Miichael Yeoh

Tag: investment

  • Am I buying the right property?

    Am I buying the right property?

    Why Some Penang Properties Generate Strong Rental Income While Others Struggle

    Over the years, I’ve met many property investors who ask me the same question:

    “Miichael, which property should I buy?”

    My answer is usually the same.

    The better question is:

    “Why do some properties perform better than others?”

    Today, Penang continues to be one of Malaysia’s most attractive destinations. People come here for the food, culture, medical tourism, business opportunities, education, and lifestyle.

    As tourism and visitor arrivals continue to grow, so does the demand for short-term accommodation.

    This has created exciting opportunities for property investors.

    However, here’s something many people overlook.

    Not every property benefits equally.

    I’ve seen investors buy properties in popular locations only to discover that rental demand wasn’t as strong as expected.

    I’ve also seen investors achieve impressive returns because they understood something others missed.

    The difference often comes down to understanding the numbers.

    Location matters.

    Demand matters.

    Timing matters.

    What do ADR (Average Daily Rate) and occupancy rates really tell us?

    But perhaps most importantly, understanding rental data matters.

    How do you identify an area before prices start moving?

    How do you distinguish between a property that looks good and a property that actually performs well?

    These are the questions every investor should be asking.

    Another common misconception is that you need a large amount of capital to invest successfully.

    While capital helps, I’ve seen many investors structure their purchases intelligently through financing strategies, proper planning, and understanding market opportunities.

    Sometimes it’s not about how much money you have.

    It’s about how well you use it.

    That’s why I’ve decided to host a small-group sharing session in Penang where I’ll be revealing some of my latest research and observations on the rental market.

    We’ll discuss:

    ✔️ Insights from Penang’s Short-Term Rental Surge

    ✔️ How to identify high-yield property trends and focus areas

    ✔️ How to spot the right location before prices move

    ✔️ Understanding ADR, occupancy rates and real rental numbers

    ✔️ Building a profitable short-term rental strategy

    ✔️ Low-capital strategies that may help investors improve their returns

    Most importantly, this won’t be a typical seminar.

    We’ll be having discussions over coffee in a relaxed setting where you can ask questions and exchange ideas with fellow investors.

    Participants will also be invited to join an exclusive Property Study Tour to further enhance their understanding of location, demand drivers, and market opportunities.

    If you’re serious about understanding where Penang’s rental market is heading and how to position yourself for future opportunities, I believe you’ll find this session valuable.

    Event Details

    📅 Date: 20 June 2026 (Saturday)

    🕒 Time: 2:30 PM

    📍 Venue: Starbucks Coffee, Karpal Singh Drive, Penang

    ☕ Complimentary drink provided

    Seats are intentionally limited to ensure meaningful interaction and discussion.

    Register here: https://miichaelyeoh.com/event-page/

    Register on Eventbrite

    I look forward to meeting you personally.

    — Miichael Yeoh

    Property Strategist | Developer Consultant | HRD Corp Certified Trainer

    Disclaimer: This reflects the author’s personal views based on market experience and current observations. It is not financial advice. Smart investors do their own research before making any move.

  • Before You Buy Property, Do This First — Or You’re Just Guessing

    Before You Buy Property, Do This First — Or You’re Just Guessing

    Smart Investors Don’t Start With Property — They Start With Demand

    Most people think property investment starts with:

    Location.
    Price.
    Developer.

    It doesn’t.

    It starts with a much more fundamental question:

    Are you buying for own use… or for investment?

    Because if you get this wrong, everything else becomes noise.

    Step 1: Define Your Purpose (No Grey Area)

    I’ve seen buyers say they are investing…

    But make decisions based on:

    • Design
    • Lifestyle
    • Personal preference

    That’s not investing.

    That’s emotion.

    If it’s own stay, you follow your lifestyle.

    If it’s investment, you follow demand and numbers.

    Step 2: Know Your Budget (This Sets Your Playing Field)

    Before anything else:

    • What is your true affordability?
    • What is your financing capacity?
    • What is your holding strength?

    Because in property:

    You don’t lose money when you buy wrong.
    You lose money when you can’t hold.

    Especially for investors—cash flow and holding power are everything.

    Step 3: Real Investors Do One Thing Differently — They RESEARCH

    This is the biggest gap in the market.

    Most buyers rely on:

    • Marketing materials
    • Sales narratives
    • “Good location” claims

    But experienced investors?

    They study the market before they commit.

    What Do You Actually Research?

    1. Demand & Demographics (The Real Starting Point)

    Forget the building first.

    Ask:

    Who is the end user of this property?

    • Young professionals?
    • Families?
    • Tourists?
    • Businesses?

    If you don’t understand demand,
    you’re not investing—you’re guessing.

    And This Is Where Industrial Property Becomes Interesting

    For big-budget investors, the shift is already happening.

    Demand is no longer driven by lifestyle.

    It’s driven by business movement and capital flow.

    Look at what’s happening:

    • Manufacturing relocation into Malaysia
    • Growth in logistics and warehousing
    • E-commerce expansion
    • Supply chain restructuring across ASEAN

    This creates a different type of demand:

    • Larger space requirements
    • Functional layouts over aesthetics
    • Accessibility to ports, highways, and labour
    • Long-term tenancy from businesses (not individuals)

    In other words:

    Industrial demand is economic-driven, not sentiment-driven.

    And that’s exactly what sophisticated investors are looking for.

    2. Price Per Square Foot (Entry Determines Exit)

    You make money when you buy right.

    Compare:

    • Nearby transactions
    • Competing projects
    • Replacement cost

    If you enter too high, your upside is already limited.

    3. Surrounding Supply (The Silent Risk)

    Most investors ignore this.

    But supply determines:

    • Rental pressure
    • Vacancy risk
    • Exit liquidity

    Too much incoming supply?

    Even a “good project” can underperform.

    4. Infrastructure & Connectivity (Follow the Growth)

    No area grows randomly.

    Growth follows:

    • Highways
    • Ports
    • Rail (LRT / MRT / logistics links)
    • Industrial corridors

    If infrastructure is expanding, demand usually follows.

    5. Rental & Yield Reality Check

    At the end of the day:

    Can it generate income?

