How do you do business in the new normal?
The new normal has pushed us to merge both property and technology at a faster pace. For example, the Asia Virtual Property Expo will be one of the many things you will see coming from PropertyGuru. We also held the PropertyGuru Asia Property Awards – in 14 markets across Asia – that transitioned into a virtual event last year, and will continue the virtual format this year.
The acquisition of data analytics company MyPropertyData in November 2020 will help us adapt to the new normal better as consumers are able to find, finance and own homes accurately based on data-backed analysis.
PropertyGuru’s FastKey Storyteller feature offers an immersive property journey where it transforms any project at any stage of development or construction into a 3D space to create 360-degree interactive walkthroughs. In the time of a pandemic, this helps in closing deals remotely as well as reducing the dependency on physical galleries and agent viewings.
What are PropertyGuru Malaysia’s plans and focus for 2021?
Our outlook for 2021 is optimistic and we are on track with plans. The recent investment of US$220 million (RM893.3 million) by TPG and KKR in PropertyGuru Group will be channelled into developing further solutions such as the PropertyGuru FastKey and MyProperty Data. Further combining the forces of MyProperty Data’s data and expertise with PropertyGuru’s proprietary market insights, data science and technology capabilities, PropertyGuru aims to serve the Malaysian property industry even better.
Agents will benefit from valuable insights on pricing trends as well as detailed home reports which they can share with customers. Financial institutions and valuers will benefit from MyProperty Data’s proprietary property valuation management tools to better manage risks and achieve greater efficiency.
Market intelligence on locations, upcoming projects, amenities, and demographics will enable property developers to plan projects. Malaysian home buyers will benefit the most from this ease of access and transparency on real-time transaction data and other factors that influence property valuations and their buying decisions.
How do you drive growth on your property portal?
We ensure growth by always keeping ourselves on our toes, especially when it comes to relevance, consistency and innovation. We provide content that is consistent and relevant to consumers in forms of our regular PropertyGuru half yearly Consumer Sentiment Study, quarterly Property Market Index as well as annual Property Outlook Reports.
The acquisition of MyProperty Data will be a level up in these efforts as our data will be enhanced and our offerings expanded. This, combined with proptech solutions such as PropertyGuru Loan Pre-Approval, PropertyGuru FastKey, and Asia Virtual Property Expo, helps to address issues and gaps within the market.
How do you monetise?
For property seekers, PropertyGuru is free to use. Our revenue is derived from a multitude of sources such as agents, who sign up listing packages with PropertyGuru. Developers also list new properties on our site, at which we generate content, and create strategic marketing campaigns to help them profile their properties. Other products such as FastKey, an end-to-end sales tool that automates the full project sales cycle from launch to close of sale, are also revenue generators.
We also have the property awards platform PropertyGuru Asia Property Awards. Our awards are reputed to be credible and transparent, as a great branded solution for Asian property developers.
Will 2021 be a great year for property buying/investment in Malaysia?
PropertyGuru’s recent Consumer Sentiment Study H1’21 survey revealed that Malaysians have now adjusted to the new normal and are ready to embrace future changes. The improved sentiment was shown in PropertyGuru’s Property Sentiment Index, which has risen to 42 points in H1’21 from 39 points in H2’20.
Despite the short-term pain during times of uncertainties, it is believed that after the mass vaccination programme is under way, Malaysia’s economy will be back on track with expected improvements within the property sector in H2’21.
The property market is poised for a gradual recovery in 2021, driven by a better economic outlook and low-interest-rate environment. However, downside risks remain amid uncertainties surrounding the Covid-19 pandemic. The property market will likely be seeing increased sales in the H1’21 compared with H2’21, before the Home Ownership Campaign ends on May 31, 2021.
PropertyGuru’s Consumer Sentiment Study H1’21 also revealed that 35% of Malaysians will likely proceed with their property transactions and take advantage of all the incentives that are available in the market currently. Nevertheless, seasoned property purchasers will be holding on to their buying decision with 42% adopting a wait-and-see approach over the next one to two years.
Where is the upcoming property hotspot in 2021?
Klang Valley continues to be the most popular choice for future property purchase. The study registered lower interest in areas outside Klang Valley when compared with the previous Consumer Sentiment Study. Within Klang Valley, the top four choices were the same – Petaling Jaya, KL City Centre, Damansara and Subang Jaya. However, there has been a slight rise in Malaysians considering less dense areas within Klang Valley.
What is your take on Malaysia’s property scene?
A sense of acceptance of the new normal and the incentives that are currently in place have reflected a slightly improved sentiment in our recent Consumer Sentiment Study H1’21 findings.
PropertyGuru revealed an increase within its property sentiment index, from 39 points (H2’20) to 42 points (H1’21). Contributing factors include current real estate satisfaction, positive outlook on property climate, favourable interest rate environment, positive government efforts and optimistic price outlook.
Malaysia is one of PropertyGuru’s key focus markets. We have served this market and continually invested. We will continue to invest and grow here.
We will continue to empower Malaysians with accurate data so that consumers can buy or sell the right property at the correct market price, and capitalise on potential gains in the future.
What’s unique about Malaysia in terms of property?
The Malaysian property market still offers competitive pricing compared with other regional markets with ample choices across different states. There is also stable capital appreciation in the long run as observed by the National Property Information Centre and our recent Property Market Index which revealed asking prices held steady despite pandemic challenges.
Give us some insights on what Malaysians prefer in property?
With the pandemic and MCO calling for more people to work from home (WFH), about three in four Malaysians would consider a home office that suits WFH in the future.
The PropertyGuru Consumer Sentiment Study H1’21 revealed other factors that locals have found to be crucial during WFH are good internet connection (87%), pleasant environment to work in (77%) and air ventilation (62%).
The survey also found that two in five Malaysians reside in terrace/link houses. In contrast, one in four live in condominiums.
What’s the number one pain point in property buying?
One evident and almost constant pain point for many is financing. Based on the PropertyGuru’s Consumer Sentiment Survey H1’21, Malaysians continue to cite the inability to afford the down payment and unstable salary as top barriers in taking a home loan.
Meanwhile, unfamiliarity with paperwork (33%), poor credit history (27%) and lack of supporting documents (25%) are the top five barriers that home seekers face when applying for home loans.
PropertyGuru Malaysia is a property website with 450,000 home listings and over 8 million monthly visits. It has more than 10,000 agents signed up.
