KUALA LUMPUR, Sept 4 (Bernama) -- Demographic trends are expected to shape Malaysia’s real estate demand through the interplay between the ageing population, urban migration, and household dynamics, according to the Socio-Economic Research Centre (SERC).
The think tank’s executive director, Lee Heng Guie said home ownership in Malaysia is currently at 76.9 per cent, which is relatively high.
However, affordability would continue to be a question, especially for the younger generation, regarding whether they should buy or rent given the rising property prices, he said.
“Malaysia is now focusing on reshoring and friendshoring due to geopolitical tensions, and there will be demand for different asset classes, including commercial spaces such as retail and warehousing.
“Stable interest rates will also be another factor that will influence real estate demand. The rates should remain at least until next year, despite the United States (US) cutting their interest rates,” Lee said at the UEM Sunrise inaugural Real Estate Forum today.
The forum was held in collaboration with CLSA Malaysia, Khazanah Nasional Malaysia Bhd and Advancing Malaysia.
During the panel discussion, JLL Malaysia chief growth officer Christophe Vicic said Malaysia is seeing increased attention and investment from the US and China, driven by geopolitical tensions in Ukraine, Russia, and the Middle East, as well as growing labour costs in China.
He said Malaysia is an attractive investment destination due to its population’s language skills, skilled labour, reliable energy and power resources, and the country’s limited exposure to natural disasters.
“However, we need to think about boosting and gaining more investment from our competing neighbours.
“There is still some work to be done to ensure Malaysia is seen as a natural choice when both internal and external investors consider their investment opportunities,” said Vicic.
-- BERNAMA
BERNAMA provides up-to-date authentic and comprehensive news and information which are disseminated via BERNAMA Wires; www.bernama.com; BERNAMA TV on Astro 502, unifi TV 631 and MYTV 121 channels and BERNAMA Radio on FM93.9 (Klang Valley), FM107.5 (Johor Bahru), FM107.9 (Kota Kinabalu) and FM100.9 (Kuching) frequencies.
Follow us on social media :
Facebook : @bernamaofficial, @bernamatv, @bernamaradio
Twitter : @bernama.com, @BernamaTV, @bernamaradio
Instagram : @bernamaofficial, @bernamatvofficial, @bernamaradioofficial
TikTok : @bernamaofficial