    • What is the realistic rental?
    • Who is the tenant profile?
    • What is the occupancy expectation?

    If the numbers don’t work on paper,
    don’t rely on hope.

    What I’ve Learned From the Ground

    After evaluating multiple projects and markets, one thing is clear:

    The winners are not those who buy the most.
    The winners are those who understand demand the best.

    Every property I consider goes through:

    • Demand validation
    • Market comparison
    • Supply analysis
    • Financial assessment

    Because once you commit,
    you’re not just buying property…

    You’re locking in a decision for years.

    Final Thought

    Property investment has evolved.

    It’s no longer about chasing what’s popular.

    It’s about understanding why demand exists—and where it’s going next.

    Those who do the work will always have an edge.

    Those who don’t…

    Will always be reacting.

    Disclaimer: This reflects the author’s personal views based on market experience and current observations. It is not financial advice. Smart investors do their own research before making any move.

    From the Desk of

    Miichael Yeoh

  • Property Is Still Alive — But the Game Has Changed

    Property Is Still Alive — But the Game Has Changed

    Buying a property today is very different compared to 10 or 20 years ago.

    Back then, property could sell very easily.
    Developers launched, buyers queued, and decisions were made quickly.

    Today, the world has changed.

    The way people buy property has changed.
    The way markets behave has changed.
    And more importantly, the way buyers think has changed.

    Buyers today are far more informed.

    Before even paying a booking fee, many would have already:

    • Compared multiple projects
    • Studied pricing trends
    • Checked developer track record
    • Analysed location fundamentals
    • Calculated loan eligibility and cash flow

    In other words, today’s buyers are not just buyers — they are researchers.

    At the same time, the global environment is not exactly calm.

    We are seeing ongoing geopolitical tensions — from the US–Iran situation to instability in parts of the Middle East.
    Interest rates, inflation, and currency movements continue to shift.

    All these create one thing: uncertainty.

    And when uncertainty comes in, market behaviour changes.

    From what I observe in today’s property market:

    • Investors are waiting — not exiting
    • Sellers are holding — not reducing
    • Buyers are selective — not absent

    Let that sink in.

    The market is not dead.
    It is simply… more cautious.

    And here is something many people miss:

    👉 When the market is not stable, that is where the opportunity lies.

    Why?

    Because:

    • Less emotional buying
    • More rational pricing
    • More room for negotiation
    • More time to analyse properly

    In a hot market, people chase.
    In a cautious market, people choose.

    And those who choose well, win.

    This is exactly why I started focusing on Property Market Intelligence.

    Not just looking at property as a product,
    but understanding:

    • Market timing
    • Buyer psychology
    • Financing structure
    • Exit strategy
    • Risk positioning

    This approach is built from more than 25 years in the property and banking industry.

    I have gone through multiple market cycles:

    • Asian Financial Crisis
    • Global Financial Crisis
    • Property slowdowns
    • Policy changes
    • And shifting buyer behaviours across decades

    Every cycle teaches one thing:

    👉 The market will always move — but not everyone moves with it.

    Today, success in property is no longer about:
    “Buy and wait.”

    It is about:
    “Buy with clarity.”

    Because in today’s market:

    • Information is everywhere
    • But insight is rare

    If you are buying today, don’t just ask:

    “Is this a good property?”

    Ask instead:

    • Who will buy from me later?
    • What is the demand driver here?
    • How does financing affect my holding power?
    • What happens if the market stays slow for 3–5 years?

    That is how professionals think.

    The market has not disappeared.

    It has simply matured.

    And in a mature market,
    strategy will always beat impulse.

    Miichael Yeoh
    Property Strategist | Author

    Author of:
    Think Like a Banker, Act Like a Player
    Property Investment BLT
    Buying Property Like a Pro (MPH Bestseller)

  • Think Like a Banker Before You Buy Property

    Think Like a Banker Before You Buy Property

    One thing I learned from working closely with banks is this:

    Banks are extremely careful before approving a property loan.

    They analyse risks, stress-test your finances, and study whether you can survive difficult situations.

    But here’s the irony.

    Many property buyers don’t analyse their purchase the same way.

    They look at the show unit.
    They listen to marketing promises.
    They follow what others are buying.

    But they rarely ask the same questions a banker would ask.

    If you want to invest in property wisely, start by thinking like a banker.

    Here are three things bankers always analyse.

    1️⃣ Debt Ratio – Are You Stretching Yourself Too Thin?

    Banks look closely at your Debt Service Ratio (DSR).

    This measures how much of your income is used to pay debts.

    Even if a bank approves your loan, you should still ask yourself:

    • What happens if interest rates increase?
    • What if my income drops temporarily?
    • Will I still feel comfortable servicing the loan?

    A property might look affordable today.

    But bankers always plan for tomorrow’s risks.

    2️⃣ Holding Power – Can You Hold Through Market Cycles?

    Property markets don’t always go up.

    There will be slow periods.

    Bankers evaluate whether a borrower has the financial strength to continue paying during tough times.

    Smart investors should ask:

    • Can I hold this property for 5–10 years if needed?
    • Do I have cash reserves?
    • What if the market takes longer to recover?

    Many investors fail not because they bought the wrong property…

    They fail because they cannot hold it long enough.

    3️⃣ Rental Sustainability – Can the Property Support Itself?

    Another banker mindset is income sustainability.

    Before buying, ask:

    • Is there real rental demand here?
    • Who are the potential tenants?
    • Can the rental help support the loan?

    A strong investment property should ideally generate rental income that supports part of the financing.

    This reduces pressure and improves long-term stability.

    Final Thought

    Successful property investors don’t buy emotionally.

    They evaluate property like a banker evaluating risk.

    Before your next purchase, ask yourself:

    Does this property pass the banker’s test?

    When you start thinking like a banker, you don’t just buy property.

    You build a stronger and safer property portfolio.

    Miichael Yeoh
    Property Strategist | Developer Consultant | Investment & Mortgage Expert
    Author of Think Like a Banker, Act Like a Player

  • The Malaysian Property Market Has Changed — Are Buyers Buying the Right Way?

    The Malaysian Property Market Has Changed — Are Buyers Buying the Right Way?

