Weekly Industry News

Serviced apartments outshine condos in 1H19

Weekly Industry News

THE demand for condominiums in the country’s secondary market has shifted towards serviced apartments during the first half of 2019 (1H19), according to iProperty.com.my.

The property portal analytics revealed that the demand for condominiums in Malaysia in general — particularly in Kuala Lumpur (KL), Selangor, Penang and Johor — has decreased.

However, the demand for serviced apartments in KL and Selangor has increased, while the segment’s demand in Penang and Johor declined between January and June this year.

REA Group Asia GM of customer data solutions Premendran Pathmanathan (picture) said serviced apartments experienced the most significant year-on-year (YoY) growth in demand at 14.7% in 1H19, while the median price has depreciated by 8.2% YoY to RM490,000.

“The demand for condominiums is impacted by the increasing demand of serviced residences. Why? Because the entry price for serviced residences is lower than condominiums, and serviced residences have advantages of accessibility and facilities.

“Buyers today would compromise on the size of the properties because they want the conveniences,” he said at the report presentation in KL last week.

Media Title:  The Malaysian Reserve

Date: 26 Aug, 2019

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