Microsoft Corp. and Amazon.com Inc will cut a total of 28,000 jobs

Yes, it’s alarming since 28,000 people would soon lose their job

Actually it’s not just 28,000 because these 28,000 people may also have their family members who would also be affected too. In other words, this may potentially affect another 28,000 other people indirectly too. Before we become too affected, we should also know if these two companies are actually facing any financial issues at the moment.

In the most recent result for Microsoft based on its Q1, below are their results:

Earnings:
 $2.35 per share, vs. $2.30 per share as expected by analysts, according to Refinitiv.
Revenue:
 $50.12 billion, vs. $49.61 billion as expected by analysts, according to Refinitiv.

In fact, the guidance for its Q2 is slightly higher than Q1. Do read the full
 report here: cnbc.com

Meanwhile, results for Amazon is as follows: (based on its latest quarter)

Here are the key numbers:

Earnings:
 28 cents per share
Revenue:
 $127.10 billion vs. $127.46 billion, according to Refinitiv estimates

The guidance for the next quarter is slightly lower.  Do read the full
report here: cnbc.com

Here’s that article for your reference about their plans.

Article in themalaysianreserve.com

MICROSOFT
 Corp. and Amazon.com Inc., two of the world’s biggest companies, began cutting a total of 28,000 jobs on Wednesday in a post-pandemic reckoning that has left almost no tech name unscathed.

The software giant began notifying some of the 10,000 workers that will lose their jobs this quarter, while its Seattle-based neighbor and cloud rival Amazon started sending out emails to people in the US, Canada and Costa Rica who are among 18,000 people whose positions will be eliminated.

Both companies said the painful measures were necessary to offset slowing sales and a possible recession that has made customers more cautious. The tech industry benefitted during the pandemic from a surge in demand for computers, phones, software and goods ordered online, leading to a frenetic pace of hiring. Please do refer here for the full report.
Article in themalaysianreserve.com

Both Microsoft and Amazon are NOT losing money yeah

We can see from the results that both these companies are not cutting people because they are losing money. They are cutting people because they are preparing for slower times ahead. It does not mean the slow times will continue forever. It’s just a cycle which they must be prepared for. Perhaps hiring too many in expectations of the near future could have caused it. Perhaps the US economy just was not growing as much as what everyone expected. It could be any reason but the point here is a clear one.

Both are NOT trying to survive. They are both looking to preserve their results. Both are public listed companies and they also have their shareholders too. It’s either they do not do well in the future and all the shareholders suffer or they make a hard decision now. Both are tough decisions but just remember again that they are a public listed company.

Happy understanding and happy investing into companies which is progressive looking too. At the same time, for employees, please do not spend money as if the company will always be there to pay us the salary every end of month. Sometimes, things are not so rosy.

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Middle class to stay in KL… per KL2040 Plan

Are you working in Kuala Lumpur (KL) and intends to buy a home within KL? Good news for you if you are under Middle Class. Federal Territories (FT) Minister Khalid Abdul Samad said that the middle class group who could not afford a home in Kuala Lumpur will be a priority under the Kuala Lumpur 2040 Master Plan.
Article in Edgeprop.my here.
 What has been established thus far is that middle class people could not afford a home in Kuala Lumpur even when they earn a salary of RM5,000 per month.  In fact many have complained that the authorities have not included them during the policy making.

Khalid said, “Previously, the issue of homes for the middle class was not fully addressed. You find young professionals earning about RM6,000 a month who cannot afford to buy a house. They don’t qualify for low-cost housing and they wouldn’t want to live there either. But they also can’t afford open-market houses because those cost at least RM500,000 and can exceed RM1 million.” (Frankly, ‘would not want to live there’ is really a choice yeah. Just search the popular property portals and there are definitely still affordable properties which are not low cost flats. By the way, most Singaporeans stay in flats too BUT theirs are well maintained. Think what we could do really differently here dear FT Minister)

Khalid’s ministry is also mulling the purchase People’s Housing Project (PPR) homes so that they can be rented out to those who cannot afford to buy low-cost units. (Yes, I think this is a good move but may not be that relevant to the group who has a RM6,000 monthly salary yeah. Something is really wrong if this group could not afford even an affordable home simply by saying the cost of living is too high.)
Here’s that article in Edgeprop.my for reference again.

We have easily 50 percent of Malaysians earning less than RM6,000 per month today. How about understanding why some of these people are MORE successful than others when it comes to owning a home versus owning a car. How they have no issues to drive a cheaper car instead of paying until the borderline of their salary every month. How my ex-colleague lunches by bringing her lunch from home and bought a second property in 2018? Of course we must help as many Malaysians as possible. However, perhaps EDUCATION is one of the most important part. It’s just like teaching our kids too. Happy understanding.

written on 10 Dec 2018

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Middle Income Singaporean household and Penang connection

Many of my Singaporean friends have asked me if Iskandar is worth buying. My answer remains the same, it depends on YOU. Then, I gave them a three questions. Would HDB flats be cheaper in future? Would the connections between Iskandar and Singapore be better than today or worse? Would the population in Singapore be growing or decreasing? The answers would already give you concrete reasons why buying in Iskandar is a must but tread carefully. I personally feel there are some projects which may just be worth buying, at least for now due to it being priced way too high for you to do anything beyond renting it out at a loss until the day you can sell. However, beyond just Iskandar, Penang should also be a consideration. Seriously, I am serious.

None of them have asked me if they should buy Penang though. Let me briefly tell them as well why buy Penang even though it is so far away compared to Singapore. I seriously feel Penang is the best buy for middle income Singaporean family instead of Australia. If you are the top 5% wealthy in Singapore, you may stop reading this article now. Buy anywhere you want and stay anywhere you want.

First reason. Affordability. It’s not cheap, for sure. Regardless of what the people has been saying about prices being expensive etc, a condo of 1,000sf in Penang is still nowhere near the price of a typical HDB flat in a less favoured area in Singapore. Coupled that with the fact that Penang is an even smaller island than Singapore which is still growing due to urbanisation in Malaysia and you can see where the price is heading to.

Second reason. Distance. Distance?! Distance is really secondary to actual duration. Actually, going to Penang may just take you a maximum of 2 hours. One hour for flight, One hour for check in. Or even lesser if you have printed the boarding pass earlier. I am not sure if there are a lot of places where there are so many connecting flights with Singapore daily but Penang is one of them. Would the number of flights decrease in future or increase? The answer is clear.

Third reason. Language and Food. You can find teachers in Penang who teaches Hokkien to foreigners. Need I say more? For food, I do not wish to elaborate on this. If you are Singaporean and you still insist that the food in Singapore is better than Penang, I will let you ‘win’, with a wide grin.

Many other reasons. UNESCO Heritage Site, connectivity to other great places in Malaysia such as Ipoh, Taiping and even KL is a mere 4 hour drive away (348km). You are also connected to Hattyai (a favourite past time of Penangites). Real beach even if not as amazing as Redang or Perhentian or Tioman but it’s right at your door step. Lots of international events including the longest bridge run in the world. Lots more reasons but I leave it as it is. You can decide after reading more other stuffs online.

by the way, I am not an agent, not a staff of Penang state government and not even staying in Penang today.

written on 29 March 2014 Next suggested article:
Penang properties, the bright spot in uncertainty

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Press Release: MIEA Recognises Real Estate Practitioners’ Resilience During The Pandemic And Adoption Of Technology At NREA 2021

PETALING JAYA, 14
th
 December 2021:
 The National Real Estate Awards (NREA), presented by Malaysian Institute of Estate Agents (MIEA) returns for the 13
th
 year to recognise the efforts and achievements of fellow real estate agents, probationary agents and negotiators in 2020.

