Many Malaysians say they lost money on property over the past ten years, and with shares, crypto and other assets competing for their savings, people keep asking whether now is the moment to buy. Most decide on gut feel.
Why did some buyers lose money over the last decade, and how do you tell whether it is a good time to buy?
“I don't encourage gut feel first.”
Nobody can time the market, so stop trying. If your finances are ready, buy only below the location's past transacted median, with rent that gives a healthy yield. That limits the damage even if you happen to buy at a peak.
Why
When you bought decided who lost
In 2015, GST and a rule limiting buyers to two 90% loans cooled demand sharply. People who bought in 2018 and 2019, near what should have been a peak, are behind if they sell today; those who bought amid the gloom of 2016 and 2020 are ahead. During COVID, door frames cost about six times more and labour three times more, so launches stayed low until 2023.
Property does not double every ten years
According to the official house price index, landed homes rose about 25% from 2015 to 2024, or 2 to 3% a year, while high-rise rose about 9 to 10% over the whole decade, through two crashes. Expecting prices to double is why so many owners feel they lost.
Nobody can call the bottom
Buying when everyone was pessimistic worked in 2016 and 2020, but nobody knows in advance whether prices will fall further. What does protect you is paying below the local median and having rent that carries the unit.
The outlook is positive, but supply is rising
The share of launched units sold rose from about 31% to 34% in 2024, and launches are back at 2017 levels. A rate cut from the 2.75% OPR or a build-then-sell rule could lift demand further. More launches also means more choice, so selection matters more than timing.
What to do
- Decide whether you are ready first: your finances, not the calendar, set the timing.
- Compare against past transacted prices for the area, not the latest launch. A nearby launch at RM2,800 per sq ft does not make RM2,000 a bargain where sales have sat near RM1,600 for years.
- Check the rental yield; Sean treats 6 to 7% as healthy, or rent covering the instalment on a 35-year loan.
- Use as little of your own money as possible: borrow for property and invest your capital where you are confident.
- Watch policy: interest rates, gains tax and launch rules all move demand.
Editorial Note: Summarised from Sean Tan's full episode. The quoted answer is in his own words; the rest is our paraphrase. Figures reflect the recording date, so check current rates and rules before acting on them.
WHY SOME MALAYSIANS LOSE MONEY IN PROPERTY FOR THE PAST 10 YEARS? ALSO IS 2025 A GOOD TIME TO BUY?
Sources & Verification Data
Summarised from Sean's full English captions for this September 2025 episode, which draws on NAPIC data from 2015 to 2024. The quoted answer is verbatim; everything else is paraphrased. Market figures are as presented in the episode.
