Exciting News: Direct Train Routes from Butterworth to Bangkok & KL Sentral to Surat Thani Coming Soon!

Get ready for some thrilling travel news! KTMB and the State Railway of Thailand (SRT) have announced exciting new collaborations that will make it easier to travel between 博鱼体育官方网站 and Thailand by train. One of the most anticipated updates is the revival of the direct train service from Bangkok to Butterworth station in Penang!

According to a statement from SRT on their official Facebook page, both national train operators have agreed in principle to conduct a test run of this service between Bangkok and Butterworth.

Direct Train Service from Bangkok to Butterworth is Coming Soon!

A joint study will be conducted to explore the proposal further, with plans to operate the Bangkok-Butterworth direct train service for an initial 6-month period.

This announcement follows the 42nd KTMB-SRT Joint Conference held in Kota Kinabalu, Sabah, where the Deputy Governor of SRT, Awirut Thongnet, led a delegation. The meeting focused on enhancing rail service cooperation between 博鱼体育官方网站 and Thailand, aiming to promote seamless travel and cargo transportation between the two nations.

For some background, SRT had previously canceled its daily express train service between Bangkok and Butterworth in 2016, with the route now ending at Padang Besar station at the 博鱼体育官方网站-Thailand border. Passengers wanting to travel to Butterworth have had to switch to a KTMB train at Padang Besar.

Now, with the upcoming direct train service, you鈥檒l be able to travel directly from the Krung Thep Aphiwat Central Terminal in Bangkok to Butterworth station in Penang, and vice versa, without the need for a transfer!

KL Sentral to Surat Thani: KTMB鈥檚 Special Train Service Expands!

In more good news, SRT has also approved an expansion of KTMB鈥檚 MySawasdee tourist train service. The train, which used to run between KL Sentral and Hat Yai, will now extend its route all the way to Surat Thani province.

If you鈥檙e not familiar with it, the MySawasdee special train is KTMB鈥檚 express service that provides direct travel between KL Sentral and Hat Yai. It鈥檚 been a big hit, consistently operating at full capacity, supporting tourism, and boosting revenue for Thailand.

Isn鈥檛 this collaboration between 博鱼体育官方网站 and Thailand鈥檚 train operators fantastic? We鈥檇 love to hear your thoughts, so feel free to share them with us in the comments!

We鈥檙e thrilled to celebrate the launch of The RIA, a stunning 63-storey development in KL Sentral, Kuala Lumpur, which officially debuted on July 27, 2024. As proud partners in this project with Titijaya Land, we are excited to share this milestone with you.

The 63-story tower contains 752 condominium units ranging from 650-800 square feet, in 2-3 bedroom configurations. Prices start from RM685,000 for spacious, modern homes overlooking the city skyline. Developed jointly with Prasarana Integrated Development, The Ria has a gross development value of RM588 million.

Situated within the pedestrian-friendly Riveria City transit-oriented development, residents can easily access major transportation hubs like the Kuala Lumpur Sentral railway station. Riveria City aims to blend urban living with green spaces, retail and lifestyle amenities right at your doorstep. This location could not be more prime for working professionals and families seeking convenience.

Titijaya is also excited to share the successful completion of Riveria City's first phase, The Riv. This 54-story office building was fully leased even before completion, reflecting strong demand for quality real estate in the KL area. Occupying a total floor area of 1.5 million square feet, The Riv helped validate Riveria City as a premier mixed-use destination.

Moving forward, Titijaya believes The Ria residences and additional phases will drive Riveria City to become one of the leading transit-oriented developments in the prestigious KL Sentral financial district. Homebuyers have already responded enthusiastically during the preview weekend launch event for The Ria condominiums.

In addition, Titijaya has partnered with Maybank to offer the Maybank MyDeco Financing program exclusively to Ria homeowners. This one-stop home loan covers 90% of the property value plus an additional 30% (up to RM250,000) for interior design costs over 10 years. Customers can enjoy both conventional and Islamic financing options under this comprehensive purchase solution.

Riveria City is poised to reshape the district with its master planned collection of residential, commercial and leisure amenities. The Ria looks to set a new standard for upscale urban living supported by ideal connectivity and lifestyle conveniences in the heart of KL.

