Property in Malaysia for sale and rent | Buy, Rent and sell real estate and homes

When will the recent major change in energy prices affect the prices of real estate?

Will it inflate the prices or will it crash the real estate market?

How long will it take to, say, lower or push the prices upwards?

i think u will see impact within months.

i think prices will rise but at the same time property market will slow as energy costs are going to slow the entire economy.

Well, the peak-oil phenomenon affects everybody. Even the Amish! No exceptions! Just how hard will it affect M'sia's real estate prices one way or the other. Prices should sky-rocket, I think. Especially in the prime areas of KL.

I'm not too sure about that. Property prices in Singapore are already falling and expected to fall by 15%. So, how can Malaysia hold up, especially with its added political uncertainties? No sensible investor would like uncertainties. Furthermore, the share markets in this region are also retreating quite badly.

edward, i don't see prices rocketing. world economy is too bad.

winners all, singapore saw a property boom. malaysia didn't. there's a big difference. on one hand tough economic environment will slow things down BUT malaysia's population is growing fast, so it needs more and more property. if the price of building those properties has suddenly gone up then prices of new properties will have to up. developers may take smaller profit margins due to economic environment but we do have 2 competing factors - rising building costs and slowing economy. for the short term it will be building costs that will dominate as that is something that will be more immediate - the slowing economy will take a while to have an effect.

The way I see it, a worldwide recession is on the horizon if it's not already here. However, it may also turn out to be a blessing in disguise as only during such times will the oil price come down to their sensible level.

During this interim period of stagflation (throughout the recessionary period), consumers will be very reluctant to spend unnecessarily. As such, developers will be tested on their holding power of unsold units. If this period is further prolonged, I foresee that property demands, being big ticket items as well as their illiquid nature, will fall, leading to a drop in prices due to excessive supply.

And that was how several of those small developers had gone bust during the last blow-out. Only the fittest will survive during such trying times.

Needless to say, the situation will be even worse for those sub-sale properties, because many Malaysians just don't go for second-hand properties. In addition, those upgraders looking to buy new properties will have a tendency to rid of their existing ones prior to their next purchase. So, this will inevitably affect the decision on their new property purchases.

Adding more to the wound, there are also many \"flippers\" in the market. These people had never wanted the properties for their own use, but would just resell them for a quick profit towards the completion of the property since there is no longer the property gains tax. If they are going to be stuck with it and saddled with their bank loan (which interest rates are also going to pick up soon), it will be a double whammy should they decide to bite the bullet and sell at a loss instead.