KUALA LUMPUR: With the economic spillover from neighbouring Singapore, the prospect of living in Johor appeals to foreigners and locals alike.
Transaction volume in the state fell by 21% in 2020 amid the first wave of the pandemic, but rose last year by 28% to slightly surpass 2019 figures.
Median prices fell in 2020 to RM340,000 from RM350,000 pre-pandemic, but increased to RM380,000 last year.
Here are the most transacted areas for residential properties in Johor in 2021.
1. Skudai
Skudai is part of Johor’s southwest growth corridor. The developments of Tanjung Pelepas Port and Iskander Puteri have contributed to the town that consistently ranks as Johor’s most transacted area.
Its growing population is served by shopping centres such as Paradigm Mall, Skudai Parade Shopping Complex, Sutera Mall, and AEON Taman Universiti Shopping Centre.
Complete with numerous schools as well as reputable universities like Universiti Teknologi Malaysia, Skudai is ideal for growing families.
The volume of transactions for properties here suffered a decline of 28.67% in 2020, but median house prices fell by only 2.33% compared with 2019.
Last year, however, transaction volume picked up by 17.66% and median transacted prices grew 10.72% to RM431,820 compared with 2020’s figures.
2. Tebrau
Tebrau is also a prime location, benefiting from close proximity to the Johor Bahru Customs, Immigration and Quarantine Complex.
The area has various upcoming developments and shopping complexes but is most known for tourist attractions such as Legoland and Hello Kitty Town.
Tebrau edged out over Johor Bahru to claim the second spot in 2021 as the volume of transactions grew by a whopping 45.83% – the biggest growth among the state’s top five areas.
This is despite the city having recorded a fall in transaction volume by 32.12% in 2020 when the pandemic hit local shores.
Median transacted prices only grew marginally from RM520,000 in 2020 to RM530,000 last year.
3. Johor Bahru
Johor Bahru is the central business district and capital city of the state. It is also strategically adjacent to the administrative capital of Iskandar Puteri, as well as Pasir Gudang.
Johor Bahru’s direct land link to Singapore through the causeway is the main economic driver for the city.
The first wave of the pandemic had a negative impact on properties here, as sales dropped 28.47% compared with 2019.
However, transaction volume grew last year by 28.94%, recording the biggest change after Tebrau.
Median transacted prices grew marginally from RM370,000 in 2020 to RM380,000 in 2021 – still short of the RM400,000 reached in 2019.
4. Kulai
Kulai is the capital of the Kulaijaya district, with palm oil plantations and rubber estates dotting the landscape alongside factories and housing estates.
It is also growing as a town for construction, education and business, all of which have resulted in more job opportunities.
Median prices have increased by 12.43% to RM380,000 last year, while transaction volume grew 22.27%.
In 2020, transaction volume only fell by 13.87% compared with the year prior, while a decline in median house prices was negligible at 3.43%.
5. Pasir Gudang
Pasir Gudang is the main hub for logistics, shipbuilding, and petrochemical activities in the state. It is a well-connected location thanks to the Pasir Gudang and JB East Coast highways.
Pasir Gudang was the only area among Johor’s top transacted areas to record positive growth (7.25%) in transaction volume during the first wave of the pandemic in 2020, while other areas recorded double-digit reductions.
This could, perhaps, be attributed to a booming logistics industry amid the movement control order.
However, this growth appears to have reversed as transactions in Pasir Gudang recorded negative trends (-5.8%) last year. Nevertheless, median transacted prices increased by 11.11% to RM300,000 compared with the year before.
Read about property transactions in Kuala Lumpur, Selangor, Subang Jaya, Penang and Negeri Sembilan.
This article was written by Vigneswar Rajasurian of PropertyAdvisor.my, Malaysia’s most comprehensive source of property data, property analytics and insights.