Housing developers need to explore rent-to-own (RTO) schemes as the next best option to reduce property oversupply, as unsold residential units nationwide for the third quarter of 2018 (3Q18) stood at 43,219, representing RM29.47 billion worth of properties sitting idle in the market.
Property consultancy firm Rahim & Co International Sdn Bhd said government-led initiatives alone are insufficient to address the glut.
Johor holds the highest number of overhang units at 13,767, followed by Selangor and Kuala Lumpur at 7,233 and 5,114 respectively.
Rahim & Co director of research and strategic planning Sulaiman Akhmady Mohd Saheh warned that homes which do not meet market demand in terms of product specification, location and pricing will remain unsold.
Media Title: The Malaysian Reserve
Date: 20 Feb 2019