References:

According to PropertyGuru 博鱼体育官方网站 Property Market Report Q2 2023, 博鱼体育官方网站's economy grew by 7% and had a full-year growth of 8.7% in 2022 influenced by the recovery of the labor market and domestic demand.

While the tourism sector and electrical and electronic exports performed well, the inflation remains a concern for home seekers. The central bank, Bank Negara 博鱼体育官方网站 (BNM), extended its OPR rate pause in response to cooling inflation. The overall economic recovery has had a positive impact on the residential market, with a 22.3% increase in transactions in 2022, totaling RM94.27 billion. The number of residential overhang units decreased in Q4 2022 to 27,746, worth RM18.41 billion, representing a decline of 24.7% in volume and 19.2% in value.

In simpler terms, property purchases have increased, and there are fewer unsold properties available in Q4 2022. Hence, the government has since increased the OPR rate in May 2023 to reduce consumer spending and borrowing, in response to the excessive demand and prevent prices from rising too rapidly.

The 博鱼体育官方网站n Property Sale Market Index

In Q1 2023, asking prices continued to rise for the fifth consecutive quarter, increasing by 1.6% compared to the previous quarter. This follows a 1.5% increase in Q4 2022. The Sale Supply Index, dropped by 0.6% after a 1.0% decline in Q4 2022 and the Sale Demand Index decreased by 5.6% compared to the previous quarter.

1. Why did the property market Price Index increase?

   • Supply and Demand:
     Prices tend to rise if there is a higher demand for properties compared to the available supply. Despite residential overhang units being available in the market, limited supply and increased competition among buyers can drive up property prices in popular locations.

   • Economic Growth:
     Strong economic growth often leads to increased demand for properties. When the economy is thriving, as reported in Q4 2022, purchasing power increases, leading to higher demand in real estate, which can push prices upward.

   • Interest Rates:
     Low interest rates are encouraging for prospective homebuyers to purchase property due to lower monthly repayments, potentially pushing higher prices. For property sellers, this will translate to a more favorable holding condition, where they can hold their property at lower monthly repayments before selling when prices increase further.

2. Why is there a decrease in the Sale Supply Index?

• Property Investors Speculation Activity:
  The current conditions motivates existing property investors to hold onto their properties, opting to the rental market while speculating future resale at higher prices, driving market prices upward.

• Seasonal Factors:
  Seasonal factors can contribute to a decrease in the Sale Supply Index. Property owners are likely to delay listing their properties for sale during holiday seasons or school vacations, leading to a temporary decrease in the available supply.

3. Why is there a decrease in the Demand Index?

   • Affordability Constraints

     High or increasing property prices make properties less affordable resulting in potential buyers holding back on purchasing or opting to rent instead.

   • Rising Interest Rates:
     Higher interest rates, such as the latest increase in OPR rates to 3% in May 2023,  increase borrowing costs for homebuyers. As mortgage rates rise, it becomes more expensive to finance property purchases, deterring potential buyers from entering the market.

Despite an increase in the Price Index, where sellers should be excited to sell their property, there鈥檚 a decrease in the sale supply index followed by a decline in the demand index. This scenario indicates a complex market situation that will result in a slowdown in overall market activity.

The 博鱼体育官方网站n Property Rental Market Index

According to DataSense, in Q1 of 2023, the Rental Demand Index experienced a consecutive decline of 6.3% compared to the previous quarter. Despite this decrease, rental demand remained higher than the levels seen prior to the first quarter of 2022. The drop in rental demand can be attributed to a substantial surge in rental prices, as indicated by the 4.7% quarterly increase and 15.3% year-over-year growth in the Rental Price Index.

Conclusion

Based on indicators generated by DataSense and what is published in PropertyGuru 博鱼体育官方网站 Property Market Report Q2 2023, the current property market reflects a trend of rising property prices as sellers anticipate further price appreciation. Simultaneously, potential property buyers are exercising caution and refraining from immediate purchases due to a variety of factors. As an alternative, they are considering the option of renting properties instead. Additionally, there is a segment of potential buyers who are neither buying or renting, possibly indicating a preference for staying in their family homes.

