Pumping the brakes: The central bank takes steps to prevent a housing bubble
Fuelled by attractive yields and soaring property values over the last five years, Malaysia’s real estate market has drawn both foreign and local investors seeking a strong return. While growth in GDP and population are partly responsible, this organic growth does not entirely explain the price escalation seen in the residential sector over the past three years. And although the factors steering Sarawak’s property market differ from those affecting Peninsular Malaysia – the chief target of regulatory changes – the state would not be immune to fallout from a national price correction. Concerned that runaway prices could put home ownership out of reach for many
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