    The Malaysian Property Market Has Changed — Are Buyers Buying the Right Way?

    For many years, property investing in Malaysia followed a familiar formula.

    Buy a new launch, wait a few years, and hope the price goes up.

    This strategy worked reasonably well during earlier property cycles when prices were rising quickly, financing was easier, and supply was more limited. Many investors entered the market believing that capital appreciation alone would justify the purchase.

    But today, the Malaysian property market has entered a different phase.

    The question buyers should now ask is no longer “Will the price go up?”
    The more important question is “Can this property sustain itself financially?”

    The Shift From Speculation to Sustainability

    Over the past decade, the mindset of property buyers has gradually evolved.

    Today’s buyers are more cautious, more analytical, and more focused on cash flow and long-term holding power.

    Instead of relying purely on future price appreciation, investors are increasingly asking questions such as:

    • What is the rental demand in this area?
    • Can the rental cover most of the loan instalment?
    • What happens if interest rates increase?
    • Who is the actual tenant profile for this property?

    These questions reflect a more mature approach to property investing.

    The reality is simple: not every property will appreciate significantly in the short term. When appreciation slows, the ability of the property to generate rental income becomes far more important.

    Financing Strategy Now Matters More Than Ever

    Another major shift in the market is the growing importance of financing structure.

    Many buyers focus heavily on the purchase price but pay little attention to how the property is financed. Yet the financing strategy can determine whether an investment becomes manageable or financially stressful.

    Buyers today need to consider:

    • Loan margin and interest rates
    • Monthly instalment affordability
    • Holding power during market slowdowns
    • Overall debt exposure

    A well-structured loan can give investors time and flexibility, while poor financial planning can force them to sell prematurely.

    Thinking about financing before buying is no longer optional — it is essential.

    Rental Demand Is Becoming a Key Decision Factor

    One of the biggest mistakes many investors made in the past was buying properties without considering who would actually rent the unit.

    Today, buyers are beginning to look more closely at demand drivers such as:

    • Proximity to employment hubs
    • Accessibility and transportation infrastructure
    • Nearby universities or hospitals
    • Tourism demand and short-term rental potential

    In markets like Penang, Kuala Lumpur, and Johor Bahru, rental demand is increasingly shaping investment decisions.

    For example, areas with strong tourism activity or major infrastructure developments may offer better rental prospects compared to purely speculative locations.

    The key question investors should ask is:

    “Who is my tenant?”

    If there is no clear answer, the investment may not perform as expected.

    The Role of Infrastructure and Economic Drivers

    Another important factor influencing property performance today is real economic activity.

    Infrastructure projects, transportation connectivity, employment centres, and tourism growth can significantly impact both rental demand and long-term property value.

    For instance, upcoming transportation developments and urban revitalisation projects in cities such as Georgetown could change demand patterns in the coming years.

    However, infrastructure alone does not guarantee success. The surrounding ecosystem — population growth, business activity, and lifestyle demand — must also support the property market.

    Buying Property Today Requires a Different Mindset

    The Malaysian property market has not disappeared. But the way buyers approach property must evolve.

    Successful investors today tend to follow a more balanced approach:

    • Evaluate rental yield and cash flow
    • Structure financing carefully
    • Understand real demand drivers
    • Focus on long-term sustainability

    In other words, the focus has shifted from short-term speculation to long-term investment discipline.

    A Final Thought

    Property has always been a long-term asset class.

    But in today’s market environment, buying property requires more than just optimism about future price growth.

    It requires careful thinking, realistic financial planning, and a clear understanding of market demand.

    The Malaysian property market has changed.

    The real question is — have buyers changed with it?

    Miichael Yeoh
    Property Strategist | Developer Consultant | HRD Corp Trainer

    Miichael Yeoh has more than 28 years of experience spanning banking, mortgage advisory, property investment, and developer consultancy. He is also the author of Think Like a Banker, Act Like a Player, Property Investment BLT, and Buying Property Like A Pro.

  • Residential Property & Mortgage Trends in Malaysia (2026 and beyond)

    Residential Property & Mortgage Trends in Malaysia (2026 and beyond)

    By Miichael Yeoh

    The Malaysian property market has been through a lot in the last few years — pandemic, inflation, rising construction costs, slow wage growth, and changing buyer behaviour. But as we step into 2025, one thing is clear:

    Property is still moving… but the market is no longer the same.
    Buyers are more cautious, banks are more selective, and affordability remains a major issue.

    Here’s my take on what’s really happening in the residential property and mortgage landscape, and what you should pay attention to — especially if you’re planning to buy, invest, or restructure your loans.

    📈 Long-Term Price Trend: Property Still Moves Up

    Whether the market is “good” or “bad”, one fact remains consistent:

    Property prices in Malaysia have been rising steadily for the last 20+ years.

    Urban areas like Klang Valley, Penang and Johor consistently show appreciation because of:

    • population growth
    • job concentration
    • infrastructure development
    • scarcity of prime land

    But here’s the catch:
    House prices have risen much faster than income, making affordability the No.1 challenge for Malaysians today.

    This explains why many young buyers are stuck deciding between renting longer… or compromising on location and size.

    🏘️ What’s Happening in the Market Now?

    1. Transaction volume is rising — but buyers are choosy

    2024 recorded strong growth in overall property transactions, and 2025 is projected to see single-digit positive growth.
    People are buying — but not blindly.

    Buyers today compare:

    • price per sq ft
    • rental potential
    • exit value
    • access to MRT / LRT
    • developer reputation

    Gone are the days when anything “new launch” can sell out.
    Today, value matters more than hype.

    💰 Mortgage & Financing Trend: Here’s the Real Story

    The biggest shift recently is OPR dropping to 2.75%, making borrowing cheaper.

    This directly means:

    • Lower monthly instalments
    • Higher loan eligibility
    • Better cashflow for investors

    But with great news comes reality…
    Banks are approving loans more carefully than ever.

    Your CCRIS, CTOS, commitments and even gig-income consistency matter.
    If your financial health is not clean, even a low OPR won’t help you.

    For many Malaysians, the challenge isn’t interest rate — it’s getting the loan approved.