This year’s awards were made all the more meaningful as it celebrated how real estate practitioners are resilient and were able to excel despite the challenges faced during the pandemic in the past year. In the last two years, the real estate industry has transformed and accelerated its adoption of digitization with practitioners now being able to offer live or virtual property tours which have helped home buyers to continue investing in properties from their homes. MIEA also played a key role by providing technology solutions virtually to their members. The agents have now started to adapt and transform themselves to incorporate technology throughout the property transaction process.

Evon Heng, Organising Chairperson of NREA 2021 said, “There were a record breaking 71 entries for 23 categories this year from both the state & National level. We were delighted to have received such an overwhelming response despite the challenges of Covid and the MCO. The NREA award nominations goes through a rigorous process before deciding the winners and it symbolises the good work of agents, and shows the tenacity to be resilient at all times.

The most notable award, the
MIEA Lifetime Achievement Award 2021
 was conferred to Mr. Sivashanker A/L G. Balakrishnan, the CEO of Rahim & Co International. He is also a past president of MIEA. The Real Estate Agent of the Year award was awarded to Dato’ Alex Ting Kuang Kuo from Kozin Realty, Kuching.

A total of 42 winners received the awards this year with the key categories for Real Estate firms, Real Estate Negotiators and Million Dollar Achievers. The
Real Estate Firm of the year [large size category]
  went to IQI while for
Real Estate Firm of the year [medium size category]
was won by Espirit Estate Agent Sdn Bhd. The
Real Estate Negotiator of the Year
 went to Amos Soo Kein Wah of CID Realtors Sdn Bhd and
Rookie Real Estate Negotiator of the Year
 was awarded to Evelyn Cheah Pei Pei of Cornerstone X State Sdn Bhd.

During the prestigious ceremony, outgoing president of MIEA, Sr, Lim Boon Ping officially handed over the leadership of MIEA to Chan Ai Cheng, who will helm MIEA for the 2021-2023 term. Chan is also the third lady President of MIEA in its 44-year history.

Lim mentioned in his speech that it was an honour to have led MIEA during the pandemic and drive the digitization transformation journey with fellow real estate practitioners. During his tenure he  launched MIEA AgentData in collaboration with MyProperty Data Sdn Bhd (now known as PropertyGuru DataSense) and the very first co-agency platform MIEAMLS.com.

He believes that with Chan’s passion and over 20 years’ experience in the industry, she will be able to lead MIEA to new heights.

MIEA’s new president Chan Ai Cheng said, “MIEA will continue to be the voice of real estate practitioners in Malaysia and also ensure fellow practitioners uphold the high standards and good ethics of our profession in order to gain, if not increase, the confidence level of investors and the general public in our members.”.

Chan added that this year’s NREA winners have demonstrated their resilience in facing the challenges resulting from the pandemic and leveraging on systems and technology to up their game.

“We hope that this year’s award will also serve as a reminder to motivate all real estate practitioners to uphold professionalism and integrity despite the challenging situation”, she said.

As the nation’s largest association representing registered real estate practitioners, MIEA is committed in helping fellow real estate practitioners in the digitisation journey by conducting free online classes and webinars to help practitioners adapt to the technology while also organising webinars for the public under the MYREALAGENTS platform.

The Main sponsors for the 13
th
 National Real Estate Awards is Affin Bank, supported by PropertyGuru International (Malaysia) Sdn Bhd and Triterra Metropolis Sdn Bhd as award sponsors. The official award auditor was BT & Associates and Nextdor Property Communications as public relations partner.

-End Of Press Release-

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Press Release:  MIEA APPLAUDS THE RAID BY BOVAEP & PDRM AND URGES THEM TO MAKE MORE RAIDS ON MORE ILLEGAL REAL ESTATE FIRMS

MIEA APPLAUDS THE RAID BY BOVAEP & PDRM AND URGES THEM TO MAKE MORE RAIDS ON MORE ILLEGAL REAL ESTATE FIRMS

Petaling Jaya, 14 March 2020:
 The Malaysian Institute of Estate Agents (MIEA) would like to extend its thanks and support to Polis DiRaja Malaysia (PDRM) and the Board of Valuers, Appraisers, Estate Agents and Property Managers (BOVAEP) for the recent raid on the premises of a cooperative who was suspected of conducting the business of real estate agency illegally.

The president of MIEA Mr. Lim Boon Ping said that this form of ‘Natural Justice Action’ has been long overdue and we look forward to BOVAEP for taking this stringent action as there are thousands of other suspected illegal real estate agents and businesses across the country. MIEA believes the public will only be fully protected if these illegals are exposed and brought to justice. Estate agency practice comes an Act 242 and it is highly regulated to protect the public. There are illegal project marketing firms, individuals who act as illegal brokers in land sales, brokers who use the yellow sign on lamp post, those who do rentals transactions in the name of providing insurance premium and many more. It is indeed a big move by the commercial crime division of PDRM to act on these illegals as they are empowered to investigate under section 30A and to charge them under Section 30 of the Valuers, Appraisers, Estate Agents and Property Managers Act.

In support of BOVAEP and PDRM’s efforts, MIEA has also launched its own public awareness campaign called #MYREALAGENT to educate the public on the dangers of using illegal brokers and the benefits of using professional, trained and skilled registered estate agents and negotiators. Further information can be found at
www.myrealagents.com
 or on social media platforms such as Facebook and Instagram @MYREALAGENTS.

We strongly urge the public to be vigilant and be proactive and engage registered estate agents and negotiators to better protect themselves.

— end of press release —

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Press Release: MIEA – Estate Agents are ready to Kickstart the economic under the recovery plan with 41.68% having their first dose.

A. The impact of Covid 19 Survey on the Real Estate Services Sector

Recently, the Malaysian Institute of Estate Agents (MIEA) conducted a survey among its members and the fraternity at large to assess the impact & readiness of the Real Estate services sector to Kickstart the economy based on the following data:

1. No. of Agents who tested COVID positive;

2. No. of Agents who received the 1st dose of vaccine;

3. No. of Agents who completed the vaccination (1st and 2nd Dose).

The purpose of this survey is to provide data and information as requested by the Ministry of Finance (MOF) to ascertain the basis for estate agents to be able to operate following the economic recovery plan. This survey has 13 questions to determine the above and conclude the findings.

B. Summary of the Key Findings

1. 254 firms responded which comprises 28.8% of the total
Real Estate firms
in Malaysia.

2. The sampling was on a
total of 17,072 practicing agents
(REAs, PEAs &RENs) engaged by these firms.

3. This represents
61.25% of the 27,872 agents registered in Malaysia
[who are active in the profession].

4. 816 have tested positive or
4.77% of the total 17,072.

5. Those who have taken
the first dose numbered 7,117 or (41.68%).

6. Those who have taken the
second dose numbered 2,520 or (14.76 %)

7. This shows that the number of agents infected with Covid-19 is below the national average which represents a small percentage compared to the number of agents having received the doses.

8. Those who have had one dose of the vaccine 41.68% vs national average of 22.6%. 9. Those completed both doses of vaccine 14.76% compared to 10% national average.

10. The number of Real Estate Agents who were infected with Covid-19 remain relatively low in spite of being in the services industry.

11. Hence, these findings indicate that there is a high compliance of the current SOP by the practitioners and the risk on the exposure is limited compared to many other businesses.

The results also show the commitment of the practitioners, the support from within the firms and the association to ensure that all personnel register for the National Vaccination programme and fully support the initiatives of the government to manage the pandemic.

The real estate industry, like most industries, would like to see the Malaysian economy get back on track as soon as possible and also to ensure that people do not lose their jobs and their livelihoods are protected.