References:

SINGAPORE - 26 APRIL 2023

Singapore's recent move to increase property taxes for foreign buyers, particularly wealthy property investors, reflects policymakers' growing awareness of the rising influx of money into the country. While these higher tax rates may not immediately cool home prices, the measures demonstrate the government's proactive approach to addressing concerns about wealth inequality and increasing foreign investments. 

Will the government be able to strike a balance between attracting foreign buyers and safeguarding the interests of local residents? More importantly, how would the new tax policies and their potential impact on the property market in Singapore, and does it affect 博鱼体育官方网站鈥檚 property market considering our proximity being just a bridge away?

What鈥檚 the news? Additional Buyer's Stamp Duties (ABSD)

Starting from 27 April 2023, Foreign buyers will now face a 60% tax on residential purchases while using entities or trusts incurs a higher rate of 65% to prevent loopholes around the policy. Furthermore, permanent residents and citizens purchasing their second residential property will also face increased taxes. These additional buyer's stamp duties (ABSD) are meant to complement the existing tax structure, the Buyer鈥檚 Stamp Duty (BSD), and aim to manage the influx of foreign investment.

Additional Information:

• For Singapore Citizens:

  • For Singaporeans purchasing their second residential property, the ABSD has increased by 3% to 20%.

  • For those buying their third and any subsequent properties, the tax rate has been raised to 30% from the previous 25%.

• For Singapore Permanent Residents (PRs):

  • PRs buying their second residential property will now face a 30% ABSD, an increase from the previous rate of 25%.

  • For PRs purchasing their third and subsequent properties, the tax rate has been raised to 35% from the previous 30%.

Why is it happening? Addressing Local Concerns

This initiative came about in response to the surge of ultra-wealthy investors relocating to Singapore, driven by pandemic restrictions in their home countries. This eventually raised concerns about inflation and ultimately led to a widening wealth gap.

The timing of this initiative is possibly influenced by the preceding general election, which factors in the importance of housing as a significant issue in Singapore. The government's decision to raise taxes on higher-value properties demonstrates their commitment to managing the housing market by increasing the threshold for foreign investors seeking permanent-resident status and addressing local concerns.

Who鈥檚 Affected? Impact on Singapore's Property Market

Despite a global slowdown, such as markets in Hong Kong to London cooling, Singapore's property market continues to defy the trend, with prices on a rising trend of 5% in 2023 after gaining 3.2% in the first quarter, according to Bloomberg Intelligence. 

According to PropNex Realty and official data, the mass market is unlikely to be significantly affected, as foreigners accounted for only 4.4% of private home sales in the previous year. The government stated policy changes would affect about 10% of residential property transactions. However, industry experts forecast properties in the S$6 million ($4.5 million) and higher categories translating to an ABSD of S$3.6 million ($2.7 million) may experience a more pronounced impact.

How does it matter? Possible Impact on 博鱼体育官方网站鈥檚 Property Market 

While it is important to note that the actual impact on the 博鱼体育官方网站 property market would depend on various factors, including the attractiveness of 博鱼体育官方网站 as an investment destination, market conditions, government policies, and investor preferences, here are a few things that may happen:

• Diversion of Investment

  Suppose Singapore's property tax measures target wealthy property investors. In that case, it may lead to a diversion of investment from Singapore to other countries, including 博鱼体育官方网站 (since we鈥檙e geographically just next to it). As mentioned previously, S$3.6 million ($2.7 million) of ABSD alone can fetch multiple luxury properties in 博鱼体育官方网站. Some investors who would have considered Singapore for property investments may redirect their focus towards the 博鱼体育官方网站 property market instead.

• Increased Demand in 博鱼体育官方网站

  The shift of investment focus from Singapore to 博鱼体育官方网站 opens up exciting possibilities for the 博鱼体育官方网站n property market. As investors redirect their attention to 博鱼体育官方网站, the resulting surge in demand has the potential to impact property prices in specific regions or property categories positively. However, the impact may be more relevant in the luxury property market, as 博鱼体育官方网站 has implemented its measures to manage foreign investment.

• Boost for 博鱼体育官方网站's Property Market

  The increased investment from foreign investors could boost 博鱼体育官方网站's property market. It may stimulate construction activities, create job opportunities, and contribute to economic growth.

