Improved financial circumstances, optimistic market temper and authorities monetary schemes have helped to place the prime residential phase on the uptick.
With 61.8 % of all actual property transactions within the nation, Malaysia’s residential subsector continued to carry a dominant place. In comparison with 183,525 transactions value MYR73.14 billion 9M2023 (i.e. within the first 9 months), 192,484 transactions totalling MYR78.17 billion had been reported within the first 9 months of 2024. This commentary indicated a 4.9 % enhance in gross sales quantity and a 6.9 % enhance in gross sales worth 12 months over 12 months (y-o-y).
The Malaysian Home Worth Index (MHPI) — which elevated by simply 2.7 % 12 months over 12 months to 223.1 factors in 9M2024 (9M2023: 217.3 factors) — reveals that home value growth is moderating. Regardless of persistent residence demand, the index fell 2.4 % quarterly (3Q2024: 220.2 factors vs. 2Q2024: 225.7 factors).
As of 3Q2024, the whole variety of accomplished residential items provided nationally was 236,899, representing a 4.8 % year-over-year lower (3Q2023: 248,952 items). In the course of the research interval, property overhang considerably improved, as evidenced by the 11.2 % lower in unsold accomplished properties to 42,126 items in 3Q2024 (3Q2023: 47,463 items).
With the assistance of centered authorities measures and regular financial circumstances, the residential market is seeing a resurgence, particularly within the high-rise sector. Packages for inexpensive housing and inventive building meet the altering market calls for and purchaser preferences.
Provide of Excessive-Finish Excessive Rise Residential
As of 2024(p), 82,679 upscale condominiums and houses had been accessible in particular Kuala Lumpur neighborhoods. 4 tasks had been completed within the second half of 2024, including 1,167 items to the whole inventory. By 1H2025, an extra 3,625 items from a number of ongoing developments might be accomplished.
CloutHaus Residences KLCC by TA World Berhad is a fancy freehold mixed-use advanced with two towers on Jalan P. Ramlee subsequent to the well-known Petronas Twin Towers and Suria KLCC. Tower 2 has 615 serviced residences, whereas Tower 1 has 242 personal properties and 548 resort rooms below the Paradox KLCC model, Malaysia’s first Paradox Lodge. Excessive-end options like a health centre, rooftop lounge, co-working areas, and an infinity pool are all a part of the event.
CloutHaus is devoted to sustainability and plans to acquire GreenRE Provisional Certification by implementing eco-friendly options comparable to automated parking, siphonic rainwater techniques, and pneumatic waste assortment.
The 45-storey Hanaz Suites KLCC by Exsim Improvement Sdn Bhd advanced, close to Kuala Lumpur’s main enterprise and leisure areas, has 270 serviced residences starting from 327 to 657 sq. toes along with workplace items. The facilities embrace a rooftop social gathering space, assembly rooms, and a pool with a Sakura theme. The event — which Mana Mana Hospitality runs — affords each metropolis dwellers and traders attractive rental return alternate options, comparable to a assured 6 % yearly return or a 4 % annual return with an 80/20 profit-sharing plan.
With its prime location on Jalan Raja Chulan, Pavilion Sq. by Pavilion Group redefines luxurious dwelling in Kuala Lumpur and supplies handy entry to Bukit Bintang. Along with workplace suites, this 67-storey mixed-use advanced has 960 studios and three-bedroom suites. The constructing has greater than 70,000 sq. toes of services, comparable to a 118-meter rooftop infinity pool, a Sky Deck with breathtaking views of the metropolitan skyline, and the very best fitness center within the metropolis on Degree 63A. Residents take pleasure in easy accessibility to key transportation networks, together with the Bukit Bintang MRT station, Monorail, and surrounding highways, and an elevated bridge that connects on to Pavilion Bukit Bintang, enhancing comfort and connectivity.
The Armani Group’s Lofthill Residence, with its up to date type, excellent comfort, and unhindered views of the Kuala Lumpur skyline, redefines city life. The Raja Uda MRT station is conveniently shut by, and Kampung Baru is near vital medical services, together with Hospital Kuala Lumpur and Institut Jantung Negara, in addition to the serene Taman Tasik Titiwangsa. There are 653 serviced residences on this 51-storey constructing, ranging in measurement from 610 to 1,917 sq. toes. Lofthill Residence, which units a brand new normal for up to date city dwelling and targets first-time homebuyers and traders, options first-rate facilities like health centres, co-working areas, and landscaped gardens.
The 1,296 items of Skyline Embassy (beforehand Agile Embassy Backyard) — constructed by TSLAW Land Sdn Bhd — are located within the outstanding Embassy Row of Ampang Hilir and vary in measurement from 521 sq. foot residences to 976 sq. foot dual-key properties. With facilities together with a Sky Terrace, Sky Jacuzzi, and Sky Infinity Pool on the rooftop, the event affords gorgeous views of the Kuala Lumpur cityscape. It presents a compelling monetary alternative for householders and traders, promising substantial rental yields and doable capital development.
The final residential improvement in Mid Valley Metropolis, Southpoint Residences by Tan & Tan Developments, supplies unmatched connectivity with fast entry to main roads, highways, bus routes, and prepare stations. Due to its integration with The Gardens Mall and Mid Valley Megamall, it affords easy accessibility to meals choices, leisure, and procuring. It’s a 59-storey mixed-use Menara Southpoint advanced element with 22 ranges of serviced residences and 27 flooring of workplace house. With built-up areas starting from 1,119 to six,878 sq. toes, Southpoint Residences’ 172 items of roomy serviced residences, designed with a Constructed-To-Promote idea, are perfect for households and professionals. World-class services — comparable to a health centre, pool, and landscaped gardens — are included within the improvement.