C. Recommendations

From the analysis of the data, it is evident the COVID cases among real estate agents are well managed even in the highest infected states like Selangor and Kuala Lumpur. In view of this MIEA proposes the following to the government for immediate implementation;

i. That MIEA supports the initiatives taken by the government to impose targeted lockdown and to follow the required SOP but needs to speed up the vaccination in certain sectors that supports the economy.

ii. The overall number of vaccinations should be ramped up and priority be given to the critical and essential sectors including the Real Estate services sector which will be one of the first group of people that can immediately kickstart the economy. We need to be ready for this call and MIEA is ready to assist the government to support this cause to get the 20,000 real estate agents to be vaccinated in 5 states in Malaysia where we have offices.

iii. In most of the states where the COVID cases are relatively low, agents should be allowed to operate based on the principal that this sector is safe to be reopened.

iv. It is important to understand that agents work individually and not as a group. In many cases a single agent meets either one or two purchasers or tenants to show the property. Sometimes the owner is there and many times the keys are with the agents. Following the SOP will limit the exposure and as such the sector should be allowed to be reopened

v. Generally, Landlords and tenants are mostly affected as tenancies expire and they need to move.

D. Conclusion

The data was collected within 24 hours and the speed and number of respondents within a short span of time shows the eagerness and desire of the sector to be back in the market to assist buyers and sellers, landlords and tenants while adhering to the Standard Operating Procedures (SOPs) enforced by the authorities.

YB Wan Junaidi Tuanku Jaafar, the minister of entrepreneur development and cooperatives stated that micro- small- and medium-sized enterprises (MSMEs), could soon collapse if the lockdown were to prolong. He said that around 580,000 businesses, or 49%of the MSME sector, could collapse by October if operations do not resume by then and that more than seven million Malaysians would become unemployed. He further reiterated that “If we don’t do something to help them now, I am worried that many of these MSMEs will fail and will not be around to help rebuild the economy once businesses are allowed to open”.

COVID-19 is a humanitarian challenge that will have lasting effects on how people live, work and play. By acting today, real estate leaders can best serve end users and ensure their own viability.

Its President Ms. Chan Ai Cheng on behalf of all members has also submitted a Memorandum to the Prime Minister and Minister of Finance on July 1 to appeal, amongst other things, for the extension of the PSU Programme incentive to include Real Estate Negotiators who are not “Employees” but are engaged by the firms and registered with the Board of Valuers, Appraisers, Estate Agents & Property Managers Malaysia (Act 242) through the BOARD’s BIS system. The firms can then pass on this incentive to the RENs to support them in their plight in supporting the industry.

On behalf of 27,872 Real Estate practitioner’s, we seek the governments support to drive the country’s economic recovery plan where balancing life and livelihood is envisaged. As planned under phase 2, more economic sectors are to be reopened and the real estate profession is one  that meets the eye. All we ask is to give space to do business safely!

Released by

The Secretariat, Malaysian Institute of Estate Agents

– end of Press Release –

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Press Release: MIEA – Estate Agents Instil Deeper Sense Of Safety To Protect Clients Through Video

We are grateful that Estate Agency Practice sector has reopened and playing its part to revitalize the economy. Whilst we are excited to resume work, we want to remind our agents to be wary to safeguard our clients as well as the real estate practitioners themselves against the spread of COVID-19.

Part of our main responsibility as real estate agents is the need to meet, engage, negotiate and work with buyers. Tenants, Sellers and Landlords. We want to live up to the old adage “prevention is better than cure”.

MIEA Sabah Branch Committee under the chairmanship of Ms Rose Lai has taken the initiative to produce this educational video for all parties to adhere to the real estate SOP based on MKN guidelines combining real estate practice. This two and a half minute video is part of our corporate social responsibility programme for 2021.

The personalities on the video are all practicing agents and they were all excited to contribute towards this effort. The video highlights the preparations before the viewings and handling the viewing of a property. As responsible agents, we need to protect the interest of our clients and we hope the video will help the general public to gain confidence with our work and our agents to play their part.

We are happy to note that this video will be used nationwide by some 30,000 real estate practitioners.

Click here to view the video.
(specifically, the SOP video starts from 11 minute mark in the FB LIVE.)

We are honoured to receive the full support of Hap Seng Land in making this project a reality. We are happy to have with us Madam Joanne Chung General Manager of Hap Seng Properties Development Sdn Bhd to jointly launch the video. Its an honour to work them.

– End Of Press Release –

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MIEA: Tough time for 25,000 Real Estate Agents and Real Estate Negotiators during COVID-19 MCO

PRESS STATEMEN
T:
MIEA COVID19

PETALING JAYA, 2020:
The Malaysian Institute of Estate Agents (MIEA) are concerned and worried for the wellbeing of an estimated 25,000 Real Estate Agents and Real Estate Negotiators in the country.

The movement control order (MCO) has brought the real estate fraternity to a “Grinding Stop”. They are unable to help house buyers in taking vacant possession of their properties, do any viewings and physically list any properties for sale or rental.

Like many Malaysians, the agents and negotiators are also affected morally & many financially, more so because they are mostly commission agents and do not have a basic salary.

“We are also concerned that the market has taken a shift and that new strategies be placed to help balance the shift”, said MIEA President Mr. Lim Boon Ping

As such MIEA is making a call to the Government to consider the following proposals:

For the PUBLIC

That collection of SST for Real Estate transactions be placed in ‘abeyance’ until end of the year to help sellers from having to incur additional costs.

That the RPGT be zeroized as in 2007 till end of the year to help boost the already soft real estate market. This will help sellers to reduce losses who will face a ‘push down price demand’ from buyers.

To allow for a transfer of 10%* of the funds in Account 1 of EPF to Account 2 to provide liquidity for the purchase of homes or assistance in repayment of loans after the moratorium of 6 months.

MIEA has in our budget

proposal last year suggested for the option of Interest Only Loans for the purchase of properties.  Perhaps this would be the right time for this to be reconsidered especially after the 6 months moratorium as a longer-term measure for first time house buyers.

For the REAL ESTATE FRATERNITY

That assistance be given to the Real Estate Negotiators to pull through these difficult times. We commend the government for coming up with a stimulus package that leaves no one behind. We therefore seek for the automatic extension of the benefits made available for e-hailing & subsidies for income earners less than RM2k and household below RM4k to be also extended to Registered Estate Agents, Probationary Estate Agents and Real Estate Negotiators registered with the Board of Valuers, Appraisers, Estate Agents and Property Managers Malaysia.

That a segment of the Special Relief Facility for COVID19 also be dedicated for the 1,300 registered real estate firms to keep them afloat and to avoid retrenching their staff.

To allow for a transfer of 10%* of the funds in Account 1 of EPF to Account 2 to provide liquidity for the purchase of homes or assistance in repayment of loans after the moratorium of 6 months.

MIEA has in our budget

proposal last year suggested for the option of Interest Only Loans for the purchase of properties.  Perhaps this would be the right time for this to be reconsidered especially after the 6 months moratorium as a longer-term measure for first time house buyers.

To Real Estate Portal Companies:

MIEA kindly requests all real estate portal companies whom the real estate fraternity have fully supported throughout the years to give favorable incentives and cost benefit packages for agents to boost their advertising spend which in-turn can directly help to market properties for their clients.

