Kuala Lumpur: Malaysia’s property industry is likely to see a slight improvement next year, helped by better economic growth, said Second Deputy Finance Minister Datuk Lee Chee Leong (pictured).
Lee said gross domestic product (GDP) is expected to grow by between 4% and 5% next year, which would be slightly better than this year’s estimated growth of 4% to 4.5%.
“As Malaysia is an open economy, we are following global economic movements,” he told reporters after launching the Lavile Condominium, a resort-styled residence here on Saturday.
Lee said with the projection that the country’s GDP would improve next year on the back of increasing commodity prices, such as oil and gas, the property market would also likely to follow suit.
Statistics from the National Property Information Centre showed that from January to September 2016, property transaction value in Kuala Lumpur fell by 19.1% year-on-year to RM2.05 billion.
For the same period, the sector also saw its volume dropped 22.3% to 2,599 units from 3,347 units recorded in the same period last year.
“The residential segment dominates the market, taking up 49.6% of total transaction volume, followed by two- to three-storey terraced houses (13.7%), low-cost flats (11%) and flats (10.9%),” it said.
Earlier, Lee said, it was estimated that at least 941,446 units of strata properties, including condominiums and apartments, would be completed nationwide by year end.
“The number is growing yearly and the trend now is more towards quality living.
“That means discerning buyers are now paying more attention to value-added features like security, privacy, covered parking space, landscape garden and many others,” he said.