Penang, or Pulau Pinang, is located on the northwest side of Malaysia.

It is known for its beautiful beaches and interesting architecture, making it one of the most sought-after locations for properties (both investment and settlement) in Malaysia.

In case you were wondering and are searching for the perfect location for your forever home, here is a list of the five most transacted areas in this state in 2020.

1. Bukit Mertajam

Bukit Mertajam, located in the central region of Seberang Perai, is the most popular city in Penang. It has the mark of British history in its infrastructure and architectural designs.

The city has been through serious urbanisation and now has a number of housing projects. You can find a wide range of affordable apartments in this area and growing demand for condominiums.

With shopping outlets like The Summit Bukit Mertajam Plaza, departmental stores and highways such as the North-South Expressway (PLUS), this city has all the amenities for potential homebuyers.

Due to the Covid-19 pandemic, 2020 has been a worrisome year for Bukit Mertajam property sellers as their transaction volume dropped by 27%. The median price in this location has also fallen by 3.45% in 2020 compared to the previous year.

This means that you now have the opportunity to get a property in this location below market price due to the impact of the pandemic.

2. Ayer Itam

Ayer Itam is located close to Jelutong and is the most frequently travelled road to reach George Town. This location has an interesting landscape with numerous kampung houses and single-storey terraces.

Many of the houses here also have commercial titles where the owners build shop lots for their livelihood. With rapidly growing amenities, shopping outlets and eateries, this place is the second most popular city in Penang.

However, the pandemic has caused the transaction volume of the houses to drop by 43.75%. To keep up with the demand, the median price of the houses in this area remained constant throughout 2020.

3. Jelutong

Jelutong is the satellite town of George Town and the third most sought-after city in Penang by property buyers. It is a quiet location but with close proximity to the city.

Most famous for its exquisite night markets that take place every Friday night in Van Praagh Road, Jelutong also has a friendly neighbourhood with a mix of pre-war houses as well as modern high-rise buildings.

The location also has Rapid Penang service and several buses to help public commuters to move to and from the city.

Though it is a strategically excellent location for properties, 2020’s pandemic crisis has caused a sales drop in this location by a staggering 50.52%.

Its median price has also declined by 3.57% to cope with the volatile property market. As a result, the properties are currently available below market price.

4. Butterworth

Butterworth, otherwise known as mainland Penang, has been a vital transportation hub for George Town since the British Administration in the 19th century.

This is a densely populated area with a number of housing estates and villages. Hence, it has ample amenities such as eateries, petrol stations, convenience stores and shopping complexes for the residents here.

Previously, properties in Butterworth accommodated low and medium-income earners only but it is now also home to a number of high-rise buildings and commercial projects.

Accessible via North-South Expressway (PLUS) and Kulim Expressway, Butterworth is well connected and is considered a good location for a variety of property investments.

It is the least affected out of the most transacted areas in Penang due to the pandemic in 2020, as it saw the lowest decline at 22.35%.

The median price of houses here has also seen a 6% appreciation in 2020 compared to the previous year, which shows that property investors are confident in this location’s potential for growth in the future.

5. Simpang Ampat

Simpang Ampat is the fifth most sought-after location for property buyers in Penang in 2020. Located in the middle of mainland Penang, it is a simple town with close proximity to Junjung River.

The town is mostly populated by older residents looking to live a quaint life with most houses being landed properties. The area is well connected to North-South Expressway (NSE), making it easier for people to move around.

The area can be a little congested during rush hours due to the small roads but other than that, it has all the necessary amenities available including schools, restaurants, mini markets and shops.

In 2020, this area experienced a drop in sales by 25.14%. To cope with the falling market, it suffered the most dramatic drop in median property price by 13.22% in 2020. Currently, there is a pool of empty houses in this location at a bargain price for potential homebuyers.

Considering that many of the locations now boast a number of properties at a declined median price, Penang proves that it can offer some strategic locations that will yield good returns in a few years.

This article was contributed by PropertyAdvisor.my, Malaysia’s most comprehensive source of property data, property analytics and insights.