatory regime which makes property ownership simple for foreign nationals and a visa scheme specifically designed to encourage people from overseas to purchase a second home in the country.
The perception that Malaysian real estate remains undervalued has also been important, explained Mr Hodgson, as has recent market performance.
“Neighbouring countries such as Singapore, Vietnam and China have seen house prices fall between 20 per cent and 30 per cent, whereas Malaysia has seen a less dramatic fall,” he added.
Figures compiled by property consultancy Knight Frank back Mr Hodgson’s position, as they show that prime real estate in Kuala Lumpur increased in value by an average of 2.3 per cent during the final quarter of 2008.
Source: Cityscape Intelligent