    🧱 Supply vs Demand: The Affordable Gap

    You’re hearing this everywhere:

    “So many houses unsold!”
    —but at the same time—
    “I can’t find any home I can afford!”

    Why?
    Because the overhang is mainly:

    • too expensive for the mass market
    • too big (1,000 sq ft and above)
    • wrong location

    This mismatch will continue unless developers pivot more aggressively into the mid-market segment.

    🧭 What Buyers & Investors Should Look At Now

    ✔️ If you’re a first-time buyer

    This is a golden window.
    Low OPR + many choices + developers offering incentives = value for money.

    Look for:

    • good location > big size
    • future MRT/LRT corridors
    • reputable developers
    • high rental demand areas

    ✔️ If you’re an investor

    Capital gain will still happen — but don’t expect overnight appreciation.
    Focus on:

    • rental yield
    • undervalued areas
    • distress or motivated sellers
    • T.O.P. projects with ready tenants

    The smart investors in 2025 are not speculating.
    They’re buying below market value, or in growth corridors, or early in new infrastructure zones.

    ✔️ If you own multiple properties with loans

    This is the best time to:

    • refinance
    • consolidate debts
    • reset your cashflow
    • restructure your portfolio

    A small adjustment in interest rate can save thousands per year.

    🧩 Conclusion: The Market Isn’t Booming, But It’s Moving

    Malaysia’s residential market today is stable, resilient, and buyer-driven.
    We’re not in a bubble.
    We’re not in a crash.

    We’re in a value-driven market, where the winners are:
    ✔️ informed buyers
    ✔️ strategic investors
    ✔️ those who manage their loans wisely

    If you understand the trends — and you know how to analyse value correctly — 2025-2026 can be a very profitable year for you.

  • 🇲🇾 Malaysia Budget 2026: What Property Buyers and Investors Need to Know

    🇲🇾 Malaysia Budget 2026: What Property Buyers and Investors Need to Know

    By Miichael Yeoh | October 11, 2025

    The Malaysian Budget 2026 was tabled yesterday by Prime Minister and Finance Minister Dato’ Seri Anwar Ibrahim, themed “Memacu Ekonomi MADANI: Memperkasa Rakyat.”

    With a total allocation of RM470 billion, this budget continues the government’s commitment to building a fair and inclusive economy — with property and housing once again taking center stage.

    Here’s my summary and insight on what Budget 2026 means for property buyers, developers, and investors.

    🏡 1. Stamp Duty Exemption Extended for First-Time Buyers

    Good news — the full stamp duty exemption on both the instrument of transfer and loan agreement for first-time buyers remains in place until 31 December 2027.

    This applies to residential properties priced up to RM 500,000.

    👉 What this means:
    If you’re planning to buy your first home, your upfront costs remain much lower. For many young Malaysians, this can be the difference between “maybe later” and “buy now.”

    💰 2. Bigger Housing Loan Guarantee (SJKP Doubled to RM 20 Billion)

    The Housing Credit Guarantee Scheme (SJKP) is being expanded from RM 10 billion to RM 20 billion, expected to help over 80,000 first-time buyers — including self-employed, gig workers, and informal earners.

    👉 What this means:
    Loan approvals should become easier. This is crucial for those who may not have formal payslips but have consistent income — a growing segment of today’s workforce.

    🌍 3. Higher Stamp Duty for Foreign Buyers

    To cool speculative buying, stamp duty for non-citizens and foreign companies buying residential properties will rise from 4% to 8%.

    Permanent residents (PRs) are not affected.

    👉 What this means:
    Foreign investors will likely focus only on premium areas like KLCC, Mont Kiara, and Penang island. For locals, this could mean less competition — and potentially better entry prices.

    🏢 4. Tax Deduction for Converting Commercial Buildings into Homes

    A forward-thinking move — developers who convert old commercial buildings into residential use can now claim a 10% tax deduction (up to RM 10 million) on eligible renovation costs.

    👉 What this means:
    Expect more adaptive reuse projects — turning old offices or malls into apartments or co-living units. This could help rejuvenate urban centers while reducing idle property stock.

    🏠 5. Support for Rent-to-Own (RTO) and Build-Then-Sell (BTS) Schemes

    Banks are encouraged to support RTO and BTS housing models to make ownership easier and reduce project abandonment.

    👉 What this means:
    More flexibility for buyers who can’t yet afford a traditional down payment, and stronger assurance that projects are completed before full payment.

    👨‍💼 6. Higher LPPSA Loan Limit for Civil Servants

    The Public Sector Home Financing Board (LPPSA) limit will increase to RM 1 million in 2026.

    👉 What this means:
    Civil servants can now afford better homes in urban areas without needing multiple loans.

    🧱 7. RM 672 Million for Affordable Housing and Repairs

    The government is allocating RM 672 million for:

    • Affordable homes (Residensi Rakyat, Rumah Mesra Rakyat)
    • Refurbishing old or dilapidated houses
    • Maintenance for low- and medium-cost flats (e.g. lift replacements)

    👉 What this means:
    Positive for social stability and overall living quality. Also good news for contractors and local developers involved in affordable housing.

    ⚙️ 8. Construction and Tax Updates

    • SST on construction services will apply for new contracts from 1 Jan 2026.
    • Carbon tax will begin in stages, affecting material costs (cement, steel).
    • These may slightly raise overall building costs — developers should factor this into pricing.

    🔎 My Insights: What to Watch in 2026

    1. Affordable and Mid-Range Housing
      Remains the government’s priority. Buyers in this segment have strong support — expect steady demand.
    2. Conversion Projects = Hidden Opportunity
      Old commercial spaces could become the next hot residential spots. Developers who act early may gain an edge.
    3. Foreign Demand Softens, Local Focus Strengthens
      With higher duties, foreign demand may dip — but this creates more room for local owner-occupiers and long-term investors.
    4. Construction Cost Pressure
      SST and carbon-related costs might raise project expenses by 3–5%. Efficient developers with strong cash flow will manage better.
    5. Financing Still Key
      Even with incentives, loan approval remains the biggest hurdle. Buyers should prepare documentation properly (income proof, CCRIS record, existing commitments).

    📈 Final Thoughts

    Budget 2026 shows that Malaysia is moving toward a more sustainable and inclusive housing market — one that balances affordability with innovation.

