INVESTORS from Singapore, the UK and Hong Kong were the biggest property buyers in Kuala Lumpur, Selangor and Johor in the first half of 2007, a survey by the Real Estate and Housing Developers' Association of Malaysia (Rehda) showed.
Deputy president Datuk Michael KC Yam said sales in Kuala Lumpur and Selangor improved by 75 per cent and 50.9 per cent respectively.
"Malaysia has one of the best land administration and ownership titles in the world. Foreigners feel comfortable and safe to buy a property here," Yam told Business Times after a media briefing in Kuala Lumpur yesterday.
Restrictions in neighbouring countries also work in Malaysia's favour, Yam said. For example, foreigners are not allowed to buy landed properties in Singapore, he said.
The main reason for the foreign appetite is the removal of real property gains tax and easier approval rules.
Developers are planning to launch 20,763 units of terrace, apartments/condominiums, semi-Ds, bungalows and shophouses in the second half of 2007.
Yam said developers are upbeat that the real estate market will grow in the second half.
More than 27 per cent of the 204 developers who responded to the survey were optimistic on their outlook for the year ahead while 59 per cent were neutral in their opinions.
They said enquiries from foreigners and locals had increased by 13 per cent and 70 per cent respectively in the second quarter and conversion of sales from the overall enquiries was 67 per cent.