Conclusion:

Singapore's decision to double property taxes for wealthy international property investors showcases the government's responsiveness to the changing dynamics of its real estate market. While the impact on the property market will unfold over time like some sources report rents soaring as much as 30% to 50% in recent months, the ongoing demand will be closely monitored as Singapore navigates toward a stable and sustainable real estate landscape.

With all of this happening just right by our borders, what will 博鱼体育官方网站 do?

References:

PETALING JAYA - 09 December 2022: DWG 博鱼体育官方网站 Sdn Bhd is one of the recipient of the SME100鈩� Awards 2022. 

The SME100鈩� Awards is an annual recognition program organized by SME Magazine. The awards are given to the fastest-moving businesses in the SME sector. The Awards aim to promote the recognition of top businesses in a lucrative and dynamic market. The SME100鈩� Awards has served as a benchmark in highlighting the best among the great.

The Awards recognize SMEs that have achieved growth in turnover, profit, and market share. In addition, the Awards also focus on resilience factors such as best practices, sustainability, and vision. These regional awards help identify thriving businesses that are doing well despite challenges.

Based on numerous judging benchmarks, we are honored to be eligible to receive such a prestigious award that has served as the pinnacle of trust and standard of reliability among business owners.

鈥淚n a highly competitive industry, this award personifies a symbol of validation and trust to the developers and real estate agencies we work with. It also serves as an appreciation for what our team has accomplished and to motivate them therein further to challenge their boundaries in pursuit of greater success.

 

We believe that by winning the SME100s award, it will help us raise the profile of our company鈥檚 practice and give potential and existing partners a certain confidence and belief about what we do and how to do it when they appoint us to assist with their developments鈥�. 鈥� Justin Chew, CEO of DWG 博鱼体育官方网站.

DWG 博鱼体育官方网站 specializes in discovering and analyzing real estate opportunities with the potential for strong long-term capital appreciation and high rental yields. We offer end-to-end solutions for our investors, from identifying opportunities to managing the property. We are dedicated to helping our clients grow their wealth through real estate investing.

We have made a total investment of over $3.6 billion in real estate over the years. We originally started in Singapore, but we have since expanded to seven other countries: 博鱼体育官方网站, Thailand, Japan, UK, China, Taiwan, and Hong Kong. This year, we also ventured into Vietnam. We continually look for new opportunities to invest in and grow our business.

PETALING JAYA - 04 October 2022: WCT Land Sdn Bhd, the property development and property investment and management division of WCT Holdings Berhad, has entered into a strategic collaboration with DWG 博鱼体育官方网站, the exclusive marketing company for the entire Tower C of The Maple Residences.

Integrated as part of the 63-acre mixed-use development of W City OUG @ Kuala Lumpur, The Maple Residences is located in the heart of the well-established Taman OUG neighbourhood. The residences consist of three towers - Tower A, B, and C 鈥� with 940 aesthetically-designed freehold condominium units. The total GDV for the whole development of The Maple Residences is RM 954 million, whereas, for Tower C alone, it is RM 430 million.

The three towers feature eight layout options, ranging from 808 square feet to 1,378 square feet, with 3-bedrooms, 2-baths with the dual-key units being the exception with 4 bedrooms. Every floor is served by six to eight lifts, inclusive of the service lift, with privacy zoning as a value-added convenience for its residents. Residents can enjoy a 5-tier security system and dedicated parking bays for enhanced privacy and security. The dual-key unit with 4 bedrooms and 3 baths is only available in Tower C.

鈥淭his collaboration with DWG is the first for WCT, as we continue with our plans to raise the uptake of the remaining units of Tower C of The Maple Residences. We look forward to the collaboration opportunity to combine our market expertise and knowledge with DWG. We are excited to partner with DWG, an experienced real estate service provider, as they roll out their sales and marketing plan for Tower C鈥�, said Mr. Peter Chow Ying Choon, Deputy Managing Director, WCT Holdings Berhad.

