Developers see stable property mart

KUALA LUMPUR: The Real Estate & Housing Developers' Association Malaysia (REHDA) is confident the property market can be stable amid the gloomy global economic outlook.

Its chairman of finance and investment committee, Datuk Ng Seing Liong, said the market would probably take a breather after having been quite bullish in 2010 and the first half of 2011.

"So far, the property market is not too bad, except for the past few weeks when the stock market was down.

"Looking at the market situation, we will definitely see a slight slowdown, but the undercurrents are still quite strong," he told a media briefing on the coming Malaysia Property Exposition 2011 (MAPEX 2011) here today.

Ng said REHDA hoped the government would not introduce new tax policies and impose more stringent rules for securing property loans in the 2012 Budget.

"It is important to be consistent so that the property market can be sustained," he said.

REHDA, he said, has generally asked for stability and consistency in terms of policy whether it's tax or other things.

Meanwhile, chairman for REHDA Wilayah Persekutuan, NK Tong, said the challenge for the country, especially the Greater Klang Valley, was the provision of more new good quality houses, especially with the increase in the population.

"We're facing very unusual time now all over the world. Not only the moods are dampened, we also find the costs are rising, therefore people are not buying.

"That will slowdown the building of new homes and in 10 years there will be a shortage of homes and this will escalate prices," he said.

Ng said MAPEX was open to participation from overseas.

"We cannot be static anymore. Many Malaysians are investing in overseas properties and vice-versa. We also want the foreigners to come and buy our properties," he said.

REHDA has received interests from Shanghai, Hong Kong, Guangzhou (China) as well as Australia, London and Dubai, he said.

He said MAPEX was expected to generate sales of about RM300 million, the same amount be recorded last year.

"We are more concerned about generating awareness. Sales don't have to be transacted within the three days," Ng said.

MAPEX 2011 will be held from Oct 21-23 at Mid Valley Exhibition centre.

It attracts 60,000 visitors each year.

By Bernama