Category: Swhengtee News Published: Friday, 18 March 2011 08:00
Source from : www.motortrader.com.my/
Kuala Lumpur (KL) takes the lead among the property hotspots in Malaysia in a survey conducted by Swhengtee International that was participated by 421 respondents which included developers, investors, professionals and real estate agents.
Petaling Jaya came in second with the country’s three Unesco World Heritage sites - Penang, Kota Kinabalu and Melaka – garnering third, sixth and eighth places, which suggest that there is potential for investment in tourism related real estates in such hotspots, Swhengtee International Real Estate Investors Club founder Gavin Tee said.
Tee, fourth from left, and his team members posing with the 2011 Property Hotspot Contest winners at the prize giving ceremony today (16 October 2011). Adamin Corporation Sdn Bhd director Kok Pick Tong (third from left) won the grand prize worth RM3,000 which entitles him to an investment course with SwhengTee International Real Investors Club.
“Johor Bahru took fourth place due to the impressive development taking place within Iskandar Malaysia, with foreign and local investments surpassing expectations in recent years,” he added.
Other property hotspots in Malaysia include Putrajaya/Cyberjaya (fifth placing), Shah Alam (seventh), Seremban (ninth), Ipoh (10th) and Kuching (11th).
Tee, however, cautioned that what is hot might not be good to invest.
He cited KL and the Mont’Kiara, Hartamas areas as instances where there is an oversupply situation. Nevertheless, they are the hot favourite among investors.
One of the contributing factors is that high impact strategic developments such as Greater KL, mass rail transit and other mega projects are shaping KL to become a world class city.
Tee maintained his prediction that serviced apartments and condominiums in Malaysia will hit RM5,000 per sq ft (psf) within five years.
With globalisation turning central business districts and tourist spots’ real estate into properties with international price tags, he believed the RM5,000 psf is nothing to be surprised about.
Tee said the high price tag will come about due partly to high land and building cost, Malaysia's economic development, properties being commercialised and more people placing housing as a priority in life.
While he held on to his belief that the next 10 years are the golden years in Malaysia real estate, he said, “It is reasonable to be worried about property bubbles forming” and suggested that “they may be scattered around various places within the next three years”.
“The bubbles may look similar to the 1997 property crash where properties were oversupplied and overpriced in unpopular areas. However, the general market will remain strong.”
A final advice from him to investors is they should evaluate if the hotspot is in the stage of warming up, hot or overheated.