Penang properties still hot

Close to home: Singaporeans like Penang because of its similar language, food and culture, according to a property consultant. — ZHAFARAN NASIB/The Star

GEORGE TOWN: Like the tourism industry which gets a boost from the weak ringgit, the country’s property market, too, looks to be flourishing with higher demand, especially from foreign investors.

MM2H consultant Tara Lim pointed out that there is high demand for Penang properties among Singaporeans, Hong Kongers and Taiwanese.

“With the current exchange rate, Singaporeans are on the hunt for condominiums here.

“Many of them are retirees who want to come to Penang to enjoy life,” she said.

Lim said another reason Singaporeans like Penang is because of its similar language, food and culture.

“The property market this year should be good with many suitors from Hong Kong and Taiwan.

“For them, the price of property here is reasonable and affordable,” she said.

Lim said among the hot locations are at Gurney Drive, Tanjong Tokong and south of the island near Queensbay mall.

Some of the smart investors include popular Hong Kong actors Hugo Ng, Dickson Lee and Philip Keung.

“Most of them are eyeing condominium units priced between RM1.5mil and RM2.5mil,” Lim said.

It was reported recently that Penang’s property market has demonstrated a robust growth, surpassing the national trend.

“In the first half of 2023, there were 11,285 property transactions, marking a 4% increase from the same period in 2022 and a significant 42% rise compared to 2021,” said TA Research.

Meanwhile, Malaysia Semiconductor Industry Association president Datuk Seri Wong Siew Hai expects the country’s economy to rebound this year.

“For this year, we expect a slow recovery on our economy with the demand from countries such as China, United States, United Kingdom, Japan and others.

“The economic recovery will not be that fast. It will be a slow return with the demand also showing progress,” he said.

Wong added that in the electronics and electrical (E&E) sector, most Malaysian and multinational companies deal in US dollars, and the impact was not so significant.

“But when trading in US dollar, the demand has to be there, so that companies in Malaysia can export their products to other countries,” he said.

Wong said last year, the E&E exports experienced a contraction of about 3% or RM575.41bil compared to RM593.25bil in 2022.

He said this was, however, slightly better than the global contraction rate at 9% in 2023.