Loading Property Genie

What Are The Average Property Prices Across Malaysia?

MONEY

Written by Fazrina Fezili

Malaysia's property market is diverse and dynamic, with significant variations in prices across different states and regions. Understanding these variations is crucial for prospective buyers, investors, and developers. This article delves into the average property prices in various states across Malaysia, exploring the factors that influence these disparities and identifying high-value and affordable regions.

 

Average Property Prices Across Malaysia

 

Explore Malaysian home prices

NAPIC stands for National Property Information Centre, created following the directive of the National Economic Action Committee (MTEN) to establish a property center dedicated to overseeing the development of the property market nationally.
 
As per NAPIC, the median cost of a home in Malaysia during the second quarter of 2023 stood at RM 355,000 per unit. The median price indicates that half of the homes are priced below this value, and the remaining half are priced above it. This metric is preferred over calculating the average price of all homes, as extremes in home prices can distort the overall measurement.

Median Property Prices Across Malaysia (per unit):

  1. Wilayah Persekutuan Kuala Lumpur (WP Kuala Lumpur): RM 507,500
  2. Wilayah Persekutuan Putrajaya (WP Putrajaya): RM 620,000
  3. Wilayah Persekutuan Labuan (WP Labuan): RM 304,000
  4. Selangor: RM 440,000
  5. Johor: RM 446,800
  6. Pulau Pinang: RM 330,000
  7. Perak: RM 246,050
  8. Negeri Sembilan: RM 349,744
  9. Melaka: RM 267,000
  10. Kedah: RM 260,500
  11. Pahang: RM 260,000
  12. Terengganu: RM 270,286
  13. Kelantan: RM 308,000
  14. Perlis: RM 223,170
  15. Sabah: RM 320,000
  16. Sarawak: RM 374,500

 

Median Home Prices Across Malaysia

 

Source: The Residential Prices Quarterly Update Q2 2023

 

Factors That Influence Property Prices in Various Malaysia States

The property prices in each state of Malaysia are influenced by various factors, including economic development, infrastructure, demand and supply dynamics, and regional characteristics. These are the potential factors for the property prices in each state:

 

WP Kuala Lumpur (KL) - RM 507,500 / unit:

  • Economic Hub: Kuala Lumpur (KL) is the economic and financial hub, attracting businesses and high-income individuals.
  • Limited Space: High population density and limited land availability contribute to higher demand and prices.

WP Putrajaya - RM 620,000:

  • Administrative Center: As the administrative capital, Putrajaya attracts government officials and professionals, impacting property values.
  • Modern Infrastructure: Investment in modern infrastructure and amenities enhances the city's appeal.

WP Labuan - RM 304,000:

  • Business and Financial Center: Labuan is a financial hub, attracting professionals and contributing to property demand.
  • Special Economic Zone: The status as a special economic zone can influence property prices.

Selangor - RM 440,000:

  • Urban Development: Proximity to KL, Selangor State urbanization, and economic activities contribute to higher property values.
  • Infrastructure Investments: Well-developed infrastructure and amenities enhance the overall appeal.

Johor - RM 446,800:

  • Economic Growth: Johor's economic growth, particularly in Iskandar Malaysia, impacts property demand.
  • Connectivity: Improved connectivity, including the Iskandar Malaysia development, affects property prices.

Pulau Pinang - RM 330,000:

  • Tourism and Heritage: Pulau Pinang's status as a UNESCO World Heritage Site and tourist destination influences property values.
  • Economic Diversification: Economic activities, including the tech industry, contribute to property demand.

Perak - RM 246,050:

  • Historical and Cultural Attractions: Perak's historical and cultural significance impacts property values.
  • Industrial Activities: Economic activities, including mining and manufacturing, contribute to demand.

Negeri Sembilan - RM 349,744:

  • Connectivity: Proximity to KL and improved connectivity impact property prices.
  • Industrial Development: Industrial zones and economic activities contribute to property demand.

Melaka - RM 267,000:

  • Historical Appeal: Melaka's historical significance attracts tourists and influences property values. Such as the iconic A Famosa fort, the Stadthuys, and Jonker Walk, draw tourists globally. This influx of visitors boosts the local economy and increases the demand for accommodations like hotels, guesthouses, and rental properties.
  • Tourism and Services: The tourism sector and service industries contribute to property demand.