To the Minister of Finance & The Board of Valuers, Appraisers, Estate Agents and Property Managers (BOVAEAP)

Its compulsory for the close to 25,000 Real Estate Negotiators (RENs) & Real Estate Agents (REAs) to attend the Continuous Professional Development Programme & Continuous Development Programme (CPD & CDP) every year and also for the 2020 session. We propose that a Relieve should be provided in that all CPD & CDP programmes be deferred to 2021 and that all the REAs and RENs who at this point of time are registered or certified with BOVAEAP are given automatic renewal to practice in 2021. This will go a long way for the 25,000 practitioners to get a relief of one year in order for everyone to continue working legally and help the practitioners financially.

The Secretary General of MIEA, Ms. Serene Sew said that MIEA has also been proactive and has taken initiatives to help member agents by establishing an ‘MIEA Covid19 Helpline’ to those in need of assistance. MIEA has also launched a ‘MIEA-HOPE Program’ to help agents throughout the country on ways to assist their clients and on self-development. These programs are live and on zoom webinar and Facebook at 10am & 3pm daily until April 14, 2020.

MIEA is also supportive of the government for all the steps taken to rid Malaysia of the Covid-19 infection threat and would like to extend any help required by the authorities.

—
End of press statement
—

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Press Release:  MIEA: Memorandum to Prime Minister and Minister Of Finance- At a Crossroad: MCO and The Real Estate Agency Practice

Dear YAB Tan Sri Muhyiddin and YB Tengku Dato Seri Zafrul,

MEMORANDUM TO THE PRIME MINISTER & MINISTER OF FINANCE
RE: AT A CROSS ROAD – MCO AND THE REAL ESTATE AGENCY PRACTICE

The Malaysian Institute of Estate Agents (MIEA), the oldest and largest Real Estate Association, appeals to the government on two major concerns affecting the profession. The first being priority for vaccination and second loss of income through inactivity for agents. The Real estate Profession comes under the purview of the Ministry of Finance. There are approximately 23,000 Real Estate Practitioners comprising of Real Estate Agents, Probationary Estate Agents and Real Estate Negotiators. Their primary role is to help the public at large to sell and rent their properties and to assist buyers and tenants. While MIEA supports the government’s move to help the country on the pandemic recovery plan and its effort to provide assistance and support for those who are in need, the real estate sector has taken the beating and burden of the MCO challenges with limited assistance.

The agents are now deeply affected like other businesses, non salaried contractors, SMEs etc. We are also very much affected by the lockdown. Agents are a resilient lot and have kept to our own this far but the lockdown has had serious effect on the livelihood of agents. Though there may be a thin line in defining that we don’t come under the ambit of essential services, agents play a big role in the growth of the economy; Selling of properties creates cash flow and liquidity in the market, Renting helps landlords to pay for their loans and provide income for them. In view of this we appeal to the Prime Minister, Minister of Finance and the Government on the following matters;

Priority Vaccination
a. That Real Estate Agents and Real Estate Negotiators be given ‘priority vaccination’ in view of the nature of services of agents in supporting one of the main drivers of the economy. The priority vaccination is to ensure that all agents are fully protected once MCO is lifted as they will meet all types of people to assist in the property matters.                                                             b. This will enable the practitioners to move fast to help build the property sector with confidence.                                                                                c. MIEA has offices in 5 states i.e., KL, JB, Kuching, Kota Kinabalu & Penang, we can use this as vaccination centres and MIEA will support in all areas including volunteers and venue usage

2. Agents are Self-Employed and on Contract for Service.                                                                  As a general rule, some 90% of the 23,000 Real Estate Agents (REAs), Probationary Estate Agents and Real Estate Negotiators (RENs) are self- employed on a “Contract for Service” and do not contribute to EPF and as such have not been able to benefit from the various initiatives of the government i.e., iSinar which have benefited other sectors. In view of that a special programme needs to be designed for this sector.

MIEA is proposing for the PSU programme to be extended to Real Estate Agency Firms even though Real Estate Negotiators are not “Employees” but are engaged on a contract for service and registered under the Board of Valuers, Appraisers, Estate Agents and Property Managers Malaysia (Act 242) through the Board’s BID system. The firms can then pass on this incentive to the RENs to support them in their plight in supporting the industry.

We also seriously request that parts of the industry are stranded especially tenants who are in the midst of moving in or moving out of their homes. In these cases, the police can easily verify the movement via a stamped Tenancy Agreement, to give them approval by the Police specifically for moving in and out on a date specified upon verification by the Police. This will largely help stranded tenants paying rents on both ends.

Serious attention needs to be given to the profession as we are the cradle of the real estate sector. We sincerely hope this matter be given urgency to help in the issues that have been raised.

Thank you
Yours sincerely,

Chan Ai Cheng
President

— End of Memorandum–

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MIEA: More options to first-time home buyers please.

I hope first-time home buyers read enough articles (personal finance, property blogs, etc) to understand that even if it may not be the best time ever (in our lifetime) to buy a property, it is definitely a good time today. The developers are more willing to provide a good deal and the government is offering an exemption of stamp duties too which is quite substantial if we are to pay for it when we buy a property. Article on
Stamp duty calculation.
 Here’s one more suggestion for the benefit of first-time home buyers. This comes from Malaysia Institute of Estate Agents (MIEA).

Article theedgemarkets.com here.
MIEA opined that the Home Ownership Campaign should also include first-time homebuyers of the secondary market as the market makes up around 80% of all residential property transactions in the nation. It suggested that the incentives for properties under HOC should also be extended to the secondary market as there are more affordable homes in said market. Currently, Malaysian homebuyers are entitled to stamp duty waivers and a minimum 10% discount from developers for properties under the HOC. In a statement, it said, “We should allow for the exemption of stamp duties (on the instrument of transfer and loan agreement for sales and purchase) to cover the purchase of homes within the secondary market by first-time buyers. This will also support the government’s overall goal of encouraging home ownership.”
Article theedgemarkets.com here.

Actually, one major reason for buyers being more focused on new properties is because of the downpayment. Some may not have saved enough and in the secondary market, the owners may not want to reduce their prices, thus downpayment becomes a major issue. However, there are definitely first-time home buyers who may prefer to buy from the secondary market because some of these older properties may be in locations they like versus newer properties which may be in newer locations. Buying a secondary property also meant that the buyers could move in earlier instead of waiting for the new development to be completed. If the focus is ONLY on first-time home buyers, I think this suggestion is indeed a good one for Malaysians. Will update when it happens. Happy following.

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Article written and edited by Charles. News article summarised by Dina Batrisyia.

written on 5 March 2019

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PRESS RELEASE by Malaysian Institute of Estate Agents (MIEA)

“THE MIEA NATIONAL REAL ESTATE AWARDS PACK LAUNCH 2018”

PETALING JAYA

The National Real Estate Awards organized by the Malaysian Institute of Estate Agents is regarded as Malaysia’s Premier Real Estate Awards. Launched in 2009, the NREA celebrates excellence and showcases the highest standards in the Real Estate Industry. The MIEA National Real Estate Awards acknowledges the personal achievements of Real Estate Practitioners and Companies who raise the bar in their pursuit for excellence in their respective fields. The awards programme provides a superb opportunity for the Industry to come together and celebrate excellence with their peers.

Sr Lim Boon Ping, NREA 2018 Awards Chairman states that this year MIEA is launching 17 award categories, divided into 2 main groups.   The awards are open to all Real Estate Agents, Probationary Estate Agents/Valuers and Real Estate Negotiators. He further elaborated that the Awards have grown over the years and has become one of the most highly coveted Real Estate Awards. This year marks its 10th year since the award was conceptualized in 2009. It has become a symbol of success.

The Award is open to all practitioners. Some of the main awards include Real Estate Agent (REA) of the Year – National & State, Residential Real Estate Firm of the Year – small, medium & large, Project Marketing Firm of The Year, Most Innovative Marketing Idea and others.

