After the Q3 2019 Residential Overhang Status report released by the NAPIC, some asking if it's viable to take the plunge on a new house for sale in JB, let's have a look.
In the latest Q32019 Residential Overhang Status report released by the National Property Information Centre (NAPIC), Johor remained the highest with 5,470 units, or 17.6% of the national total, with Perak trailing not far behind at 5,126 units, and Selangor at 4,872 units.
This has led to some asking if it's viable to take the plunge on a new house for sale in Johor Bahru. Let's take a look at recent developments:-
An overhang does not mean people have stopped buying properties. It just means people are more selective in their purchasing decisions.
In a separate Residential Transaction Data Q3 2019 NAPIC report, Johor recorded the second-highest volume of transactions at 21,591 units or about 14% of total units sold in the country. The type of housing commanding the majority of the demand comes from terraced (or linked) houses.
In the most recent National Budget, the proposal of a lower threshold from RM1 million to RM600,000 for foreign buyers of high-rise residential properties will encourage more demand and alleviate the oversupply.
Budget 2020 also proposed to allocate some RM25 million to promote medical tourism. Some hospitals in Johor also allow Singaporeans to use their Central Provident Fund (CPF) for their medical expenses in the state.
This bodes well for Singaporeans intending to retire in Johor Bahru due to the lower cost of living. Buying a property in the state would seem like a sound investment for their golden years.
An article from Edgeprop.my reported the RM85 million budget allocation for the Causeway and Second Link would be a boon to Johor and Singapore considering the significant amount of daily traffic at the two checkpoints