Good Year Expected For Real Estate Market In 2024 On Strong Market Sentiment - Juwai Iqi

KUALA LUMPUR, Dec 5 (Bernama) -- The year 2024 could be a good one for Malaysia’s real estate market on strong market sentiment among hundreds of real estate agents and negotiators, according to the latest IQI Property Survey and Index - Malaysia Fourth Quarter (4Q) 2023, released today.

Co-founder and group chief executive officer of Juwai IQI, Kashif Ansari said the buy-rent ratio also revealed strong confidence in the real estate market, with 91.1 per cent saying they would advise a friend to buy today, while only 8.9 per cent advise renting. 

The numbers are nearly as lopsided in Kuala Lumpur and Selangor as they are country-wide, with 88.8 per cent for buying versus 11.2 per cent for renting.

"Agents may recommend buying because they expect significant increases in both sales prices and rents in 2024. This optimism might be based on expected economic trends, investment inflows, infrastructure improvements, and demand and supply dynamics.

"The forecast is for a 9.95 per cent increase in residential prices and a 9.57 per cent increase in rents during the next 12 months. Specifically in Kuala Lumpur and Selangor, the industry expects prices to climb by 9.7 per cent and rents by 9.9 per cent," it said in a statement. 

He said the widespread expectation that prices and rents would climb signals the potential for capital appreciation and rental yield growth. 

"That could encourage investors and renters to return to the market and lead to developers launching new projects. We expect to see more demand in 2024, driven by Malaysia's demographic trends, urbanisation, economic growth and changes in housing affordability," said Kashif. 

The survey is based on survey research conducted from Nov 1-22, 2023 with a research panel of 203 real estate agents and negotiators in every state and territory except Perlis.

-- BERNAMA