Kedah - RM 260,500:

  • Agricultural Activities: Agricultural activities impact the economy and property values.
  • Connectivity: Infrastructure improvements influence property demand.

Pahang - RM 260,000:

  • Natural Resources: Pahang's natural resources, including agriculture and mining, influence property values.
  • Tourism: Tourism attractions contribute to property demand.

Terengganu - RM 270,286:

  • Oil and Gas Industry: Terengganu's role in the oil and gas industry impacts property values.
  • Tourism: Beach destinations and tourism contribute to property demand.

Kelantan - RM 308,000:

  • Cultural Significance: Kelantan's cultural attractions influence property values.
  • Agriculture: Agricultural activities impact the local economy and property demand.

Perlis - RM 223,170:

  • Agriculture: Agricultural activities, including rice cultivation, influence property values.
  • Small Population: Limited demand may contribute to comparatively lower prices.

Sabah - RM 320,000:

  • Natural Resources: Sabah's rich natural resources and biodiversity impact property values.
  • Tourism: The tourism sector, including eco-tourism, contributes to property demand.

Sarawak - RM 374,500:

  • Economic Development: Sarawak's economic activities, including oil and gas, influence property values.
  • Infrastructure: Investments in infrastructure impact property demand.

 

Other Factors That Affect Property Price Trend

1.  The politic stability

Investors generally favor stability and predictability, making political changes potentially harmful to real estate transactions. This encompasses shifts in land policies, the appointment of new ministers with divergent goals, the imposition of new building restrictions, and various other political alterations that could jeopardize the stability of the housing market.

 

2. The economic performance

When the economy is doing well, people not only have more money to buy homes but also feel positive about investing in big things like real estate. This positive attitude sets the stage for the entire real estate market. But it's important to remember that economic health involves more than just inflation and interest rates. Things like how many people are unemployed, global financial conditions, international trade deals, and other factors also play a role in how well the economy is doing overall.

 

3. The balance between supply and demand

The fundamental principle of property market economics revolves around supply and demand. This concept is crucial in understanding how the property market operates. When there's an excess of a particular type of property, the demand tends to be lower than the supply, leading to a decline in prices. However, in sought-after housing areas like established urban neighborhoods with landed properties, high demand and limited supply persist even in a generally sluggish market. This phenomenon can be attributed largely to the next factor at play.

 

 

In conclusion, Malaysia's property market is diverse, with varying prices influenced by location, infrastructure, economic activities, and development projects. Whether seeking high-value investments in bustling cities or more affordable options in emerging regions, understanding these factors is essential for navigating the Malaysian real estate landscape.

 

Share :

.

Related Article

Thinking about your mortgage?

Use our loan calculator

See what you can afford

Article Highlights

Malaysia property market

Average property prices

NAPIC (National Property Information Centre)

Median home prices

Property prices by state

Factors influencing property prices

.

Latest Guides

Properties You May Like

Malaysia’s fastest growing and expanding property portal for users and real estate agents alike. With PropertyGenie, discovering your ideal property - be it for buying, renting or investing in residential or commercial spaces across Malaysia.

Malaysia’s fastest growing and expanding property portal for users and real estate agents alike. With PropertyGenie, discovering your ideal property - be it for buying, renting or investing in residential or commercial spaces across Malaysia.

+603 5622 0022

Whether it's property for sale or houses for rent, explore an extensive selection of listings with detailed, interactive maps and high-quality images at Property Genie. From residential homes to commercial spaces, our platform is tailored to meet your needs!

Owning your next property is a significant milestone, and we're committed to providing you with all the necessary tools and insights. Browse through our comprehensive agent directory to connect with a property agent in Malaysia, and our developer directory will also provide an in-depth look at Malaysia's leading property developers - giving you a clearer understanding of the market landscape.

We offer a diverse range of real estate opportunities, from residential to commercial in our list of projects. Added on with our insider guides, we’re here to further guide you in your property journey and to deliver expert advice, market trends, and property insights. Start your property search with Property Genie today!