Property360Digest e-magazine Issue # 9 - 2021
In Q1-2021 , the Malaysian property industry recorded 80,694 transactions ( -11.6 % on the previous quarter , but + 10.7 % on the first quarter of the previous year ), for a total value of RM 36.12 billion ( -5.8 % on Q4-2020 , but + 26.4 % on Q1-2020 ). These figures show an inversion to the recovery trend shown in Q3-2020 and Q4- 2020 , after the deep decline of Q1 and Q2 of the same year . However , the fact that the value of transactions declined less than the volume is telling us that that the average value of transactions is on the rise , probably pointing toward some structural change in the market . The average value of transactions in Q1-2021 was RM 447.600 , or + 6.5 % on Q4-2020 and + 14.1 % on Q1-2020 .
The table on the right shows the details , whereby all the property categories recorded an increase in the average value of transactions when compared with the same quarter of the previous year .
This is happening despite a very moderate price dynamics : the Malaysian House Price Index ( MHPI ) in 2020 recorded a slight growth of 0.6 % when compared to 2019 , the smallest increase in the past 10 years . This confirms what we have said in previous occasions , which is that after the 2012-2013 peak prices were moving toward stabilization . This trend is more likely there to stay for a while , until the next cycle inversion .
Despite this , the average transaction price is on the rise . I believe that the reason needs to be looked for in the regressive nature of the movement restrictions that are plaguing Malaysians since one and a half year . In fact , despite 40 % of new launches in Q1-2021 has been for units priced below RM 300,000 ( and only 0.5 % for units above RM 1 million ), property transactions for the lower price ranges are declining .
Residen tial
Transaction
Volume
Q1- 2020 47,036 Q4- 2020 60,200 Q1- 2021 52,273
Transaction Value ( RM Million ) RM 15,595.59 RM 20,887.43 RM 19,662.57
Industri
RM 3,186.84
RM 3,735.20
RM 3,749.69
Agricult
Develo pment
Others
Total
Q1- |
|
RM |
|
2020 |
5,020 |
5,079.88 |
9 |
Comme |
Q4- |
|
RM |
RM |
rcial |
2020 |
6,485 |
6,100.03 |
940,636.73 |
|
|
|
|
RM |
|
Q1-
RM
1,091,830.9
We have
2021 been servicing 6,099the major
6,659.08 government accounts
4 , large corporates and MNC for more than 16 years .
|
Q1-
How 2020 has Enviro 1,244 benefited Q4- the al property 2020 / building
1,455 sector ?
Q1- 2021 1,459
Enviro Q1- Group has been supporting RM many 2020building 15,127 management
2,560.79 companies Q4- across Malaysia and RM the ural 2020 17,357 4,492.35 region in the area of consultation
Q1-
RM
and actual 2021 sanitisation 15,905 3,310.58 works , maintaining Q1- the safety RM and cleanliness 2020 of the 4,439 property 2,157.65 and building Q4- for occupants . We offer RM a
2020 5,760 3,143.62
360-degree solution for a peace of
Q1-
RM
mind . True 2021 to our 4,956 business 2,737.08 motto : Protecting People , Securing Assets .
Q1-
2020 1
Since the pandemic ,
Q4-
RM
how 2020 has this 3 affected 3.25 your business
Q1- RM positively ?
2021 2 Q1- 2020 72,867 Q4- 2020 91,260 Q1- 2021 80,694
RM 0.59
3.54 RM 28,581.34 RM 38,361.88 RM 36,118.66
Avg Value RM 331,567.11 RM 346,967.33 RM 376,151.47 RM 1,011,928.7
RM 2,561,766.7 0 RM 2,567,146.2 9 RM 2,570,040.9 1 RM 169,286.15 RM 258,820.84 RM 208,146.89 RM 486,065.97 RM 545,767.45 RM 552,275.10 RM 590,000.00 RM 1,083,166.6 7 RM 1,772,000.0 0 RM 392,239.82 RM 420,358.14 RM 447,600.34
Variati on on Q4- 2020
Variati on on Q1- 2020
8.41 % 13.45 %
16.07 %
7.90 %
0.11 % 0.32 %
- 19.58 %
22.96 %
1.19 % 13.62 %
63.59 %
200.34 %
6.48 % 14.11 %
I believe that , at this regard , the analysis presented in my Affordable Housing and Cyclical Fluctuations : The Malaysian Property Market ( published by IDEAS in 2018 ) remains relevant .
07