- What are new property launches like in KL this year? What type, how much? How do prices compare to the last 10 years? We put together the data for you to find out what you need to know.
KUALA LUMPUR (Sept 30): Property prices have been steadily increasing year after year in Kuala Lumpur — or that’s what most of us believe. But is it really so? How have housing prices truly evolved, and what are selling prices of new projects like?
Using data from the Ministry of Housing and Local Government (KPKT), we’ve analysed all the projects launched so far this year in the nation’s capital city to provide insights into current property prices.
All new property launches in KL were non-landed
There were a total of 10 new property launches between January and September.
Not surprisingly, considering the limited availability of development land in the metropolis, all the 10 residential projects were non-landed, comprising flats, condominiums, serviced apartments and luxury apartment suites.
Due to the lack of data in deriving the median price of each project, we have categorised them based on their unit starting prices. Of the 10 projects, eight of them fell within the low- to mid-price range of below RM1.2 million, indicating the direction of market demand.
While most of the projects pose a standard price range of not more than RM300,000 between the lowest- and highest-priced units, do note, however, some premium developments house units with very wide-ranging prices. Among them are Kiaramas Dedaun, which range from RM1,095,600 to RM4,184,700; Ta Twin Towers, with prices from RM1,976,400 to 8,020,800; and Aetas Seputeh, starting from RM3,919,800 to RM16,667,800.
Here's what you can expect to pay for a new property in 2024
Two of the projects featured unit prices between RM250,000 and RM400,000. Assuming a 4% annual interest rate and a 30-year mortgage with no down payment, your monthly repayment would begin at RM1,193.54.
Meanwhile, the category of properties priced between RM400,001 and RM800,000 was the most active segment of the market. Four new projects were launched so far this year, and you can expect a monthly repayment starting at RM1,906.66. Among the notable developments were M Zenya, a condo at Metropolitan Park, Kepong, built by Mah Sing Group Bhd; Bamboo Hills Residences apartment suites in Bamboo Garden by UOA Development Bhd; and Riverville 2 Residence serviced apartment in Taman Sri Sentosa, Old Klang Road by the Alzac Group.
The monthly instalment for homes in this range is deemed attainable for a wide pool of buyers, particularly the middle-income families. The higher number of projects in this price category highlights a sweet spot in the market, where both demand and supply are concentrated.
When it comes to higher-end housing priced between RM1,600,001 and RM2 million, there is only one project in this range, namely serviced apartments in Ta Twin Towers by TA Global Bhd, located at Jalan P Ramlee. Your monthly repayment would start at RM5,728.98.
Meanwhile, there is also only one luxury development (above RM2 million) with the monthly repayment starting at RM9,548.31. Developed by Avaland Bhd, the upscale condo is named Aetas Seputeh, sited at Seputeh.
What has changed in a decade in KL's property market?
Over the past decade, KL’s property market has experienced significant shifts, with property prices steadily rising.
In particular, notable transformation has taken place since the pandemic years. In 2020 and 2021, affordable housing priced between RM250,000 and RM400,000 accounted for a significant 37.5% and 36.8% respectively of new developments compared to 2019, which was only 16.7% of the market supply. This surge likely reflects a heightened demand for more budget-friendly options during the economic halt then.
However, as economic conditions improved and construction costs rose, the market shifted. Prices steadily increased, and the share of new affordable housing dwindled, reaching just 10% in 2024. This trend can be attributed to various factors, including rising land costs and evolving buyer preferences.
Despite the decrease in affordable housing, the RM400,001 to RM800,000 price range has remained a dominant category in the property market throughout the decade. While still a major segment of new launches in 2024, mid-tier homes have seen a slight decline in market share compared to 2023. Currently representing 50% of the new projects, this category has decreased from its 2023 peak of 53.9%.
Meanwhile, KL's property market has witnessed a significant increase in high-end projects, particularly those above the RM800,000 mark. This segment experienced considerable growth after the pandemic, accounting for a substantial 40% of new launches in 2024.
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