Factors that Affect Real Estate Pricing in Malaysia.
Like any real estate undertaking, location is always a primary factor that will dictate the value of that property in the eye of potential clients or a promising resident. In Malaysia, as in any other country around the world, this location factor is very true. Since properties located near a school, a shopping mall, hospital, airport, and any places that provide convenience and safety to people, are very attractive to people, most property owners will command a higher price for these properties. This shows that the economic principle of demand and scarcity in the real estate is just as operative as any consumer appraisal similar to any kind of commodities. What drives up the value of the property is the high demand for it coupled with certain purchasing power, and a short supply due to the scarcity of land near the establishments that everyone wants to be near to. On the other hand, if a property has less demand, then its price will drop especially if people prefer locations where they are close to amenities and conveniences. This is just the way real estate works.
Since Malaysia is already becoming densely populated, it puts a lot of pressure on the land use with so many people wanting to live there, and so property prices are every increasing for developers. This is also the reason why high-rise apartments, condo’s and the like are sprouting in exchange to a single home with sprawling gardens. This enables the developer to use every inch of expensive land that it can take advantage of, and at the same time allows buyers to find a suitable place to life in a location which they prefer.
If you want to invest in real property in Malaysia as a new arrival there or if you want to go into property development there, it would be good for you to know that what plays a significant part when it comes to property value is ancient architectural design. When your dwelling embodies the vastu shastra as well as feng shui,it certainly would command a more handsome price than when this sacred bodies of knowledge revealing the connection between humans and the habitat they inhabit is not present. This is very much a part of Malaysian economic principle of supply and demand. You should also consider developing properties near a body of water. If the property is near a body of water then it can command a higher price in Malaysia, then a house far from it. A property in an area facing a rod junction or is built at a dead end will not have much value compared to a property in the same area which does not have these conditions.The Art of Mastering Properties