The REN (Real Estate Negotiator) awards include REN of the Year, Rookie REN of the year and Residential, Commercial & Industrial REN of the Year. While all these Awards are competitive, the Million Dollar Producer (MDP) award is presented to both REA & REN who have achieved commissions in excess of RM1million.

Nominations are now open for the Awards. All are invited to nominate and/or participate in celebration of the achievements of Year 2017. Winning an award at the MIEA National Real Estate Awards really is the recognition of being the best of the best within the Real Estate Industry.

The full list of awards is as follows:

REAL ESTATE AGENTS (REA) AWARD CATEGORY

1: Real Estate Agent of the Year

2: Real Estate Firm of the Year

3: Real Estate Firm of the Year (State)

4: Rookie Real Estate Agent of the Year (State)

5: Residential Real Estate Firm of the Year

-5A. Agency firms or branches with 151 RENs or more (Large)

-5B. Agency firms or branches with 31 ?150 RENs (Medium)

-5C. Agency firms or branches with 30 RENs or less (Small)

6: Commercial Real Estate Firm of the Year

7: Industrial Real Estate Firm of the Year

8: Project Marketing Firm of the Year

9: Most Innovative Marketing Idea

10: Million Dollar Producers (MDP)

REAL ESTATE NEGOTIATORS (REN) AWARD CATEGORY

10a: Million Dollar Producers (MDP)

11: REN of the Year

12: State REN of the Year

13: Rookie REN of the Year

14: Rookie REN of the Year (State)

15: Residential REN of the Year

16: Commercial REN of the Year

17: Industrial REN of the Year

This year’s winners will receive a champion’s trophy, lapel pin, recognition at the Gala Dinner and a host of privileges including media coverage. More importantly, the recipients will be recognized nationally as the cream of the Real Estate Fraternity and can go on to compete internationally.

The National Awards Gala Dinner is scheduled to be held on October 21st at the JW Marriot Kuala Lumpur.   For those who are keen to nominate and/or participate in the awards submission and gala dinner can contact Helena/Afina at MIEA Secretariat at 03-79602577

Please feel free to understand more about the award winners in 2017.
Lots of exposure for the winners. Here’s the file.

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MIEA gets a new President.

I am someone who believes that real estate agents and negotiators should be professionals and I think the Malaysian Institute of Estate Agents (MIEA) is trying to achieve this goal.  Now, MIEA gets a new President and it’s their 3rd Lady President too. She is Ms. Chan Ai Cheng. Do read their full press release below:

Press Release:  MIEA Gets A New President

The Malaysian Institute of Estate Agents (MIEA), the oldest and largest Real Estate Association is welcoming its 3rd Lady President, Ms. Chan Ai Cheng who will helm MIEA for the 2021-2023 term. She will be the first, 2nd generation President, following in her father’s (Past President Charlie Chan) footsteps, who was President from 1995- 1997.

This passing of the baton signifies many things for the real estate profession – its growth, maturity and its continuity to be a voice for the profession. She takes office together with 17 other Board of Directors on July 1, 2021, six of whom are chairman of the state branches.

In her acceptance speech, she described that continuity in leadership is important for MIEA to be relevant and progressive. Her main objective is to help members through this pandemic and hoped that the government will give due recognition to the profession.

The Real Estate industry predominantly engages its salespeople on a contract basis where fees are earned when a successful transaction takes place. With movements stalled, some 23,000 active real estate practitioners are hard pressed to carry out any transaction, as such affecting their income.

Registered under ACT 242 under the Ministry of Finance (MOF), it is hoped that the MOF will recognize their contribution to the economy and to lend its support to this sector. She also has set her sights to help grow the membership and to enhance professionalism and integrity among its members in their service to the public.

The Real Estate profession is relatively young, having been established through an act of parliament in 1986 and as such there is a need to constantly educate and empowered practitioners to live up to their role.

There is also great concern by Registered Agents in getting new recruits into the profession as the lockdown is hampering new salespersons from undergoing the entry classes – Negotiators Certification Course (NCC). At present the Board of Valuers, Appraisers, Estate Agents & Property Managers Malaysia (BOVEAP) only allows classes via physical means.

MIEA is appealing to heed the nation’s call to move learning to a new level and that the NCC classes be allowed to be conducted online. MIEA wants to help in the nation’s call to provide job opportunities to the unemployed by enabling them to join the profession as Real Estate Negotiators.

— end of press release —

Congratulations Ai Cheng. It’s always great to see another dynamic president who wants to do more for the members. Enjoy your role and the journey too.

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MIEA – The 12th Year in Recognising the Best Real Estate Practitioners in Malaysia

Press Release by MIEA: The 12th Year in Recognising the Best Real Estate Practitioners in Malaysia with NREA

PETALING JAYA, 30 NOVEMBER 2020:
 The National Real Estate Awards (NREA), presented by the Malaysian Institute of Estate Agents (MIEA) returns this year to honour and celebrate the achievements of real estate practitioners in Malaysia. Running in its 12
th
 year since 2009, this award is now the most recognised in the real estate industry, created by real estate practitioners to recognise real estate practitioners in Malaysia.

Evon Heng, organising chairperson of NREA 2020 said that, as the world faces the global pandemic COVID-19, it makes this year’s NREA much more meaningful in recognising the hard work of fellow real estate practitioners who have thrived in 2019. Another first for the NREA was the pivot to a live online format with the respective award winners and the public being invited to experience the event.

“Despite the pandemic, we have received an overwhelming response from our fellow real estate practitioners this year with a total of 62 submissions for 23 categories, making this the highest number of submissions received throughout NREA’s history”, Heng added.

To strengthen this year’s award evaluation process, all submissions were audited by a local accounting firm, Syarikat Ong to ensure the winners were selected fairly based on a transparent scoring distribution and strict judging criteria.

President of MIEA, Lim Boon Ping said that, “It has been a challenging year for the real estate industry, but many real estate practitioners have reinvented and adapted to technology to handle their property transactions. Besides celebrating the commitment and achievements of real estate practitioners in 2019, this year’s award serves as a reminder to all Registered Estate Agents (REA), Probationary Estate Agents (PEA) and Real Estate Negotiators (REN) to uphold professionalism and integrity at all times.”

Two new categories were introduced in this year’s NREA, the first award category being the
ASEAN Real Estate Firm of the Year.
The Philippines category was awarded to Green Circle Realty, Inc whilst the Malaysia category was awarded to Hartamas Real Estate (Malaysia) Sdn Bhd.

Another new category was the
State Residential Firm of the Year
 which was awarded to Cornerstone Xstate Sdn Bhd for the Federal Territory; DeOne Properties Sdn Bhd for the state of Perak, InteRealtor Sdn Bhd for the state of Penang, Kozin Real Estate Sdn Bhd for the state of Sarawak and Property Hub (Sabah) Sdn Bhd for the state of Sabah.

One the highly anticipated and notable awards, the
MIEA Lifetime Achievement Award 2020,
 was awarded to Khatijah binti Abdullah from City Harta 1, who was also the past president of MIEA for the term between 1991-1995 and 2003-2007.

Sr A’zmi Bin Abdul Latif, president of the Board of Valuers, Appraisers, Estate Agents and Property Managers (BOVAEP) commended “MIEA for being able to have truly created a brand for real estate practitioners to showcase their achievement and be recognized as the best in the country through the National Real Estate Awards.”

He also added that, for the betterment of the nation’s real estate profession, BOVAEP have been making changes including making public all registrants who are prosecuted and applauded MIEA for taking the initiative to carry out a public awareness campaign this year to remind the public to engage with Registered Estate Agents and Negotiators.

