For years, buying property has been a favourable investment method for individuals in Malaysia to increase their wealth creation ability. The benefit of investing in property is that the price does not fluctuate as much as the stock market or other high-return investment tools, and the risk for owner-occupiers is low.
Two potential returns from buying a property include rent payment and capital gains from property appreciation. Facts have shown that property purchases are an excellent way to invest to hedge against inflation.
Buying property as an investment has indeed had challenges – that is, pending. However, if you purchase the right property, a healthy return on investment can be provided.
Here are several factors to be considered when choosing the right property for investments.
Location: always the top concern
Location is a vital factor, no matter which type of property is chosen, as it strongly correlates with the gradual rising of the property’s value and investment behaviour.
More and more commercial buildings and new condominiums have been developed in Setapak, as it is one of the major suburbs in KL and it is just a step away from downtown KL. Owner-occupiers are drawn to good accessibility for road transport, ample facilities and amenities.
With excellent connectivity with highways and expressways, and surrounded by affluent and established townships, you may consider house-for-sale in Bandar Baru Salak Tinggi, Selangor.
Despite the modest number of people living around, you may choose the property house in Pasir Gudang Johor where major industries including transportation and logistics, shipbuilding and petrochemical are carried out in the area.
Type of Property: Landed vs High Rise
When making decisions about the best type of property for you to invest in, it is best to assess your preference towards each location.
In Kuala Lumpur, the demand for high-rise properties is higher than for landed homes. This is associated with the rising development of condominiums in Kuala Lumpur, which you can choose from. There are several new condominiums developed in Kuchai Lama due to its strategic location and bustling commercial hubs.
While, landed homes are highly available in Selangor, particularly affordable and spacious houses in suburban areas. You may consider the house-for-sale in Rawang which is a place for urbanized individuals seeking work-life balance.
Title Tenure: Freehold Vs Leasehold
As far as housing property investment in Malaysia is concerned, freehold ownership is generally preferable to leasehold. Freehold condominiums may be more expensive, but they can provide you with a higher resale.
There are many new properties launched in Bangi, Selangor and freehold properties with accessibility can be found here. There are also many new properties, both landed and condominium launched in Kepong, which also have high accessibility.
There is a big opportunity for you to invest in or own housing properties in Malaysia, as there are many new properties launched and developed, and they are growing very well over the years. You can gain short-term or long-term financial returns by investing in or owning housing properties. However, it requires much knowledge and surveying for you when choosing the right property. Without these, it may result in a higher cost.
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