I just read a news about Henry Butcher Malaysia had tied up with Malaysian Airline System Bhd (MAS) to promote Penang real estate under the Malaysia Stopover Property Investment cum Second Home (PI2H) holiday package.

The project is going to bring more foreigners to Penang state, and hope to get some of them to buy a few pieces of Penang properties. There are also some retirees from other developed countries such as Japan prefer to spend the rest of their retirement lives in Penang. If you know Penang well, it is really a good place to live.

I can get to a beach in 5 minutes drive. I can do hill climbing exercise in 10 minutes drive. I can walk 10 minutes to reach an Olympic-sized  public swimming pool. I can do some great shopping in the biggest mall in Northern Malaysia within 5 minutes drive. All those very tasty food in Penang are really cheap… if you compare it to Kuala Lumpur and Johor Bahru.

But the one thing I need to complain about is the expensive landed properties. I just heard that a double-storey terrace house was sold at RM520,000, which is situated at Batu Maung (not prime area).

Do you think the real estates market here is demand over supply? The highly price property market is a good news for investors (who got lots of money), but really not so encouraging for those who are yet to own a piece of Penang ‘s land.


KCLau
KCLau

Personal finance author and trainer

    4 replies to "Are Penang Real Properties too hot?"

    • chia lih

      personally, I do believe penang property is attractive. nevertheless, it is not simply close your eye and buy. do your homework. there are many reasons and i have stated three in my recent article: http://kopiandproperty.wordpress.com/2013/12/02/penang-property-potential/

    • braveeng

      Hi Lau,

      i heard of some real estate agent claimed that Penang property price is going down in first quarter of 2012 because of oversupply, there will be increase of new houses come to market for those project was launched in 2-3 years ago and ready for key collection, indirectly, there will be tremendously increase of unit especially highrise condo or apartment, it may led to price dropped due to oversupply than demand.

      Do you foresee how would be the market in penang for the next 1- 2 years, what would be the potential growth of pricei n term of value from investor standpoint especially prime area, like Gurney, tanjong bunga and tanjung tokong.

      Based on my survey, i am seeing a lot of competition amongst the difference apartment, and noticed quite number of property started publishing to market with the lower price than before in last year 2011. are you agree? will it be keep dropping? and what is the % of depreciation.

    • yee

      Agree with u Lau, landed property in Penang is really too expensive, can u imagine a 50 years old single terrace in original form without renovation in Greenlane asking for RM 560?

      • KCLau

        Wow .. single storey is asking for RM560k?
        That’s the price of a double storey terrace.

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