Malaysia - Housing

[behappyalways]

Looking ahead, Guocoland flagged that the domestic property sector will remain challenging, because of elevated interest rates and rising construction costs.

“Property sales remain challenging, due to an oversupply of properties in different markets and segments. New product launches will be phased, in line with the prevailing market conditions,” it said in a bourse filing on Monday.


GuocoLand’s 3Q net profit falls 66%, warns about property oversupply
https://theedgemalaysia.com/node/711394

[winston]

Property Stocks Comparison (revised)

by Koon Yew Yin

The table below is property stocks comparison based on the latest traded prices and their EPS for the last 4 quarters.

Name Price 4Q EPS PE Rank
KPP 85 sen 24.7 sen 3.4 1
KSL Rm 1.82 40.8 sen 4.5 2
IGB Rm 2.49 32.7 sen 6.6 3
MahSeng Rm 1.52 9.28 sen 16.3 4
Sunway Rm 1.54 9 sen 17.1 5
SimeDarby Rm 1.24 6.8 sen 18.2 6
IOIProp Rm 2.52 13.7 sen 18.4 7
Gamuda Rm 6.06 32.8 sen 18.5 8
ECOWorld Rm 1.51 6.9 sen 21.9 9
Chin Hin Rm 2.84 5 sen 56 10
UEM Sunrise Rm 1.16 1.36 sen 85 11

https://klse.i3investor.com/blogs/koonyewyinblog/

[behappyalways]

Malaysian real estate is popular with Chinese buyers.
Can the Chinese sing the spring of the Malaysian real estate industry?

大马房产深受中国买家欢迎 中国人能唱响大马房产业春天？| 八点最热报 21/07/2024

https://m.youtube.com/watch?v=LZM3X4IxyHI

[behappyalways]

Chinese buyers are pouring into Malaysia to buy real estate but locals can only buy expensive houses?

中国买家涌入大马置产 本地人只能买贵房？ | 八点最热报 24/07/2024

https://m.youtube.com/watch?v=aBj1zLbnLxE&t=310s

[winston]

Value emerges More reasonable valuations; U/G to POSITIVE

We upgrade the property sector to POSITIVE (from NEUTRAL) as value has emerged after the recent sell-down.

Sector fundamentals and themes (JSSEZ, data centers, corporate exercises) remain intact but valuations are now more reasonable.

Investors should take this opportunity to position themselves in anticipation of upcoming newflows (JSSEZ, DC, HSR).

There is no change to our earnings forecasts and TPs.

We tactically upgrade UEMS to BUY. Our top picks are ECW, SPSB, TILB and SDPR.

Source: Maybank

https://mkefactsettd.maybank-ke.com/PDFS/396722.pdf

[winston]

Say Goodbye To “Ghost Town” – Forest City Is About To Glow Up!

New incentives for the Forest City Special Financial Zone include a 0% tax rate for family offices with RM30m in AUM and a 15% personal income tax for workers, enhancing its appeal over Singapore.

Positive trends in Malaysia’s property market, particularly in Kuala Lumpur and Johor, reflect increased transactions and growth in the residential sector, driven by strategic locations and increased vibrancy in the area.

Maintain OVERWEIGHT. Top picks are laggards such as Lagenda and IOIPG.

Source: UOBKH

https://39646150.fs1.hubspotusercontent ... e=hs_email

[behappyalways]

Chinese are flocking to the Malaysian property market, are locals forced to buy expensive houses?

中国人涌向大马房产市场 本地人被迫买贵房? | 八点最热报 09/10/2024

https://m.youtube.com/watch?v=Rzhy9NTNpQM

[winston]

Mild and underwhelming measures

Too mild, leading to disappointments Budget 2025 measures were below our expectation as the much anticipated MYR30k financial assistance for first-time homebuyers was not announced.

While we did not expect the reintroduction of the Home Ownership Campaign (HOC) in Budget 2025, the market did, which could lead to disappointment among investors.

Elsewhere, as expected, no incentives for JS-SEZ was announced, as the annual Leaders' retreat between M’sia and S’pore will only take place at the end of the year.

We maintain POSITIVE on the sector. Our BUYs are SPSB and ECW.

Source: Maybank

https://mkefactsettd.maybank-ke.com/PDFS/412039.pdf

[winston]

Transaction values hitting all-time highs

According to UOB Kay Hian (UOBKH) Research, property transaction values are hitting all-time highs, the overhang is decreasing, and real estate investment is growing.

“Key drivers include expanding industrial development, which offer developers new growth opportunities beyond residential projects; and rising land values, boosted by special economic and financial zones, data centre demand and infrastructure projects".

Its top picks include laggards like IOI Properties Group Bhd, mainly for its increased launches and large Johor landbank and Lagenda Properties Bhd, which has high margins and return on equity of more than 16%.

UOBKH Research also favoured developers with data centre exposure like Mah Sing Group Bhd and Eco World Development Group Bhd.

Source: The Star

https://www.thestar.com.my/business/bus ... time-highs

[winston]

Sharp housing loan rebound good sign for developers

Rising housing-loan approvals and lower inventories indicate the residential property sector is set to see improved sales.

Approved loans for the purchase of properties rebounded to RM24.3bil (up 11.3% month-on-month) in October following a decline of 21.5% month-on-month in September.

That brought the total loans approved in the 10 months of the year to RM237.8bil or 6.9% higher year-on-year.

The number of unsold residential properties was at the lowest level in seven years as it declined to 21,968 units in the third quarter (3Q24) from 22,642 units in 2Q24.

Source: The Star

https://www.thestar.com.my/business/bus ... developers