As the year 2023 rolls on, Malaysians have their eyes set on the property market, with many contemplating the idea of purchasing real estate. To gain deeper insights into the minds of prospective buyers, we conducted a survey to garner responses from our users. The results shed light on the aspirations and hesitations that Malaysians harbor when it comes to property ownership.
Majority of our users, about 46.21%, want to purchase a property in 2023. The reasons behind their decision were diverse, reflecting the multitude of desires and goals Malaysians pursue in the property market.
1. Investing in the Future
The most prominent reason cited by those looking to buy property was their interest in property investment. Property has long been seen as a solid investment, offering potential for appreciation and generating rental income. As the property market continues to show resilience, it's no surprise that investors are keen to take advantage of the opportunities it presents.
2. A Place to Call Home
For some respondents, buying property was a step towards fulfilling their dream of having a place to call home. The desire to own one's residence remains a primary motivation, reflecting the importance Malaysians place on security, stability, and the sense of pride that comes with homeownership.
3. Seeking a Bigger Living Space
As life progresses, so do the needs of individuals and families. A number of respondents were in search of a bigger living space, whether to accommodate a growing family or simply to enjoy a more comfortable lifestyle.
4. Retirement Plan
A significant portion of prospective buyers looked to secure their future by acquiring a property for retirement purposes. Real estate has long been viewed as a reliable means of building wealth, and many Malaysians are planning ahead to ensure a comfortable retirement.
In contrast, 19.32% of respondents expressed that they would not be buying property in 2023. This group cited several reasons for their reluctance to make a purchase.
1. Financial Constraints
The most prominent barrier faced by those who chose not to buy property was a lack of funds. Rising property prices, coupled with other financial commitments, have left many Malaysians feeling unable to make the leap into homeownership.
2. The Influence of Overnight Policy Rate (OPR)
The current Overnight Policy Rate (OPR) of 3% has also played a role in dissuading potential buyers. As the OPR rises, borrowing money becomes more expensive, making property purchases less feasible for those who rely on loans.
3. Exploring Alternative Investments
Some respondents favored other investment options, such as stocks, over investing in real estate. With the availability of other investment strategies, some are hoping for potentially higher returns in alternative avenues.
Approximately 21.59% of respondents remained on the fence, expressing their likelihood to buy property in 2023 only if certain conditions were met.
1. Waiting for the Right Moment
A substantial majority in this group were waiting for the perfect timing with better deals before making their move. Their caution suggests a strategic approach to property investment, indicating a long-term view of homeownership with careful consideration of personal circumstances and plans.
The remaining 12.88% of respondents were uncertain about whether they wanted to buy property in 2023, driven by concerns and reservations.
1. Navigating Financial Uncertainty
A major factor contributing to this uncertainty was financial instability, reflecting the cautious mindset of many of our users amidst an ever-changing economic landscape. Moreover, many people in this country find it hard to afford to own a house due to low income and high debts.
2. The Burden of Monthly Commitments
The thought of significant monthly financial commitments deterred some respondents from making a decision, as they grappled with the responsibility and implications of property ownership. Some are not willing to make lifestyle changes to accommodate these commitments, while some are concerned about how home ownership will affect their financial security.
The survey results reveal a diverse range of motivations and concerns guiding potential buyers' decisions. Whether it be for investment, homeownership, or future planning, the allure of property remains strong among Malaysians. However, financial constraints, economic factors, and investment alternatives continue to shape the decisions of many, leading to a mix of eager buyers, hesitant observers, and contemplative strategists in the property market.
As the year progresses, the landscape may shift, but with the right knowledge and guidance, Malaysians can navigate this exciting market and turn their property aspirations into reality.
Are you among the eager ones, all ready for a new home? Check out these new properties for sale:
1. Sebayu Hill Villas, Bangi South
2. Irama Sendayan 2, Bandar Sri Sendayan
3. Serenia Aqila, Sepang
4. See all properties for sale
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(Written by Michelle Yoon, 7th August 2023)