The public awareness campaign #MYREALAGENTS was launched by MIEA this year to raise awareness amongst the public especially first-time property buyers and renters on the need to engage with Registered Estate Agents and Negotiators, and how they could protect themselves. This campaign was launched due to the increasing cases of property frauds by illegal property brokers. The public can visit
www.myrealagents.com
 or follow their page on
Facebook
 and
Instagram
 to find out more.

The preferred automotive partner for the 12
th
 National Real Estate Awards is Sime Darby Auto Bavaria Sdn Bhd (BMW) with Property Guru International (Malaysia) Sdn Bhd and Triterra Metropolis Sdn Bhd as award sponsors. Preferred mortgage partner as CIMB Banks, official award auditor as Syarikat Ong, Kopiandproperty.com as blog partner and Nextdor Property Communications as public relations partner.

— End of the Press Release —

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MIEA EXPECTS PROPERTY MARKET TO EXPAND & GROW IN 2023

MIEA Real Estate Market Sentiment Survey 2023 Among Practitioners.

The Malaysian Institute of Estate Agents conducted their annual Real Estate  market sentiment survey 2022/2023 end December to understand what happened  in 2022 and gauge what is expected in 2023 in the following areas:

1. Enquiry level of purchasers in 2022

2. Expected enquiry levels from purchaser in 2023

3. Enquiry Levels from Tenants in 2022

4. Expected Enquiry Levels from Tenants in 2023

5. Rental rate adjustments in 2022

6. Projected adjustment to rental rates in 2023

7. Adjustment to selling price in 2022 compared to 2021

8. Projected adjustment to selling price in 2023 and

9. Overall property market outlook in 2023

The respondents were from among Real Estate practitioners who are active in the  market and importantly who know and understands what is happening on the  ground.

The survey was conducted on the side line of the MIEA REN Summit on 17  December 2022. The REN summit is an annual event dedicated for Real Estate  Negotiators to gather knowledge and skills in real estate sales & marketing. The  attendance was very encouraging as it was attended by 385 Real Estate Agents  [REA], Probationary Real Estate Agents [PEA] and Real Estate Negotiators (REN).  The survey revealed some interesting facts to help understand sentiments of  sellers, buyers, landlords & tenants throughout Malaysia in 2022 and that of the  respondents as to how the market will perform in 2023.

PROSPECTIVE PURCHASERS

Enquiry Levels from Purchasers in 2022

To understand market movements, especially demand, we asked about the  number of enquiries received from purchasers through advertisements and  marketing channels in the year 2022 compared to the corresponding period January to November 2021. Enquiries are important as it reflects the interest of  the property seekers which will eventually result in a showing of the property and  the closing and it is a reflection on the demand. The findings are as follows:

• 41.7% said the enquiries from prospective purchasers increased

• 24.3% said remained constant and

• 33.9% said it decreased

We are not surprised at the increase in enquiries as after the lockdown, the market  opened up in the last quarter of 2021 and correspondingly the demand went up as  movement became easy, people could look at properties again, more marketing  and advertising activities took place, those who waited to invest could view  properties, there was also a rise in the disposal of properties to wither the effect of  the lockdown in some cases. This trend followed through till December 2022 and  we can reconcile with the fact that Q1, Q2 and Q3 National Property Information  Centre showed that the volume of transactions in 2022 reached 293,206, an  increase of transaction by 46.86% over the same period in 2021.

Expected Enquiry Levels from Purchasers in 2023

Further to a question as to what they foresee in the number of enquiries in 2023,  there was a positive outlook from the respondents:

• 49.6% said will increase

• 31.3% said will remain the same and

• 19.1% said will decrease

This can be contributed to the general feeling that the market will perform well in  2023 as there is greater stability in the country vis a vis new government, steps  taken to develop the economy and trying to place a ‘lid’ on inflation. All these will  help build confidence among end users and the investors.

TENANCY

Enquiry Levels from prospective tenants in 2022

The findings are as follows :

• 55.7% said enquiries for rental also increased

• 27% said it remained constant

• 11.3 % said it decreased.

This strong jump in the number of enquiries showed that after MCO there is an  increase in rental movements attributed to possibly :

1. Existing tenancies moving to other premises

2. Movement of interstate for work

3. Extensions of tenancies

4. The high cost of new homes thus affecting affordability

5. Some sold their homes during MCO to realize their investment and thus renting  in the meantime

6. Young professionals choosing to rent as to the uncertainty of the market In fact, renting properties is becoming popular these days.

It isn’t conclusive from this survey that there is a general move or preference from  purchasing into renting. The data merely points that the number of enquiries in  comparison to 2021 has increased.

Expected Enquiry Levels from Tenants in 2023

Further to a question as to what they foresee in the number of enquiries for 2023:

• 63.5% said will increase

• 25.2% said will remain the same and

• 11.1% said will decrease

Again, there is a general feeling that the rental market will perform better. The  process is simpler, less upfront payments, shorter term commitment are some of  the reasons many are opting to rent instead of buying. Secondly there are many  young people coming into the market choosing to rent first.

THE RENTAL RATE MOVEMENT IN 2022

• 33.9% said increased by 10%-20%

• 42.6 said will remain constant and

• Decreased by 10%

There has been an increase in rental adjustments by about 10%-20%. This is  acceptable as demand for rental properties went on the rise. However, a majority  of respondents said that it remained constant. This again can be attributed that a  majority of owners who would have wanted their premises occupied instead of  keeping it vacant. The market was also in a recovery mode and landlords would  have a subdued mind set to increase rental.

Projected adjustment to rental rates in 2023

• 35.7% project an Increase by 10-20%

• 47% said it will remain the same and

• 17.4% were of the opinion that it will decrease by 10%

A high percentage of them feel the rental rates will remain reflecting what  happened in 2022. As stated earlier the market is adjusting itself and landlords will  be wary to increase to attract tenants as having the premises tenanted to give them  some returns is key. Interestingly, 35.7% have the opinion that we will see an  increase as properties in certain locations have greater demand and probably less  supply thereby creating demand resulting in the rise of rental rates. A smaller  percentage felt there will be a decrease of 10% and again that could be expected  in locations where demand is low.

Overall Rental Market in 2023

• 67% said it will be better than 2022

• 25.2% said it will remain the same

• 7.8% said it will softe

Majority of the respondents feel that the Rental market will perform better in 2023.  This is expected as there is a rise in transactions, population growth, rise in  employment and transmigration from rural areas to the city, an improved economy  will all contribute to a better performing rental market.

SELLING PRICE

Adjustment to selling price in 2022 compared to 2021

Movement on the price of properties is an important factor as it reflects the asking  price by sellers. The results are as follows;

• 32.2% said the price increased by 10-20%

• 29.6% said it remained the same while

• 38.3% said it decreased by 10%

Generally, the 38.3% who said the price decreased will largely be due to the  challenges faced during the lockdown. Property owners who were businessman  and employees were both affected as there was reduced income and in the job  market, the loss of jobs and salary adjustments had a great impact. A number had  to sell their properties to make ends meet, to avoid mortgage payments and to  keep themselves afloat. Adjusting the price is also to create an urgency in sales  as they could very well have tried marketing the properties above market price and  have to adjust to be competitive. 32.2% indicated that there was an increase in the  selling price and this be attributed to largely sellers of landed properties in strategic  locations.