Demand for Luxurious Properties in Kuala Lumpur
As a result of improved financial circumstances, optimistic market temper, and authorities efforts just like the Malaysia Premium Visa scheme (PVIP) and Malaysia My Second Dwelling (MM2H) scheme, Kuala Lumpur’s prime residential phase has recovered because the COVID19 pandemic. Relying on the visa stage (Silver, Gold, or Platinum), candidates should purchase a residential property for between MYR600,000 and MYR2 million below the up to date MM2H requirements. This situation might deter potential candidates from renting a property, regardless that it improves the upscale residential market. Gross sales of stratified high-rise residential buildings, comparable to residences, condominiums, and serviced residences, elevated by 12.2 % and 25.2 %, respectively, within the first 9 months of 2024.
Within the first half of 2024, 941 items valued at MYR1.86 billion had been transacted within the high-end residential market, together with high-rise buildings in Kuala Lumpur Metropolis Centre that price MYR1 million or extra. This is a rise in comparison with the 591 items for MYR1.14 billion that had been transferred in 2H2023. Though the typical transaction value for upscale condominiums and serviced flats within the examined localities elevated by 0.4 % in 2H2024 in comparison with the earlier six months, the typical remained unchanged.
In the meantime, take-up charges for just a few not too long ago launched and ongoing tasks have been encouraging, starting from 30 % to 50 %. Lofthill Residence and Skyline Embassy are two examples of developments which have carried out effectively. Moreover, a number of soft-launched schemes have proven constructive reserving numbers, indicating sturdy market demand.
Market Outlook
In 2025, Malaysia’s residential actual property market is predicted to rise steadily because of the nation’s post-pandemic restoration and authorities packages that encourage homeownership and resolve affordability points. Since Could 2023, Financial institution Negara Malaysia (BNM) has stored the In a single day Coverage Fee (OPR) at 3.00 %, fostering stability for debtors and actual property traders. First-time homebuyers now have assurance because of this secure price, which has elevated demand for residential actual property. The Housing Credit score Assure Scheme (SJKP) — which the federal government applied in Funds 2025 — helps middle-class homeownership by offering tax exemption of as much as MYR5,000 for first-time homebuyers who buy homes priced between MYR500,000 and MYR750,000. By 2027, 8,000 inexpensive dwelling items might be constructed within the Federal Territories as a part of the Residensi Madani plan and the MADANI Financial system framework. These homes — which vary in value from MYR150,000 to MYR200,000 — are aimed on the B40 earnings bracket and deal with housing affordability in Kuala Lumpur.
Inventive campaigns from the company sector are complementing these initiatives. Along with providing superior rates of interest for environmentally pleasant properties, Maybank’s Inexperienced Dwelling Financing program supplies 95 % + 5 % financing for licensed inexperienced properties, together with up-front bills like insurance coverage, authorized charges, and stamp responsibility. Builders like Sunway Property have launched packages like “Dream Dwelling Dream Cellphone,” which function improved after-sales providers like Handyman providers below the Sunway Property+ (SP+) program, MOT subsidies, free kitchen cabinetry, and waivers of authorized charges. Equally, Sime Darby Property’s “The Good 10” marketing campaign affords alluring advantages throughout a number of developments in fascinating areas, comparable to money prizes, early fowl privileges, free MOT, stamp responsibility, and a free 12-month upkeep price.
Kuala Lumpur’s premium residential market is anticipated to be regular sooner or later, rising regularly in step with the Asia-Pacific actual property market’s total sturdiness. Town affords funding prospects for residents and foreigners, with property charges among the many most cost-effective in Asia. As purchaser and investor preferences change, street and rail infrastructure enhancements encourage suburban townships and transit-oriented developments (TOD) close to necessary transit strains.
Nevertheless, international inflationary pressures, geopolitical unrest, and financial instability proceed to pose difficulties and would possibly stifle market optimism and broader restoration initiatives. Regardless of these uncertainties, Malaysia’s strategic location, cultural range, and assist for presidency insurance policies strengthen its actual property attraction, setting the marketplace for resilience and long-term development.
Knight Frank Property Hub Managing Director, Enoch Khoo
“As of the second half of 2024, a number of key traits formed by financial circumstances, altering purchaser preferences, and technological developments have influenced the Malaysian residential property market. There are 4 notable traits: (1) Rising choice for bigger residential items after the COVID-19 pandemic as patrons prioritise properties accommodating distant work, homeschooling, and leisure actions; (2) The Rise of Suburban and Secondary Cities means distant/hybrid work preparations are on the uptick, inflicting patrons to maneuver from crowded city centres to suburban districts or secondary cities. Most notably, Johor Bahru, Penang and Ipoh are witnessing elevated curiosity resulting from their decrease property costs and simply accessible high-tech transport networks; (3) Developments within the inflow of information centres and industrial integration are creating extra job alternatives, which inadvertently drive housing demand in close by areas comparable to Cyberjaya and Iskandar Malaysia; (4) International Purchaser Curiosity is one other development the place the Malaysian authorities’s initiatives to draw overseas funding (e.g., Malaysia My Second Dwelling program), has brought about renewed curiosity from overseas patrons in particular high-end residential markets.”