    For homebuyers, it’s a window of opportunity to act while incentives are strong.
    For investors, it’s time to look beyond traditional launches and explore conversion, rental, and co-living strategies.
    And for developers, the message is clear — adapt fast, innovate smart.

    The property market in 2026 will favor those who understand trends early and act strategically.

  • Hot Topics in Malaysia’s 2025 Property Market: What You Need to Know

    Hot Topics in Malaysia’s 2025 Property Market: What You Need to Know

    The Malaysian property market is buzzing with conversations in 2025 as investors, developers, and buyers respond to new trends, policy shifts, and emerging opportunities. From cooling measures to infrastructure-driven growth corridors, the landscape is evolving rapidly. Rising construction costs, industrial and logistics demand, and the spotlight on data centres are just some of the themes shaping discussions today.

    The following are the current hot topics in Malaysia’s property market that every buyer and investor should be aware of:

    1. Residential Market Performance & Price Dynamics

    • House Price Growth Moderating
      Malaysia’s housing price index has been rising, but growth is slowing. For Q4 2024, the national average house price was ~ MYR 483,879, with year-on-year (YoY) growth modest. Global Property Guide
      There were quarter-on-quarter declines in Q4 2024 in many property types (terraced, high-rise, detached, semi-detached) — showing possible short-term corrections or softening. Global Property Guide
    • Regional Price Variations
      • In Penang, average house price remains well above MYR 400,000: about MYR 475,037 in Q4 2024. Global Property Guide
      • Kuala Lumpur is the most expensive, with average ~ MYR 794,467 in Q4 2024. Global Property Guide
      • Other states (e.g. Johor, Selangor) are in between; more affordable housing tends to be further out or in less central locations. Global Property Guide+1
    • Transaction Volume & Supply
      Residential transaction count rose ~4% in 2024 to about 260,516 units; transaction value grew ~5.9 % to ~MYR 106.92 billion. Global Property Guide
      The number of new housing starts rose ~20.6 % in 2024 (for both landed + high-rise) to ~106,236 units; completions rose ~9.7% to ~82,135 units. Global Property Guide
      Also, new planned supply was rising— ~100,461 units in 2024, up ~24.1%. Global Property Guide
    • Overhang / Unsold Stock
      Overhang remains a concern, especially in less premium or lower-value housing. The number of unsold affordable homes has increased. According to Rehda, in 1Q 2025 affordable homes accounted for ~20.7% of unsold residential units. EdgeProp.my
      In Penang, overhang has been showing improvement (decrease in unsold stock) but still persists, especially in certain price bands. Scoop

    2. Developer Sentiment & New Launches

    • Reduced Developer Confidence
      The Rehda survey (1H 2025) shows confidence among developers fell sharply. Only ~19% were optimistic about market prospects mid-2025, down from ~51% six months earlier. EdgeProp.my
      Many developers are being more cautious: ~41% plan new launches in 2H 2025, versus higher rates earlier. Some are not looking to acquire new land because of cost and risk. EdgeProp.my
    • Mismatch of Supply vs Demand (especially “affordable” units)
      A big issue flagged by developers is that many affordable units are being built in locations or at price levels that are not aligned with what local buyers can afford / prefer. Even though lower-priced units tend to have higher demand, their take-up depends heavily on location, amenities, connectivity. EdgeProp.my+1
    • Prime / High-end / Branded Projects Doing Better
      In KL, new launches in “prime” segments are seeing 30-50% take-up rates. Buyers of premium / branded residences (or units in strong locations) are more willing to pay for quality, service, amenities. JLL
      Branded residences are more visible in Penang too (e.g. Marriott Residences at Gurney Drive) reflecting demand (or at least supply) for high-end product. Wikipedia

    3. Commercial, Industrial & Office Sectors

    • Office Vacancy / Demand
      Kuala Lumpur’s office market is recovering: vacancy falling, net absorption positive. For example, KL City saw ~231,392 sq ft net absorption in Q2 2025. Vacancy in KL fell from ~23.6% (Q2 2024) to ~19.2% (Q2 2025). JLL
      Grade A office spaces (those with superior amenities, good location) are better placed; tenants are shifting to better quality buildings. JLL+1
    • Industrial / Logistics / Data Centres Growing Strong
      Demand for industrial space is strong — especially in prime logistics, e-commerce, and supply chain related sectors. In KL / Klang Valley, new supply is being absorbed, and vacancy rates are very low for good quality assets. JLL+1
      The data centre pipeline is large: Malaysia has about 638 MW of capacity completed, ~1,300 MW under construction, and an even larger future pipeline. Investment in this space is seen as strategic. JLL

    4. Government Policy, Taxation & Regulation

    • Budget 2025 Measures
      Budget 2025 includes support for infrastructure, sustainable development, and trying to attract investment in high-value sectors. Real estate/spatial planning tied to ESG / green building is emphasized. JLL
      There’s also focus on more efficient use of land, perhaps more mixed-use zoning or strategic zones. JLL
    • Tax / Fees / Local Levies
      In Penang, for instance, there is proposed quit rent increase (2026) — between ~29% to 200% increase for various land categories. For residential urban land, a hike is less steep; commercial / industrial parcels are more affected. Strata properties may face increases later (from 2027). The Vibes
    • Affordable Housing Policy Pressures
      Developers are required to allocate certain proportions of new developments to affordable housing, but this has led to some unintended consequences: in some cases, these units are in less attractive locations or are priced above what locals can realistically afford. This mismatch leads to slower sales/unsold inventory. EdgeProp.my

    5. Regional Focus: Penang (and Selected States)

    • Overhang Glut Gradually Easing in Penang
      Penang had been among the states with large unsold property inventory. In recent years, unsold units in Penang have reduced (e.g. from ~5,493 in 2021 to ~2,796 in 2024). Scoop
      However, there are still mismatches: properties priced between RM 300,000–500,000 and below are struggling more; high-end (>RM1 million) do better. Location, amenities, connectivity remain critical. Scoop
    • Infrastructure & Transport Matters More
      Projects like the Penang Transport Master Plan (including the Mutiara LRT) are expected to impact property values / demand in areas served. Wikipedia
      Also, improvements like Gurney Bay / Gurney Bay waterfront park are enhancing appeal of coastal / beachfront / high-view precincts in George Town. Wikipedia
    • Local Revenue / Cost Pressures
      The quit rent hike in Penang is being discussed: residents are reacting, especially for commercial / industrial land. This adds to holding costs and might shift developers’ cost calculations. The Vibes
    • High-end / Branded Residences Becoming More Common
      Examples in Penang: Marriott Residences Penang is a new branded residential tower at Gurney Drive. Wikipedia
      The Muze @ PICC is also a large mixed residential project in Bayan Baru with tall towers. Wikipedia

