More optimism towards affordability: HomeGuru's Q3 Sentiment Survey
KUALA LUMPUR, 21 November 2011: HomeGuru.com.my, Malaysia's property expert, has revealed that consumers have become more optimistic towards property affordability in the country according to results from its recently-completed third quarter 2011 Malaysia property sentiment survey.
HomeGuru's country manager, Steven Tan discloses, "HomeGuru, via the Q3 Sentiment Survey, has discovered that compared to Q2 there is a 10 percent decline in respondents who believe that property in Malaysia are too expensive, indicating that buyers are more confident about being able to afford property purchases."
However, while the 1Malaysia Housing Programme (PR1MA) has garnered positive responses, majority of respondents are not in favour of two potential government policies entailing the control of house rental increase and the implementation of a one-house-per-individual restriction.
In line with the survey results pertaining to government actions, Tan adds, "The Q3 Sentiment Survey has shown negative response towards the My First Home Scheme, which can be attributed to the low income bracket of RM3,000 per month. However, the government has been reported to be reviewing this income ceiling to a higher figure so we hope to see increased confidence amongst house-buyers should the eligibility amendment be implemented."
On the note of overseas property investment, survey respondents listed Singapore, Australia, United Kingdom, India and Indonesia as the top destinations of choice.
"What is interesting about this portion of the survey is how consumers are considering Indonesia for property investment as Indonesia was not in the list of top choices according to our second quarter 2011 survey findings," states Tan.
Key findings of the HomeGuru Q3 Malaysia Property Sentiment Survey are:
- 63% feel all property types in Malaysia are expensive compared to the 73% in Q2.
- Bungalows are the most expensive with 78% of respondents feeling this way, compared to 89% in Q2.
- An average of 27% say bungalow, apartment/condominium, terrace/ link House, townhouse and SOHO (small office home office) is affordable compared to the 17% in Q2.
- 34% perceive commercial property reasonable compared to the 22% in Q2, showing an increase of 12 percentage points.
- 55% feel property prices will increase in the next six months compared to the 86% in Q2, showing a decrease of 31%.
- 50% believe the number of property transactions would stay the same or decrease compared to 18% in Q2.
- 60% want the government to do more to keep property prices in Malaysia affordable compared to the 70% in Q2.
- 64% of responses are positive towards the PR1MA scheme.
- 53% of responses are negative towards the My First Home Scheme.
- Almost 70% disagree to the government's potential policy of imposing one-house-per-individual restriction.
- Almost 63% are unsure of or disagree to the government's potential policy to control the increase of house rents.
- Similar to Q2, 18% would definitely buy property in Malaysia. In Q1, this was 23%.
- 24% are interested in investing overseas with Singapore, Australia, United Kingdom, India and Indonesia being the top five preferred destinations.
In efforts to achieve rounded results, the research team at HomeGuru in partnership with independent research consultants had conducted the survey between 11 October and 31 October 2011, reaching a cross-representative of Malaysia's population spanning the Klang Valley (Kuala Lumpur, Selangor and Putrajaya), Northern Malaysia (Penang, Kedah, Kelantan, Perak, Pahang, Terengganu and Perlis), Southern Malaysia (Johor, Melaka and Negeri Sembilan) and East Malaysia (Sabah and Sarawak).
HomeGuru conducts this on-going quarterly property sentiment to gain a better perspective on the Malaysian property market, consumer sentiment and buying intentions as well as views that reflect consumer property buying intentions and impact of government measures and policies.
www.HomeGuru.com.my is a Malaysian property portal set up in 2010 and it now has over 270,000 users viewing more than 1.7 million pages monthly and provides consumers a platform to find properties for purchase, sale, rental or investment and a direct channel to search for and contact agents. Designed with the end-user in mind, it features real-time access to multimedia-rich content, covering property-related products, services, news, advice, guides, tools and a rapidly growing online property database in Malaysia. It works closely with prominent real estate developers, housing agents and home-related firms in Malaysia and overseas.
www.FullHouse.com.my was established in 2005 for Malaysians to efficiently and conveniently search for properties on the Internet. It has grown in popularity, attracting over 200,000 visitors viewing more than 1.2 million pages every month, to become one of Malaysia's top property portals. With hundreds of housing projects and more than 80,000 property listings to date, Fullhouse.com.my is the preferred online marketing channel for major real estate players. It constantly explores ways to serve customers through innovative and effective strategies. The company's objective is to enhance the experience of finding a new home and lead the industry into a new era of real estate marketing.
PropertyGuru was founded in 2006 as a self-funded company, with a vision to make the property search process a breeze for buyers, sellers and investors. Taking advantage of Asia's growing affluence for property and the online boom, it received its first VC investment funding in 2008. Since then, the company has grown rapidly, reaping profits and positive cashflow in 2009 and tripling its revenue growth in 2010.
PropertyGuru is now Asia's leading online property portal, with a presence in eight countries, including offices in Singapore, Malaysia, Indonesia, Thailand and partnerships with leading property websites in Australia, Hong Kong, India and Macau. It has 4 million buyers viewing 50 million property pages monthly, with a growing database of 300,000 opted-in buyers and over 14,000 real estate agents.
PropertyGuru provides an integrated media platform that real estate developers and agencies can use to promote their brands and generate sales leads. The entire PropertyGuru community boasts 370,000 residential and commercial properties and clients include almost 1,000 prominent developers from Asia, Europe and the Americas.
PropertyGuru has also won multiple awards, including the Hitwise "No.1 Website in the Property Industry" award, the Singapore IT Federation (SITF) Merit Award for "Mobile Application 2011", the Singapore IT Federation (SITF) award for "Best E-Enterprise Company 2010", the Singapore Venture Capital & Private Equity Association (SVCA) award for "Best Performing VC Backed Company 2010", Marketing Magazine's "Top Digital Media of the Year 2010" award, CNBC World's "Best Property Portal Award 2009" and the "Google Zeitgeist Singapore 9th Fastest Rising Search Term 2009" award.