PETALING JAYA: The property market activity recorded more than 100,000 transactions worth RM57.15 billion in the third quarter of 2023 (Q3’23), an increase of 3.7% in volume and 22.6% in value compared with Q3’22, according to the Valuation and Property Services Department in the Finance Ministry.
Disclosing this yesterday by the National Property Information Centre (Napic), it said that from the total transactions, 87.7% (95,511 transactions) were transfers dated in 2023 while the remaining percentage share was for prior years’ transfers which completed in review quarter.
Sectoral market activity performance improved marginally: residential (5.6%), commercial (33.3%) and development land (2.4%) with the exception of industrial and agriculture sub-sectors, which declined by 0.6% and 12.2% respectively against similar period last year.
Value of transactions across the sub-sectors showed upward movements.
The agricultural sub-sector tops the list, increasing significantly by 52.3%, followed by commercial (34.3%), industrial (30.9%), residential (13.4%) and development land (11.6%) sub-sectors.
According to the director-general of valuation and property services department, the residential sub-sector continued to support the overall property market activity with 62.9% share, recorded 68,561 transactions worth over RM28 billion.
Residential property in the price range of RM300,000 and below dominated the market activity, recorded 35,948 transactions (52.4%), followed by RM300,001 to RM500,000 with 16,947 transactions (24.7%) and RM500,001 and above with 15,666 transactions (22.9%).
Napic said that the primary market saw more new launches in the Q3’23.
“The new launches recorded nearly 6,900 units against 4,797 units in Q2’23. Sales performance for new launches recorded came in at 37.6%, higher than 24.7% compared to previous quarter,” it said, adding that Selangor recorded the highest number of new launches in the country at 2,491 units which was about 36.2% of the total nationwide, with a better sales performance of 69.1%. WP Kuala Lumpur offered the second highest amount (1,439 units, 21.9% share) with a sales performance of 23.4%. Johor came third (1,088 units, 15.8% share) with sales performance at 16.4%.
By priced range, new launches priced at RM300,000 and below dominate over 70% (5,075 units) with a better sales performance of 44.1%, followed by RM300,001 to RM500,000 with 11.8% (813 units) and above RM500,001 amounting to 993 units (14.4%).
According to the director-general of valuation and property services department, the number of residential overhang improved as the number reduced in Q3’23. A total of 25,311 units worth RM17.4 billion was recorded, showing a decrease of 3.7% and 4.9% in volume and value respectively compared with Q2’23.
By price range, those priced RM500,001 and below formed more than 50% (13,910 units) of the overhang units in the country. Johor recorded the highest number and value of overhang with 4,500 units worth RM3.6 billion, accounting to 17.8% and 20.7% respectively of the national total. This was followed by Perak (3,625 units worth RM1.04 billion), Selangor (3,296 units worth RM3.48 billion) and WP Kuala Lumpur (3,111 units worth RM3.32 billion).
The serviced apartment segment also saw a marginal decline in the number and value of overhang units by 1.5% and 4.7% respectively to 22,152 units worth RM18.24 (Q2’23: 22,497 units valued worth RM19.13 billion). Johor remained the highest number in the country with a share of 57.1% (12,646 units) in terms of number and 65.8% (RM11.02 billion) in terms of value.
In terms of supply, residential construction activity recorded a decrease in starts and new planned supply, each down by 19.5% to 25,259 units and 14.4% to 23,418 units respectively.
Nevertheless, completion increased by 14.4% to 22,711 units compared with similar period last year.
For the serviced apartment segment, construction activity was overwhelming. The number of completions increased by two fold to 12,218 units while new planned supply increased 57.6% to 8,150 units against Q3’22. Starts recorded otherwise, decreased 9.9% to 6,234 units.
In Q3’23P, the Malaysian House Price Index stood at 212.6 points (RM458,751 per unit) with a marginal annual growth of 0.1%. All states experienced moderate growth, ranging between 0.1% and 4%, except Selangor (-1.6%), Pahang (-0.7%), Kelantan (-1.4%) and Sarawak (-1.2%).