    6. Risks, Headwinds & Constraints

    • Cost Inflation, Construction / Input Costs
      Rising costs for materials, labour shortfalls, logistical challenges (supply chain) are squeezing margins. Developers have less flexibility on pricing vs cost. This trend is being widely reported. EdgeProp.my
    • Financing / Interest Rates
      Borrowing costs, stricter lending criteria, risk of loan rejection are issues especially for buyers of affordable homes. Developer access to finance is also more cautious. EdgeProp.my
    • Unsold Affordable Units Risk
      If many affordable units stay unsold, there is risk of overhang, lower returns for developers, possible depreciation in certain segments. Also risk of price stagnation in non-prime locations. EdgeProp.my+1
    • Regulatory Uncertainty / Local Policy Changes
      Increases in quit rent, possible changes in tax / service tax / sales tax, land use zoning, requirements for affordable housing quotas, etc., create uncertainty. Developers and investors are watching local councils, state governments.
    • Macro / External Risks
      Global supply chain disruptions (especially for industrial / data centre / electronics sectors), geopolitical tensions, input cost volatility, and currency / inflation risk. Also, any downturn in global trade could affect Malaysia’s manufacturing / export sectors (with knock-on effects on property demand, especially for worker housing, industrial real estate).

    7. Opportunities & What to Watch

    • Strategically Located High-Quality / Branded Projects
      Projects with strong amenities, good connectivity (esp. to transit / highways / LRT etc.), high build quality, smart / green features, branded residences — these are likely to command premium pricing and maintain demand.
    • Industrial, Logistics & Data Centres
      Given the global trends (e-commerce, supply chain reshoring, semiconductor investment), Malaysia (especially Penang, Johor, Klang Valley) is seeing growing investor interest in industrial / logistics parks, warehouses, data centre space. These are viewed as relatively defensive assets.
    • Mixed-Use Development & Transit-Oriented Development (TOD)
      Areas around transport infrastructure (LRT, MRT, light rail, major highway nodes) are likely to benefit. Mixed-use developments (residential + retail + office or amenity) that offer a lifestyle component will be attractive.
    • Green / ESG / Sustainability Features
      Buyers / tenants increasingly consider energy efficiency, green certifications, smart home features, environmental impact. Developers incorporating these will have competitive advantage.
    • Government Incentives & Zone Designations
      Investment zones, special economic zones, incentives in Budget 2025, tax breaks (where available), and government infrastructure spending (transport, utilities) are going to influence property hot spots.
    • Price Correction / Buyer Power
      For savvy buyers, there might be opportunities: slower demand in non-prime sectors, more incentive packages by developers, better negotiations (price, furnishing, perks) especially in properties that are not moving quickly.

    Conclusion

    Malaysia’s property market in 2025 is at a turning point, balancing between growth opportunities and structural challenges. While affordability and regulatory changes continue to test both developers and buyers, new catalysts such as data centres, logistics demand, and large-scale infrastructure projects are reshaping the landscape.

    For investors, the key lies in identifying which segments offer long-term resilience and value. For homeowners, understanding how policies, costs, and location trends play out will make all the difference. Ultimately, the hot topics of today are shaping the strategies, risks, and rewards of tomorrow’s property market.

    From the Desk of

    Miichael Yeoh

  • Inheritance Law and Joint Ownership Explained

    Inheritance Law and Joint Ownership Explained

    Written by Jocelline Chee from Rightwill | Edited by Miichael Yeoh

    When it comes to inheritance, things can get complicated—and emotional—especially when property is involved. In Malaysia, many people assume that putting property under joint names (like with a spouse or child) will make things smoother when someone passes away. Unfortunately, it’s not always that simple.

    If you’re planning to leave a property behind for your loved ones, it’s important to understand how inheritance laws work in Malaysia and the potential problems that can pop up with joint ownership.

    🏛️ How Inheritance Works in Malaysia

    Inheritance laws in Malaysia depend on your religion:

    • For Muslims, faraid (Islamic inheritance law) applies. It has fixed rules on how the estate is divided among family members.
    • For non-Muslims, the Distribution Act 1958 (amended in 1997) applies. This Act lays out who gets what—based on whether the deceased leaves behind a spouse, children, or parents.

    If someone dies without a will, the law decides how the assets are shared. That’s why it’s so important to have a valid will—it ensures your wishes are followed.

    Example under the Distribution Act:

    If the deceased leaves behind…Parent(s) getSpouse getsChildren get
    Parents, spouse & children1/41/41/2

    🏠 Joint Name Properties – Not As Simple As You Think

    Many Malaysians put properties under joint names thinking it will automatically go to the other person when they pass away. But that’s not always true.

    There are two main types of joint ownership in property law:

    1. Joint Tenancy
      • Comes with the right of survivorship.
      • If one owner dies, the property automatically goes to the surviving owner.
      • This is common among married couples.
    2. Tenancy in Common
      • Each person owns a specific share.
      • When one dies, their share becomes part of their estate and is distributed according to their will or the law.
      • This is more common in Malaysia, even when it’s between family members.

    Here’s the catch: Most joint name properties in Malaysia are actually treated as tenancy in common, unless stated otherwise. That means—even if your name is on the title—the other person’s share doesn’t automatically go to you. It becomes part of their estate and is shared out according to their will or inheritance laws.

