Mirror, mirror on the wall, which residential property is the fairest of them all? Well, ultimately it depends on your financial capability, location and personal needs – but let us lay out the differences for you.
Are you tired of paying rent every month or have your parents been dropping hints that it is time for you to leave the roost? Or perhaps you were inspired to consider jumping onto the home ownership bandwagon after reading our recent article on how to buy a house in Malaysia in 12 steps?
So you are pretty confident that you are financially ready, only, what property type should you go with? – worry not, there are so many types of homes in Malaysia for you to choose from! Most first-time homebuyers are aware of the two main categories: landed and high-rise, but lo and behold the distinction between residential properties do not stop there. Just drop by our New Launch property listing page and you will see a long list of property types including terrace, apartment and bungalow.
Why don’t you sit back and relax while we take you through the top 8 residential property types in Malaysia:
Typically, high-rise residential units bear cheaper price tags in comparison to their landed counterparts but do bear in mind that pricing differs greatly between locations. We also share the latest Per Sq ft pricing for each property type in Selangor, as recorded by brickz.my. where the source of sale data is from the Valuation and Property Services Department (JPPH).
#1 Condominium
»Typical size range: 650 sq ft – 1,500 sq ft
»Median PSF: RM412 (July 2017 – May 2018)
A condominium or condo is an individually-owned housing unit within a multi-unit or strata building, where a typical unit will comprise of at least 2 bedrooms and 1 bathroom. Ownership of a condo is restricted to the unit only and does not include other common properties like the swimming pool and lounge area.
Source: rf123
A condo unit is typically smaller than a landed residential unit but it is a popular option among city dwellers for its wide range of facilities which typically include a swimming pool, gymnasium and a children’s playground. The higher-end developments usually boast a fancier set-up which includes themed gardens, spa facilities and infinity pools. Some luxury condominiums are even larger than a landed home with impressive built-ups of up to 10,000 sq ft!
Owners also enjoy at least one allocated parking space and round the clock security. Take note that you will have to fork out a sum of money for service charges, which are monthly payments for maintaining common facilities and common property.
#2 Apartment
»Typical size range: 550 sq ft – 1,200 sq ft
»Median PSF: RM295 ( July 2017 – June 2018)
In Malaysia, an apartment is similar to the condo albeit being the cheaper version. The distinction therein lies in the type of facilities offered. An apartment has lower-end and more basic facilities like outdoor parking space, 24 hours security along with elevators and a common playground or sports area.
They may not seem as glamorous but apartments are a great option for a starter home as it bears a very attractive entry price. There are many older but well-maintained apartments scattered throughout strategically located residential neighbourhoods in states such as Selangor and Penang.
For example, Bayu Apartment in Damansara Damai (pictured below) may be a middle low-cost development but it offers a swimming pool, covered car park and a barbeque pit. You can get a 3-bedroom unit measuring 750 sq ft for roughly RM250,000.
Alternatively, house hunters could consider apartments under the RUMAWIP project, which is an initiative under the Ministry of Federal Territories to make homes affordable for middle-income earners living in the city. For instance, Lily Apartment, one of the more recent developments in Kuchai Lama, is reasonably priced from only RM 300,000.
#3 Flat
»Typical size range: 400 sq ft – 900 sq ft
»Median PSF: RM186 ( July 2017 – June 2018)
The flat is an option for home seekers who are on a shoe-string budget. Being on the lowest end of the house price spectrum, flats are popular among the working class.
Source: iProperty.com.my
Flats sold between July 2017 and March 2018 in Subang Jaya for instance, have a median price of RM 148,000. It is quite a steal for those who do not mind its lack of security and facilities. However, flats across the country get a bad rep for being undermaintained.
Most flats do not provide any amenity whatsoever except for an open parking lot and maybe a surau. There are no elevators too as most buildings are walk-ups and are at most 5-storeys tall.Nevertheless, there are flats up to over 20 stories tall with shops and mini markets located on the ground floor, these tend to be low-cost housing schemes built by the government.
#4 Serviced Residences/SoHos
»Typical size range: 400 sq ft -1,200 sq ft
»Median PSF: RM613 ( July 2017 – May 2018)
A rung higher than the typical condo, serviced residences are usually marketed as being more luxurious and exclusive. Depending on the price range, some units even come fully-equipped with hotel-like facilities such as a concierge and room service.
However, the majority of serviced residences being launched are almost exactly the same as condominiums except for their land type. The former bears a commercial title and are usually part of an integrated or mixed development. Many serviced residences in the Klang Valley are connected to a mall, retail shops and even offices.
A great example is the KL Getaway serviced residences (shown below) which are part of a bigger development comprising of residential, retail and office components.
