Where to put your money in the residential market

In our nature of business, we have been asked numerous times from family, friends and clients on where is the best location to invest in residential properties in Klang Valley. This article answers the question based on our analysis and projections of the market and also on current trends and lifestyle needs. Please note that we do not have any interest in these locations and our advice should be regarded solely as a general guide.

The Usual Suspects. These locations are for those who prefer to invest in proven locations i.e. conservative investors. Our top picks for the usual suspects are as follows:

1. Bangsar Baru, Bangsar Park & Bukit Bandaraya
2. Damansara Heights
3. Taman U Thant/Ampang Hilir
4. Mont Kiara-selected developmnts
5. Taman Tun Dr Ismail
6. Bandar Utama
7. Petaling Jaya especially Sections 5, 14, 16 and 17
8. SS2, Damansara Utama and Damansara Jaya
9. Subang Jaya and USJ - selected locations
10. Taman TAR & Ukay Heights
11. Taman Melawati
12. Bandar Sri Damansara
13. Cheras (especially Taman Midah, Taman Cheras, Bandar Sg Long, Bandar Tun Hussein Onn)

We are very confident that these locations still offer an upside in terms of capital appreciation and yields due to the limited supply within the said locations. The properties in these locations are also sizeable as compared to the newer products in the market. Even though standard 2 storey terrace houses in Bangsar are valued at above RM800,000, we anticipate these prices to appreciate further in the medium to long term.

The Underdogs. The following locations are locations, in our opinion, are underrated locations in the Klang Valley. We think these locations offer tremendous upside in the long term and are definitely worth a look. Our opinions are based on the main criteria of location, potential growth in and around the vicinity, quality of the product and neighborhood and of course future supply.

1. Medan Damansara. Just next to Bangsara and within the Damansara Heights vicinity. Its practically forgotten due to the perception that Damansara Heights only has bungalows. A sure winner in the long run.
2. Seputeh and Robson Locality. The most underrated location in Klang Valley. Linked by Highways and Public Transport, close to the traditional and upcoming Brickfields and close to the new Mid Valley and of course some very nice products. Also, there is lack of supply in this locale.
3. Taman Desa. Just like Seputeh, this location is so well connected you will be surprised when you pay it a visit. The homes are also very nice and spacious with ample amenities and facilities. Also, Faber Development has and is coming up with some great products that we think has and will change the outlook of Taman Desa (and now extended to include Taman Danau Desa).
4. OUG, Taman Yarl and Taman Kanagapuram. The Oldies of Old Klang Road. Established neighbourhoods and recently being well connected with the highways and the New Pantai Expressway. The upgrading of roads to allow access to Petaling Jaya and the LDP has also done wonders for this place. Most importantly, the neighbourhoods are nice and mature with some good properties. For your information, Sunrise first condominium development was in Taman OUG
5. Serdang. Developments like Taman Univeristy Indah and Equine Park are really a breath of fresh air here. We choose Serdang as it is easily accessible to Putrajaya and also to KLCC and because of this, we do see big potential for Serdang. It is alsowell coneected by Highways and Public Transport. Moreover, it also has two Universities in the locality (Uniten and UPM) and history has always shown universities are growth centres to the locale it is in.
6. Puchong. Tesco and Jaya Jusco are here. Nothing more to say other than stick to good developers.
7. Jalan Ipoh 3rd Mile - 4th Mile. Some beautiful bungalows in this pocket of an unlikely location. Some bungalows are better due to its location of backing onto Sentul Raya. There are even some beautiful old single and double storey terrace houses that offer great potential. Only downside, it is very hard to come across properties for sale here.

The Upstarts. These are new locations and projects that we are confident will also give you some good returns as an investment.

1. Balakong/Seri Kembangan. Some beautiful projects here such as Gita Bayu (in our opinion one of the best property development in Malaysia) and The Mines Resort. The location and its commercial & industrial content makes it a nucleus for growth. We foresee this neighborhood to accommodate some very nice developments in the near future.
2. Sentul Raya. Hands down winner. YTL have even surpassed themselves in reviving the project into a lifestyle project community that will offer something for very occupant. There is also a new highway linking Sentul Raya to Jalan Kuching. We were only a bit sad that there are no landed properties, but even so, the amount YTL is priming this property, we strongly recommend a buy, especially Sentul West. You should arrange a site inspection to actually appreciate what YTL have done.
3. Mutiara Damansara. A very nice neighborhood development and also very well connected to Sprint, LDP and NKVE with The Curve, Ikea and Tesco here. All its launches have been runaway success.
4. Putrajaya. This is really a long-term investment but a sure one. About 40% of Putrajaya is Natural and its really a beautiful place to live in, offering everything you would ever want. The distance from Kuala Lumpur is the only hindrance at the moment, but with more government offices and MSC companies opening up in and around here, the upside is very obvious. Houses in Precinct 8, 9 and 10 are our favorites.

Choosing the right property investment is definitely challenging. With this in mind, it is always good to back up your decisions with ample information, a structured decision making process and reliable advise.

Find all articles by Previndran.

	Feedback
	Is this article helpful?