Projected adjustment to selling price in 2023

• 35.7% says price will increase by 10-20%

• 31.3% will remain the same

• 34% said decrease by 10%

67% responded that the price will remain and or increase by 10%- 20% in the year  2023. There is a common feeling that the price adjustment could be minimal as the  market is recovering and there will be resistance to any price increase. However,  we anticipate that there will be some adjustments in some pocket locations by  owners who feel that their properties can demand higher prices. There is also an  equal feeling from 34% of the respondents that the price will decrease by 10%  reflecting that in many other locations the prices will see a slight drop. This can be accepted as purchasers will play a balancing factor in resisting price escalations  and this is true in a recovering market.

PROPERTY MARKET OUTLOOK OF THE SECONDARY MARKET in 2023

• 52.2 % felt that the secondary market will grow

• 31.9% said it will remain the same while

• 15.9% said it will see a decline.

It is worthy to note that close to 60%-65% of all transaction in the country are from  the residential sector. Among these numbers also include project sales (primary  market). Agents play a critical role in assisting Developers in project sales. As  such bulk of the transactions are from the secondary market due to its volume all  over the country. From a subdued market in 2020, 2021 and with an improving  market, the secondary market is expected to grow.

OUTLOOK ON PROJECT SALES

• 40.9% felt that the secondary market will grow

• 30.4% said it will remain the same

• 28.7% said it will decline while

There is always good demand for new project launches as investors buy to realize  their investment in 24 months for landed property and 36 months for high rise either  through a sale or rental. This market is picking up and 40.9% fell that it will grow  further in 2023. Further, it is easier to purchase new projects as the outlay is much  less thereby attracting those first-time house buyers.

OVERALL PROPERTY MARKET OUTLOOK IN 2023

• 58.3% concluded that the market will improve

• 18.3% said it will remain the same while

• 23.5% said it will decline

Combining both project and secondary market sales, the respondents feel that the  overall property market will improve.

In conclusion, we in MIEA feel the same as there is stability in the country. As long  as the fundamentals vis a vis, economy, interest rate, loan accessibility,  employment rate coupled with government support through incentives are in  check, the property market will grow. In the last proposed budget, there was a lack  of government initiatives to support the property market except for the B40 group.  It is our call that the M40 group’s housing needs are also looked into and we  request the new government under the able leadership of YAB Dato Seri Anwar  Ibrahim, who is also placed priority on housing for Malaysians to include in the new  budget some of the proposals made by MIEA in their budget proposal in 2022 to  stimulate the secondary market. We will continue to support all government  initiatives on the property market. The market is to improve and our wish is that all  stakeholders need to support its growth.

Ms. Chan Ai Cheng

President

Malaysian Institute of Estate Agents

—— the end —–

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‘Confidence’ is building back into property market Malaysia

Press Release by Malaysian Institute of Estate Agents (MIEA)

MIEA anticipates a ‘confidence’ gaining property market through 2018

Association refocuses industry training programmes on skill development for real estate fraternity

Petaling Jaya, August 9, 2018:
 Malaysian Institute of Estate Agents (MIEA) President Eric Lim Chin Heng today said that the Malaysian property market is set to gradually improve in the years ahead through to 2020.

“The property market may have bottomed out last year with transaction volumes hitting the lowest point since 2012, amounting to 311,824 transactions in 2017. We envisage that the market will continue experiencing ‘confidence gaining growth’ as fundamentals improve under the new government. Real estate investors, who have been playing an important part in the property market’s growth, have been on the side lines for many years now and are looking forward to coming back to the market.

“We also foresee the implementation of new policies by the government to boost the property market. Two major events include plans to introduce and manage the supply of affordable housing and the forthcoming budget which will be a test for the new government in tackling the woes of the property industry”, Lim said.

To help spur further confidence building, MIEA will be focusing the content of their Continuous Development Programmes (CDP), which is accredited by the Board of Valuers, Appraisers, Estate Agents and Property Managers (BOVAEP), towards empowering the 18,000 active members of the real estate fraternity with new knowledge and improve skills with an emphasis on professionalism and integrity.

The Continuous Development Programme is an annual training programme required by BOVAEP to ensure that Real Estate Negotiators (REN) are trained to be relevant in the work they do. This will enable RENs to continue practicing for the coming year, allowing for renewal of their REN tags.

Eric added that MIEA has been proactive in addressing the needs of the real estate fraternity and it was decided that CDP programme courses developed by MIEA would focus on skills development, appealing to both the new and experienced real estate negotiators to enhance their ability to serve clients more effectively.

“We want to prepare and provide opportunities to our Real Estate Negotiators to be able to power through a challenging market and are prepared to reap the benefits when the market is expected to start picking up again in 2019,” Lim said.

Some of the speakers that MIEA has specifically chosen to lead its CDP programmes include industry heavyweights such as Lim Boon Ping, President Elect of MIEA & Board Member, Kelvin Yip, Vice President of MIEA, Siva Shanker, Past President of MIEA, Nixon Paul, Managing director, Carey Real Estate, Chan Ai Cheng, MIEA Secretary General & General Manager, S.K. Brothers Realty and Soma Sundram, BOVAEP Real Estate Agent of the Year 2016 recipient.

The CDP programme will be held three times a week until end December 2018 to cater for all Negotiators.

“I continue to stress the importance of our CDP programmes in growing the skills and professionalism of the real estate fraternity.

“Given that CDP participation is also a requirement of maintaining the accredited status of Real Estate Negotiators (RENs), we will be bringing our CDP programmes nationally to Perak, Penang, Selangor, KL, Johor the east coast of peninsular Malaysia as well as Sabah and Sarawak,” Lim added.

— end of press release —

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Press Release:  MIEA: Provisions for Residential Tenancy Act (RTA) is imperfect and inadequate, further engagement with stakeholders necessary.

The Malaysian Institute of Estate Agents supports the efforts of the Ministry of Housing and local government [KPKT] in the formulation of the Residential Tenancy Act (RTA), says Ms. Chan Ai Cheng the President of the association. The time is right to model after more established property markets around the world in how they manage Landlord and Tenant relationship via a similar act. The Residential Tenancies Act 1997 in Australia is certainly one to model after providing a more structured framework for landlord and tenant relations.

Our real estate practitioners who represent the larger community of owners /landlords are concerned on the various provisions in the proposed act. The main concern is that of Deposit collection where an independent institution is to hold the deposit on behalf of the Landlord. While this is practiced in many developed countries, administering the
refund where the landlords need to claim for cost of repairs on a timely basis will hamper his ability to get the repairs done on a timely basis and will result in income loss. This will directly impact the rental market especially when there are disputes and the tribunal may take as long as 120 days to resolve it. Where money is concerned, a faster, efficient and seamless process need to be introduced to administer this concern.

Collection of the rental deposit is going to create another adverse effect on the current practice as the booking fee or rental deposit to be collected shall not be more than 25% of the rental. i.e., if the rental is RM1000 the agent cannot collect one month’s rental deposit but only RM250. Rental deposits are presently one-months rental amount paid
upon acceptance of the rental offer and is used to offset the first month’s rent of the property. There isn’t a need to change this practice.

The new introduction is that the cost of preparing tenancy agreement is now to be paid by the landlords and not the Tenants as currently practiced. Given the proposed standardization of the Tenancy Agreement, probably fixing a processing fee for the tenancy agreement is sufficient which should just be a nominal amount. The provision for collecting of Security deposit not exceeding 2 months may be low as cost of replacement and repairs can run much higher for high end properties. As such there should not be a blanket fixed amount and should be a two-tier security deposit provision for property rentals of certain value to meet the contingencies.

Repossession of a rented premise by the landlord can only happen on the ‘order for possession by the tribunal’. This is an area that hopes to address the disputes between landlord and tenant in a more effective manner than how it presently is. This could be an area of concern if the timeline for settlement is too long and if all disputes require a
tribunal for settlement.