DWG, he added, will undertake the exclusive rights to sell more than 300 luxury units of Tower C, targeting both their local and international customers. 鈥淲e believe that with DWG鈥檚 proven track record of innovative marketing strategies and its extensive network of customer reach, it will be able to reap success with a high uptake of units in Tower C,鈥� added Mr. Peter Chow

鈥淒WG is a one-stop platform for global properties. Being in the industry for so many years, coming across a development of such magnitude is rare. We believe in investing first before our clients by taking the risk of investing in developments that have a long-term growth projection. Our expertise is spread across Thailand, 博鱼体育官方网站, United Kingdom, Japan, and Dubai鈥�, said Mr. Justin Chew, Chief Executive Officer, DWG 博鱼体育官方网站. 

The Maple Residences is situated at one of the most strategic points in Taman OUG, Kuala Lumpur. The Maple Residences offers proximity to incredible convenience and easy access, as it is well-connected to all of Kuala Lumpur and Petaling Jaya鈥檚 major transit hubs and business points. Residents of the Maple Residences will enjoy being a part of the W City OUG @ Kuala Lumpur, which offers a variety of lifestyle offerings. Dubbed 鈥楢 City Within A City鈥�, the W City OUG鈥檚 master plan is a 2.9 acre of Central Park, urban forest, and retail village, comprising residential, commercial, and public spaces to focus on 鈥渃onnected living鈥�. The development creates a new vibrant destination, shaping a unique lifestyle to socialise, work, shop, and enjoy living at the convenience of a single location.

For more information on this exciting new project, The Maple Residences, check it out here.

Petaling Jaya: According to one of our industry partners, Juwai IQI 博鱼体育官方网站, the residential real estate market in 博鱼体育官方网站 is headed for a post-pandemic rally over the next 12 months in their Property Survey and Index Q3鈥�22, as reported by a .

Juwai IQI co-founder and group CEO Kashif Ansari stated, 鈥淚f they are right, then we should expect a significant increase in activity. In that scenario, people who own their own homes will benefit from the increasing values, while those who rent or are seeking to buy will have to continue to raise their budgets鈥�.

He further adds, 鈥淎gents expect renters to face rate increases over the next 12 months and for home prices to correspondingly rise. Those who buy now would be spared from these pressures. When you look at who has the biggest opportunity here, you see that slightly more than one-third of 博鱼体育官方网站ns aged 20 to 39 are renters. That's the highest percentage of renters of any age group,鈥�

So you鈥檙e probably wondering, 鈥淲hy is this happening, and what can I do about it?鈥�.

We've done some research which has led us to a few conclusions about this situation and how you can prepare for the upcoming price changes. We understand this may be troubling news for some, but we hope this information can provide some relief.

1.0 Inflation

According to the , 博鱼体育官方网站鈥檚 inflation increased 3.4 percent to 127.4 in June 2022 as against 123.2 in the same month of the preceding year. Inflation has a snowball effect, where one thing becomes more expensive and affects the cost of other things too. This indirectly affects the expenses and profitability of landlords who rent out their properties; thus, by increasing rent, they are only covering for inflation. It鈥檚 the same effect as some of the local 鈥榤amak鈥� raising the price of their roti canai due to increased cost of cooking material, as reported by a .

2.0 The weaker Ringgit value

鈥淭he ringgit depreciated by 0.7% against the US dollar in the first quarter of 2022 (YTD as at 11 May 2022: -4.7%), broadly in line with the movement of regional currencies (1Q 2022: -0.8%; YTD: -3.4%).鈥�, as reported by (BNM). It is somewhat related to inflation; this further impacts the cost of goods sold due to lower purchasing power, which leads to the next factor, OPR.

3.0 Increase in Overnight Policy Rate (OPR)

The central bank of 博鱼体育官方网站 (BNM) has recently announced a raise in OPR by 25 basis points to 2.25 percent. The ceiling and floor rates of the corridor of the OPR are correspondingly increased to 2.50 percent and 2.00 percent, indirectly to control the stability value of Ringgit. This leads to higher home loan rates for flexi housing loans, which landlords still paying their monthly repayment need to bear. So, the rent price will often rise to cover the added cost.

4.0 What can you do?

Buy now if you can, rent if you can鈥檛, as we have previously explained on renting or buying properties here. This is especially relevant for first-time home buyers. Here鈥檚 why:

4.1 i-Miliki - Stamp duty exemption

This is an initiative by the government to assist 博鱼体育官方网站ns, first-home buyers, in particular, to purchase properties. You can read more on this here, /property-news/i-miliki-announcement 

4.2 Property Overhang

The National Property Information Centre of 博鱼体育官方网站 has reported an overhang of 35,592 units @ RM22.45billion in Q1 of 2022. This means an oversupply of properties where property developers face fierce competition, offering various rebates and discounts to sell off their unsold units.

