Oversupply worries I believe could be subdivided into few points:
1.Pricing - for e.g KLCC area has been known to have an oversupply of luxury condominiums but if a developer would launch a condo in this area for 500psf ,do u think people would bother if there is an oversupply?
2.Mature and developed estate - for example, Bangsar houses are always in demand.Why?Coz there is just no more land surrounding that area to be developed.Close proximity to international schools, universities , and CBD , will create more demand then supply. This is also true for TTDI.
3.It depends on the health of the economy as a whole- the health of our economy is currently supported by lots of FDI. More people have better paying jobs and thus the increase of middle class income earners.This group will continue to invest on properties as part of their wealth preservation and wealth accumulation.
In short, for those who listen blindly to what his/her banker frens would tell them "eh becarefull there is an oversupply" ,you might continue to be priced out of the market.One wise men once adviced me, "a foot in the property market is always better then NO FOOT at all".
Your prediction on Malaysian property, Latest survey 18.Mar.13
Mar 19 2013, 12:42 PM
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