Malaysia’s largest developer is ‘optimistic’ about property market

One of Malaysia’s largest
developers has reported that it is upbeat about certain sectors of the
country’s property market.  Mah
Sing Bhd, Malaysia’s second largest listed developer by sales revenue, said
that it was optimistic about its performance in 2012, as long as it built the
right kind of property.

Keep reading to learn more about
the prospects for Malaysia’s property market in 2012.

Optimistic outlook for certain sectors of Malaysian property market

Mah Sing’s founder and group
chief executive Tan Sri Datuk Sri Leong Hoy Kum, said: “We are selectively
optimistic on certain segments.  We
must fit supply to demand.”

The sectors of Malaysia’s
property market that are expected to perform well are link homes in townships
and small units of service residences. 
The property expert also believes that larger homes in gated and guarded
communities would also see high demand this year.

The comments come against a
backdrop of increased pessimism regarding Malaysia’s housing market.  Bank Negara’s new guidelines for
lending are expected to cool the runaway property market and figures have shown
that loan approvals in February 2012 had fallen by over one quarter from last
year’s peak.

Mah Sing said that it is still looking
for land that can be developed quickly and is suitable for building the types
of property that meets market demand. 
The company posted sales of RM2.26 billion last year, the second highest
of any listed developer.

Nick Marr director of overseas property portal HomesGoFast.com, said: “It is true that certain sectors of the
Malaysian property market have seen unsustainable price growth over recent
years.

“With the Government keen to ensure that
Malaysian buyers can continue to afford property, I expect to see an increase
in the number of smaller, less expensive units being built in 2012.

“However, with a strong demand for luxury
homes – many for overseas buyers – this is also a buoyant area of the Malaysian
property market.”