    ⚠️ Common Pitfalls to Watch Out For

    1. Unclear Ownership Type
      If it’s not clearly stated whether it’s joint tenancy or tenancy in common, it can lead to confusion—and disputes.
    2. Unequal Contributions
      One person may have paid more, but the property is split 50-50 on paper. This often leads to disagreements among family members.
    3. Family Conflicts
      Things can get messy with children from previous marriages, siblings, or estranged family members. Without clear planning, emotions can take over.
    4. Outdated or No Will
      A will that hasn’t been updated—or worse, no will at all—can cause contradictions and legal battles during probate.

    ✅ What You Should Do

    To protect your assets and your loved ones from future disputes:

    • ✅ Talk to a professional estate planner or lawyer
    • ✅ Make sure your will is valid, updated, and matches your current ownership structure
    • ✅ Clearly state the type of joint ownership on your property documents
    • ✅ Keep your family informed, so there are no surprises later

    Joint ownership may seem like the easy way, but without proper planning, it can create unnecessary complications. A little preparation now can give your family peace of mind in the future.

  • Should You Buy Property in Malaysia Now? Insights 2025

    Should You Buy Property in Malaysia Now? Insights 2025

    Published: July 17, 2025
    By: Miichael Yeoh

    After a strong run in 2023 and 2024, Malaysia’s residential property market is finally taking a breather. While some see this as a red flag, the data paints a more balanced picture—one of resilience and recalibration, not recession.

    So, what exactly is happening in 2025? And should you be worried or ready to buy?

    Let’s break it down.

    📉 Q1 2025: Slower But Still Solid

    Malaysia’s residential property transactions dropped 6.2% in Q1 2025 compared to Q4 2024. That’s the first notable slowdown after nearly two years of consistent growth.

    But here’s the catch: activity levels are still higher than in 2022, which means we’re not seeing a crash—just a cooling-off.

    “The slowdown is expected. It’s the market stabilizing after a hot streak,” said a property analyst from KL.

    📈 Prices Are Still Moving Up

    The national average house price reached RM483,879 in Q1, reflecting a +1.4% year-on-year increase. Areas like Klang Valley, Penang Island, and Johor Bahru continue to dominate in both value and volume.

    Here’s a quick snapshot:

    AreaAvg. Price (Q1 2025)YoY Price Growth
    Klang ValleyRM 550,000+2.1%
    Penang IslandRM 620,000+1.8%
    Johor BahruRM 460,000+1.2%

    🏗️ Developers Stay Selective with New Launches

    With rising construction costs and cautious sentiment, developers are choosing quality over quantity. Most new launches are in well-connected, lifestyle-oriented locations—think smart townships, mixed developments, and green-certified homes.

    Hot-selling projects like Elmina Ridge 2 and Avalon Cybersouth saw near 90% take-up rates, showing buyers are still ready to act—when the product is right.

    🔍 What’s Supporting the Market?

    Despite the slowdown in transactions, several key factors are helping the market stay afloat:

    • Stable interest rates (BNM kept the OPR steady).
    • Low unemployment rate (around 3.3%).
    • Young home-buying population (millennials & Gen Z entering the market).
    • MM2H visa tweaks requiring foreigners to purchase property.

    These are long-term positives that signal stability in the residential segment.

    ⚠️ What Buyers & Investors Should Watch

    While the fundamentals are strong, here are a few caution signs to keep in mind:

    1. Affordability gaps in cities like KL and Penang may limit demand in certain price segments.
    2. Oversupply risks in high-rise areas still exist, especially where demand isn’t organic.
    3. Policy changes—any adjustments to RPGT, stamp duties, or loan rules could shift the playing field fast.

    💡 Final Thoughts

    If you’re a buyer or investor waiting for a market crash—you might be waiting for a while. What we’re seeing now is not the end of growth, but a healthier, more stable market emerging after years of turbulence.

    This could actually be the perfect window to enter—especially if you’re eyeing the right locations, products, and long-term value.

    🗣 “The best time to buy property is when others hesitate—because real opportunity hides in uncertainty.”

    Need help identifying the right property in 2025?
    Join the Property EDU Club — get expert guidance, real-life case studies, and insider access to property deals most investors never see.

    👉 Click here to learn more and join now

  • SST Increase from 6% to 8%: How It Will Impact Malaysia’s Property Industry

    SST Increase from 6% to 8%: How It Will Impact Malaysia’s Property Industry

    Introduction

    Starting July 1, 2025, the Malaysian government officially raised the Sales and Services Tax (SST) from 6% to 8%, aiming to increase national revenue and reduce fiscal deficits. While basic necessities and certain essential services remain exempt, many sectors — including construction, legal, professional, and property-related services — are now affected. This tax adjustment is expected to have ripple effects across various industries, especially the property market, which is already facing affordability challenges.

    This article examines how the SST hike impacts the property industry, giving practical examples and offering insights into how buyers, developers, and investors might respond.

    1. Scope of SST Increase in the Property Sector

    The SST increase does not apply directly to the sale of residential properties, which are exempt from SST. However, indirect costs will go up due to increased service charges in the construction, legal, and property management sectors. These cost increments will eventually be transferred to end buyers and tenants, especially in commercial and high-rise residential developments.

    2. Areas Affected in Property Development

    Here’s a breakdown of how the 2% SST increase affects the property ecosystem:

    Service TypeBaseOld SST (6%)New SST (8%)
    Architect/Engineer FeesRM100,000RM106,000RM108,000
    Legal/Stamping ServicesRM20,000RM21,200RM21,600
    Renovation/Interior Fit-OutRM150,000RM159,000RM162,000
    Property Management ServicesRM50,000RM53,000RM54,000
    Advertising & MarketingRM30,000RM31,800RM32,400

    Example:
    A developer constructing a new serviced apartment project incurs around RM5 million in professional and management fees. Under the previous 6% SST, the tax was RM300,000. Now, it’s RM400,000 — a 33% increase in SST cost, which could result in higher launch prices to maintain developer margins.

    3. Impact on Property Developers

    • Higher Development Cost: Most developers will face a 5–8% increase in overall project costs when combined with inflation and compliance costs.
    • Price Adjustment Pressure: Developers may either absorb the cost (lowering margins) or pass it to consumers — likely raising launch prices, especially in urban areas.
    • Delay in New Launches: Some developers may delay project launches until market conditions stabilize.