Quite a few developments are marketed as Small-office Home-office (SoHos) where these units bear loft-like layouts, enabling owners to utilise them as both a home and office. Even though serviced residences and Small-office Home-office (SoHos) bear commercial titles, these properties are ‘residential-purposed’ and are thus considered as a housing accommodation. They have standard Sale and Purchase Agreements (SPAs) and fall under the jurisdiction of the Housing Development (Control and Licensing) Act 1966 (HDA).
Serviced residences are suitable for millennials and city slickers alike for its prime location and easy access to retail outlets like shopping malls and hypermarkets.
Gaining popularity even outside of the Klang Valley Conurbation, 91% of the 1,530 serviced apartments launched in Malacca this year have been sold, as revealed by the National Property Information Centre (Napic) in its Q12018 Report.
#5 Terrace House/Link House
Source: rf123
»Typical size range: 750 sq ft – 1,600 sq ft
»Median PSF: RM368 ( July 2017 – June 2018)
Terrace homes are also known as links houses, even though one is larger than the other. A terrace house shares its walls with the property next door, where corner lots tend to be larger in size. They are usually built 1 to 2 storeys high with between 10 to 12 units in each row of houses. A basic 1-storey unit will have 3 bedrooms and 2 bathrooms whereas a 2-storey home will feature 4 bedrooms and 3 bathrooms.
With the exception of highly urbanised areas like Kuala Lumpur, Penang and Johor Bahru, terrace homes are still the number 1 preferred property type in Malaysia due to its value-for-money characteristic, where one is able to own a larger than average home at an affordable price tag.
Urbanites should not despair however, there are still quite a few hidden landed gems in Selangor, where one can obtain a sub-sale property within the RM500,000 range. Those seeking newer properties should also consider checking out suburbs such as Bangi, Klang, Sepang, Rawang and Semenyih where developers have been launching reasonably price terrace units within gated and guarded developments in the recent years.
Meanwhile, in Johor you can score a new terrace home measuring an impressive 1,237 sq ft from as low as RM270,888.
#6 Bungalows
»Typical size range: 2,000 sq ft – 12,500 sq ft
»Median PSF: RM368 ( July 2017 – June 2018)
Bungalows are the ‘loners’ of the group, as this standalone home usually sits on a private plot of land, where square footages and land area vary greatly.
This 6,000 sq ft bungalow in Damansara Heights which comes with its own private pool and a manicured garden is currently going for RM 16 million. Source: iProperty.com.my
As per the law of diminishing returns, the median price per sq ft decreases as unit size grows, thus explaining the low median PSF recorded in Selangor (RM368).
Should you look at the bigger picture however, you will discover why these homes are touted as the preferred option for the rich. Looking at brickz data, a 3-storey, 4,314 sq ft bungalow in Setia Eco Park, Setia Alam sold in January 2018 might have a reasonable PSF of RM302 but its selling price topped RM3.3 million!
Nevertheless, selling prices fluctuate greatly according to location, land area and of course, age. Older, single-floor bungalows in Ipoh for instance, hover in the RM300,000 range.
#7 Semi-Ds
»Typical size range: 2,300 sq ft – 5,600 sq ft
»Median PSF: RM310 ( July 2017 – June 2018)
Semi Ds or semi-detached homes are basically a pair of houses which are mirror images of one another and they share a common wall to form one building. The other sides of the property is similar to a bungalow, with open land at the (free) side, front and back.
Source: iProperty.com.my
In the past year (July 2017 – May 2018), Taman Aman Perdana in Kapar garnered the highest semi-D sales in Selangor with 282 transactions. The double storey homes bear built-ups between 2,400 – 3,200 sq ft and a median PSF of RM271.
#8 Townhouse
»Typical size range: 560 sq ft – 7,000 sq ft
»Median PSF: RM329 ( July 2017 – May 2018)
A townhouse can be described as a vertical terrace house, there are usually 2 houses stacked upon one another, where each unit could comprise of either 1 or 2 floors respectively, depending on the house height.
These buildings which look like one big home from the outside also resemble a low-rise walk-up; lower units can be accessed directly from the ground floor whereas the higher units can only be entered through a staircase on the side of the building.
This property type is also marketed as cluster homes, which are uniformly designed, landed homes built in clusters. Located within a gated and guarded (G&G) housing estate, owners get to enjoy recreational facilities such as a clubhouse and park with other residents within the development.
Source: iProperty.com.my
The Cahaya SPK Premier Townhouse in Shah Alam, for instance (pictured above) is located within a G&G compound and boasts clubhouse facilities and 3 thematic gardens.
Selling prices are quite affordable, with newly-launched townhouses in the Klang Valley and Johor going from as low as RM368,000 and RM604,800, respectively.
Source: https://www.iproperty.com.my/guides/want-to-buy-a-home-here-are-the-8-available-types-in-malaysia/
