Developers launched the highest number of properties in recent times, in 2H17

PETALING JAYA: Malaysian property developers have launched 15,082 units in the second half of 2017 (2H 2017), the highest number for the same period in the last few years surveyed by Rehda.
The number of properties launched is higher than the 9,089 units launched in the first half of 2017 (1H 2017).
“In 2H 2017, 34% of respondents had launches compared with 31% in 1H 2017. A total of 15,082 units were launched with a 45% sales performance,” said Rehda president Datuk Seri FD Iskandar.
The survey, based on responses from 200 Rehda members in Peninsular Malaysia, revealed that residential and commercial properties saw significant increase in the number of launches.
The number of residential properties launched rose 68% to 14,663 units in 2H 2017 from 8,743 units while commercial properties rose 21% to 419 units from 346 units.
The top three types of residential properties launched were two- and three-storey terrace homes, serviced apartment and apartment/condominium with slightly more than half of launches priced at RM500,000 and below.
In 2H 2017, a total of 6,664 units of residential properties were sold compared with 4,302 units in 1H 2017.
In terms of unsold units, 66% of respondents had unsold units (properties that remain unsold after completion over the last three years) in 2H 2017 compared with 72% in 1H 2017.
Top reasons for the unsold units are end-financing loan rejection, low demand/interest and unreleased bumiputra units. Some 82% of respondents said they faced end-financing issues in 2H 2017.
Moving forward, more respondents have planned launches for 1H 2018, with 110 respondents expecting to launch 27,853 units with majority of the properties being in the strata category.
However, 92 respondents expect to rake in sales of 50% or less. Majority of respondents plan to maintain the price range of their future launches.
Almost half of the respondents remain neutral towards the property market’s performance in 2018.