    4. Impact on Homebuyers

    Although SST is not directly charged on residential property purchases, buyers may feel the pinch in several ways:

    • Higher Property Prices: Due to rising development and marketing costs.
    • Increased Renovation Expenses: Renovation and interior design are service-based industries and are now charged 8% SST.
    • Increased Maintenance Fees: Management services in condos or commercial buildings may increase, translating to higher monthly maintenance charges for owners and tenants.

    5. Impact on Real Estate Investors

    Investors will also be affected indirectly:

    • Lower Rental Yield: If property prices go up but rental rates remain stagnant, net returns will shrink.
    • Higher Operational Costs: Especially for those managing short-term rentals or Airbnb units (cleaning, advertising, renovation services all now taxed at 8%).
    • Buyer Caution: Investors may delay purchases or switch to lower-risk assets like REITs or landed residential properties outside city centers.

    6. Outlook and Strategies

    Despite the challenges, the SST increase may drive some positive changes:

    • Developers may adopt cost-efficiency technologies to maintain affordability.
    • Buyers may turn to subsale markets, which are less affected by SST-related costs.
    • Investors may focus on cash-flow-positive properties, especially those with low operating costs.

    Conclusion

    The SST increase from 6% to 8% might seem modest on paper, but its cascading effect across the property value chain is real. While residential property sales remain tax-exempt, associated services — from construction to maintenance — will become costlier. As developers adjust pricing and investors reassess risk, Malaysia’s property market may experience a short-term slowdown but could stabilize as the market adapts.

    Final Thought
    For both buyers and investors, 2024–2025 will require careful financial planning and a close eye on property pricing trends. Understanding the real costs behind the price tag is more important than ever.

    From The Desk of Miichael Yeoh

  • Unlock Real Estate Success with Property Study Tours

    Unlock Real Estate Success with Property Study Tours

    As a property investment coach and mentor, I’ve seen firsthand how powerful a property study trip can be for investors at all levels. Whether you’re a seasoned investor or just starting out, nothing beats the experience of visiting properties in person, analyzing market trends, and networking with experts. That’s why I organize property study trips—to give you a competitive edge in the real estate market. Here’s why you should join me on this journey.

    1. Firsthand Property Inspection

    Browsing online listings and reading brochures only tell part of the story. When you join my property study tour, you’ll get to walk through the properties, examine the surroundings, and see if they align with your investment goals. I’ll guide you in assessing crucial aspects like location, infrastructure, and future development plans so you can make a well-informed decision. Plus, I’ll share my insights on what to look for in a profitable property, helping you avoid costly mistakes.

    2. Understand Market Trends and Insights

    Every property market operates differently, and the key to successful investing is understanding these nuances. On my study tours, I provide in-depth briefings on market trends, pricing structures, and upcoming investment hotspots. You’ll also hear from local experts who can offer data-driven insights into property price movements and rental yields. I’ve spent years studying the market, and I’ll help you cut through the noise to identify real opportunities.

    3. Network with Like-Minded Investors

    One of the biggest advantages of joining my study trips is the opportunity to meet and network with like-minded investors. Many of my past participants have formed business partnerships, co-invested in properties, or simply found a supportive community to grow with. Learning from the experiences of others can be incredibly valuable, and I make sure to create an environment where everyone can share and learn together.

    4. Exclusive Access to Off-Market Deals

    Through my network and relationships with developers, I often get access to exclusive deals that aren’t available to the general public. This means you’ll have the chance to secure high-potential properties before they hit the open market. Developers also offer special discounts, incentives, and flexible payment plans to my study trip attendees—something you wouldn’t get if you were searching on your own.

    5. Expert Guidance and Analysis

    Investing in property isn’t just about buying a house or unit—it’s about making the right investment decisions. I provide expert guidance throughout the trip, helping you analyze risks, assess potential returns, and navigate financing options. You’ll also gain insights into legal requirements, taxation, and property management. With my years of experience in property investment and financial consulting, I’ll make sure you’re equipped with the knowledge you need to succeed.

    6. Experience the Local Lifestyle and Environment

    A great investment isn’t just about the property itself—it’s also about the surrounding lifestyle, infrastructure, and amenities. By visiting the location in person, you’ll get a feel for the area, check out nearby facilities, and determine whether it aligns with your personal or investment objectives. I’ll also share my insights on which neighborhoods have the most growth potential and what to watch out for when assessing an area’s long-term viability.

    7. Gain Confidence in Your Investment Decisions

    One of the biggest challenges new investors face is hesitation and uncertainty. I believe that seeing is believing, and by joining my study trip, you’ll gain the confidence to make informed investment decisions. I’ll help you weigh the pros and cons of different properties so you can make a calculated decision rather than relying on guesswork.

    8. Exposure to Different Property Investment Strategies

    Not all property investments are the same. During the tour, I’ll introduce you to different strategies such as buying for rental yield, flipping properties, or capital appreciation. You’ll also learn about new trends like co-living spaces and serviced apartments that can diversify your portfolio. By understanding these strategies, you’ll be able to choose an approach that aligns with your financial goals.

    9. Learn from Real-Life Case Studies

    I always include real-life case studies in my study trips, sharing stories of successful property investors who have built wealth through smart real estate decisions. These case studies provide valuable lessons, helping you understand what works and what doesn’t in property investment. You’ll hear from actual investors who share their journeys, challenges, and strategies.

    10. Potential for Immediate Action

    Unlike attending a seminar or watching an online course, a property study tour allows you to take action immediately. If you find a property that meets your criteria, you can reserve it on the spot—often with exclusive perks and discounts. Many of my past participants have successfully secured properties during the trip, giving them a head start in their investment journey.

    Conclusion

    I’ve designed my property study tours to be an immersive, hands-on learning experience that equips you with the knowledge, connections, and confidence to invest successfully. Whether you’re looking for your first property or expanding your portfolio, this tour will give you a significant advantage. Don’t miss out on this opportunity—join me on the next study trip and take your property investment journey to the next level!

    Most importantly, my property study tours are not just about learning and investing—they’re also about having fun! You’ll get to travel, explore new locations, and enjoy meaningful conversations with fellow property enthusiasts. It’s a great way to bond with like-minded individuals, share experiences, and build lasting relationships in a relaxed and enjoyable setting. See you on the next trip!