Terrace continues to be the home of choice among secondary home buyers, units in Perak’s capital sees robust demand.
Findings are based on latest iPropertyiQ.com data (Apr’16 – Mar’17).
Terrace is king – Most secondary homebuyers opted for terrace homes in the past year
Diving into the terrace home sub-category;
- The No 1. spot goes to Selangor with 13,392 sales (27%), followed by Johor with 9,424 sales (19%) and Perak with 5,952 sales.
- Transactions in these top three states accounted for more than half, or 58% of the country’s total terrace home sales.
Median PSF price of terrace homes in Ipoh is 29% lower than Malaysia’s overall PSF
- Taking Selangor as an example (total sales=13,392), its median PSF of RM356 means that half the homes sold in the state had PSF prices higher than RM356 (RM450, RM525, etc) while the other half falls below RM356 and may bear PSF prices such as RM325, RM275, etc.
- Malaysia’s median PSF for the transacted terrace homes in the review period is RM245 – At RM356 and RM275, Selangor and Johor’s median PSF figures were respectively 45.3% and 12.2% higher than the country’s PSF figure. Meanwhile, at RM174 Perak’s PSF was 29% lower.
This affordable price tag may be the main contributing factor why…
Ipoh takes the lead among other state capitals
NOTE: The transaction volume and median PSF for Labuan, Kuala Terengganu (Terengganu), Kangar (Perlis) and Kota Bahru (Kelantan) were not shown due to insufficient data.
- When comparing sales performance between the capitals of each state, Ipoh emerged as the clear winner – garnering 1,978 transactions or 33% of the total sales across the 10 capitals. Kuantan trailed in second with 844 sales (14.3%), followed closely by Kuching with 825 sales (14%).
- Selangor’s ‘capital’ PJ, however, came in 7th, commanding only 401 sales (6.8%) while Johor’s capital took the fourth spot with 559 sales (9.5%).
Among the top 3 states for terrace sales, only Perak (Ipoh) retained its top 3 ranking when zooming into the respective capitals. This goes to show that it is still affordable to live in Perak’s capital city or the Ipoh CBD area.
Affordability is key – Ipoh offers the lowest PSF
- Ipoh’s median PSF of RM177 is only slightly higher than the state’s overall PSF figure of RM174, shown in Chart 3 – which could either mean two things:
- The majority of Perak’s terrace home transactions in the review period occurred in Ipoh.
- The selling price of terrace homes do not vary greatly across the state – there is very little deviation between different towns/cities in Perak.
- Comparatively, Petaling Jaya’s PSF of RM573 is a whopping 61% higher than the Selangor state PSF figure of RM356. Whereas, PSF prices in Johor Bahru (RM353) is 28% higher than the state’s PSF figure of RM275.