5.0 Takeaway

So if you are still renting a property but want to avoid the price hike, you should consider buying a property now, ESPECIALLY if you are a first-time buyer. However, haste makes waste, so we highly recommend that you do proper research before purchasing. If you are new to buying a property, you can read some of the relevant resources we have listed below to help you start. If you need recommendations on properties, you can start with our project in Bukit Jalil and Setia Alam, we鈥檝e already done intensive research (so you don鈥檛 have to) to ensure a quality buy. But if you are still lost, just ask us for advice!

Disclaimer: The contents are opinionated based on personal research and are meant for point-of-view purposes only. Advice mentioned here may not be suitable for you and you should have your own independent decision regarding them.

Relevant resources: 

1. /property-guides/what-is-the-procedure-to-buy-a-house-in-malaysia

2. /property-guides/avoid-these-5-mistakes-when-buying-your-property-in-malaysia

References:

1. https://www.dosm.gov.my/v1/index.php?r=column/cthemeByCat&cat=106&bul_id=Tm50SFJadXk1SUIveTVXb1JCSTZaUT09&menu_id=bThzTHQxN1ZqMVF6a2I4RkZoNDFkQT09#:~:text=博鱼体育官方网站's%20inflation%20increased%203.4%20per,the%20month%20of%20June%202022.

3.    

4.  

KUALA LUMPUR - 15 July 2022: Prime Minister Datuk Seri Ismail Sabri Yaakob announced a 100% stamp duty exemption for first-time homebuyers for a property with a purchase price of RM500,000 and below through the Keluarga 博鱼体育官方网站 Home Ownership Initiative (i-Miliki) initiative from 1 June 2022 to December 2023. This exemption will apply to homes purchased during this period.

He also announced that a 50% stamp duty exemption would be given as an incentive for homes priced between RM500,000 and RM1,000,000.

He explained that the Government was taking several measures to help 博鱼体育官方网站ns buy property, including stamp duty exemption for property ownership transfers (MOT) and loan agreements.

What does this mean?

Referring to one of our guides which we briefly mentioned on stamp duty, it means assuming you bought a property for RM300,000, your stamp duty for Memorandum of Transfer (MOT) (RM5,000), and your stamp duty for Loan Agreement (LA) (RM1,500) will be waived.

1. Here鈥檚 the sample calculation for a property priced at RM300,000

   • MOT Stamp Duty

     • First RM100,000 x 1% = RM1,000 

     • Next RM200,000 x 2% = RM4,000

     • RM1,000 + RM4,000

     • RM5,000 - Free (100% exemption)

   • LA Stamp Duty

     • 0.5% x RM300,000

     • RM1,500 - Free (100% exemption)

2. Here鈥檚 the sample calculation for a property priced at RM600,000

   • MOT Stamp Duty

     • First RM100,000 x 1% = RM 1,000 

       1. Next RM400,000 x 2% = RM8,000

       2. Next RM100,000 x 3% = RM 3,000

       3. RM1,000 + RM8,000 + RM3,000

       4. RM12,000

       5. RM12,000 x 0.5 = RM6,000 (50% exemption)

   • LA Stamp Duty

     • 0.5% x RM600,000 = RM3,000

     • RM3,000 x 0.5 = RM1,500 (50% exemption)

Other statements that were made: 

"Although this stamp duty exemption will reduce revenue collection for the country, I would like to stress that this is the government's commitment towards all 博鱼体育官方网站n families.

"According to the Inland Revenue Board (LHDN), the stamp duty exemption claim under the Home Ownership Campaign (HOC) is RM957.8mil.

"The highest stamp duty exemption claim is for house prices of RM500,000 and below.

"I would like to announce i-Miliki, or the Keluarga 博鱼体育官方网站 Home Ownership Initiative, which offers stamp duty exemption on instrument of transfer and loan agreement for the purchase of first homes," said Ismail Sabri in his speech at the event here.

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