PropertyGuru: Buying interest improved in 2H but buying decisions delayed

by BERNAMA/ pic by MUHD AMIN NAHARUL

INTEREST in purchasing a property in the second half (2H) of this year has increased to 53 per cent from 47 per cent in H1 2020, depending on the location, amenities as well as supply and demand, subject to price and market movement, according to a PropertyGuru study.

PropertyGuru Malaysia country manager Sheldon Fernandez said although more Malaysians are citing intention to purchase a property post-COVID-19, potential buyers, mainly investors, are likely to delay their buying decision in the short-term period.

“There are obvious reasons for investors in the new market mainly because the conditions are right for them, which include low interest rates, discounts and stamp duty exemption that they can benefit from the Home Ownership Campaign (HOC) that is ongoing now until 1H 2021,” he told Bernama in a virtual interview.

However, due to the high market uncertainty, particularly in the COVID-19 crisis, some investors are opting a wait-and-see approach to see how see conditions would fare in the near future.

“Thus, although there are opportunities lining up until the 1H of next year (with the HOC timeline running until May 31, 2021), we will likely see a more apparent and stronger indicator in 2021,” said Fernandez.

He said following lessons learnt from COVID-19 lockdown, potential property buyers are now more careful about managing their finances and are accordingly carrying out due diligence.

Findings of the study show that 57 per cent would postpone buying a property in 2021 for own-stay and investment purposes, while 37 per cent would likely consider purchasing within the 2H 2020 period.

Fernandez said in their search for homes, the study also found that Malaysians are more likely to look for features like good air ventilation and the presence of natural lighting (63 per cent) and low project density (61 per cent).

Other key factors also include developer’s reputation and high-speed internet connection, due to the new normal of working from home.

The PropertyGuru Malaysia Consumer Sentiment Study H2 2020 polled 1,010 respondents on property and property-related issues via online questionnaires.

The study’s respondents primarily comprised professionals, managers, executives and businessmen (48 per cent) in the medium- to high-income segment (81 per cent).

The majority of these reside in the Klang Valley (55 per cent), Johor (eight per cent) and Penang (eight per cent), with five per cent distributed in the northern states (Perak, Kedah and Perlis) and East Malaysia (Sabah and Sarawak) respectively.

PropertyGuru Malaysia is the country’s leading property marketplace, with offices in Kuala Lumpur, Penang and Johor.