Any unpaid rental is to be claimed under security deposit which is against the norm as security deposit is meant to recover cost of repair for damages caused to the property by the tenant and not to recover unpaid rental as that is a breach of the Tenancy agreement.

There is also no provision for collection of utility deposits and one of the biggest challenges of Landlords are the unpaid utility bills by tenants. As real estate practitioners who are and will play an important role in supporting and adhering to the RTA, it is important to refer ‘Agents’ as specified in ACT 242 in the main definition of the RTA. It is not specific who agents are under the definition which we feel needs to be emphasized.

In general, we agree that much effort has been placed to get the Act right, there remains many weaknesses in the provisions of the RTA which needs to be further discussed and developed to have a practical and acceptable provisions with stakeholders. Rushing this will only anger and frustrate the property investors who are contributing to the economy and will result in loss of investor confidence in already a challenging time.

While we support the introduction of the Residential Tenancies Act as a solution for the Landlord and Tenant problems that the nation faces, there needs to be careful consideration of balancing Landlord and Tenant concerns that should not side one over the other. Pre – screening of tenants must become a precursor when identifying tenants and we are happy to state that MIEA is working towards this endeavor. We are in the midst of collating feedback from our  practitioners on the provisions of the RTA which will be sent to KPKT.

While we recognize that there is no perfect Act or a perfect time for the introduction of an Act, we urgently request the intervention of the Honorable Minister of Housing & Local Government, YAB Prime Minister to extend the time to study further the nitty gritty of how this will work in real life and in real time. MIEA being the biggest stakeholder
where our practitioners who are acting as agents for landlords are ready to give further input to this cause.

— the end–

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MIEA: Stronger Property Market 2023

MIEA: Stronger Property Market 2023

Growing confidence in the property market

Confidence is growing in the property market based on the JPPH Q3 2022 performance review. Quarter 3, 2022 (July – September), seemed to have been a tumultuous period in view of the then pending 15th general election and the many uncertainties that besieged the country. This always causes concern for real estate practitioners as we are unable to chart the course and direction of the property market in that respective quarter.

To our astonishment the market rallied to show improvements in the third quarter as the NAPIC report showed that in Q1 of 2022 there were 94,556 units sold, while in Q2 saw 93,456 transactions showing a small decline. Q3 was a better performing quarter with 105,204 transactions an increase of 12.6 % over Q2. This is a good indication that there is a returning of confidence in the marketplace after the Q1 & Q2 decline in 2022. As in previous years, the residential, agricultural and commercial sector took precedence. The Residential sector contributed 62.5%, while agricultural and commercial contributed 21.9% and 8.1% respectively.

Overhang is slightly below 30,000 units

It was recorded that there was an overhang of 29,534 units out of which 24.0% were priced below RM300,000 and 29.3% were priced between RM300,000 to RM500,000 respectively. This contributed to 53.3 % to the total overhang of properties. There seems to be mismatch as the government is emphasizing to provide affordable homes but the take up rate is lagging.

Stamp Duty savings for first time home buyers

For first time home buyers there is stamp duty savings for purchasing homes below RM500,000 and also 50% savings on stamp duty for properties between RM500,000 – RM1million. Probably a study needs to be done as to why there is such a high overhang in this price segment. Interestingly, the overhang for properties priced between RM500,000 and RM1,000,000 is at 31.6% which is in a far more manageable position in comparison.

Overhang is not highest in the Klang Valley

Generally, when we talk about overhang, we get alarmed that the Klang Valley has the highest number. The statistics show otherwise; Penang and Johor have 5,222 and 5,348 overhang units respectively compared to the Klang Valley at 4,386. Perhaps it is time to reduce new supply in the state of Johor and Penang to address this overhang in the years to come. More study and better assessment matrix need to be in place to determine actual demand before new supply enters the market.

High rise vs landed, which is more?

Predominantly new projects being launched are still in high rise (67.8%) compared to landed (32.2%). We cannot generally presume the demand for the type of properties based on the units launched that buyers are looking
for, as the market is becoming sophisticated and many factors i.e., scarcity of land for landed developments, demand for inner city living, types of properties being offered with cost of construction and rise in land cost which has significant impact on the ordinary homebuyer.

How much are these newly launched projects?

It is also interesting to note that 68.6% of newly launched projects are priced below RM500,000 and 97.7% are below RM1million. As to the outlook of the 2023 property market, the data supports our views for a promising year 2023. With the new government in place headed by our YAB Datuk Seri Anwar Ibrahim as Malaysia’s 10th Prime Minister and the newly appointed Cabinet Ministers we see renewed confidence in the market. As the new Finance minister, we look forward to YAB to a renewed commitment to see our profession grow as Estate Agency practice comes under the purview of the Ministry of Finance.

Get sufficient information before deciding

As in all data, before making any selling or purchase decision, remember that you need to get specific on the location and type of property that you are considering. And get specific data of the area or type of property within the area of focus. While some locations may experience price falls, others are on the upward trend. Also note that the Stamp Duty Savings for First Time Home Buyers includes both new projects and in the secondary market. Remember, only make purchase decisions when both need and ability has been established.

Ms. Chan Ai Cheng
President
Malaysian Institute of Estate Agents

—— the end —–

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MIEA: Real Estate Agents Respects and Appreciates all GRAB Drivers and GRAB Food Deliverers

Comments from kopiandproperty.com  I have taken GRAB rides and have ordered many times from GRAB Food. I seriously believe they are considered a necessity these days and I do think they are an important part of our community.

Secondly, no matter how rich or how successful one thinks they are, there is no need to give unwarranted and negative comments against anyone else. Be nice to everyone and please remember everyone whether rich or poor may just potentially be a customer too. Thank you.

Please do read the full Public Statement by MIEA as below:

MIEA’s Public Statement

— end of MIEA public statement —

All the best to everyone in this difficult situation of Covid-19 challenges. We shall move forward together.

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MIER, The ‘cooling phase’ and the right price and right attitude

In a report in The Star (24th July 2014), it was reported that Malaysia’s residential property segment has entered a ‘cooling phase’ in the first two quarters and will continue to be ‘moderate’ for the third quarter according to the Malaysian Institute of Economic Research (MIER).  The main reason was because of the macro-prudential measures by the government since 2010. (In easier to understand words, this meant mass scale cooling measures). For example, the RPGT, the BNM’s stricter lending guidelines, the removal of DIBS and the increase of floor price for the foreign purchase of properties to RM1 million.

According to MIER, the total stocks on hand as reported by the developers are at a three year high. Nevertheless, there were no pressure of prices falling as the developers were maintaining their prices at current levels and there is a possibility that prices would escalate again in the months ahead. The reason is due to GST as well as the higher input costs after that. It was also reported that the double storey houses continue to be the most popular. Affordability remain a thorny issue as property prices is increasing at a faster rate than income growth and the interest rate edging up.

Actually, as long as you have been reading many of the reports in the many medias on property, you would already note that the market is still in a slow phase since 2013 till current. This is not just in Malaysia but in many other countries which has risen higher than Malaysia. For example, China’s secondary cities or even Singapore where the prices has even been falling since beginning of 2014 even if it’s marginally currently. In terms of RPGT, I remain steadfast in my view that this is not likely to be a main deterrent because this is based on the actual profit that you gain from selling the property and not based on the property price. Since most of the buyers have huge profits, if they so choose, they can sell and just take the balance of the profit after RPGT. This has not been the case currently though. I think majority of the buyers have good holding power.

I do not agree that DIBS removal should be for the whole market. It should not be taken away from first time buyers. Of course, it is not easy to implement this selective removal but I think this is possible and should be considered. Always remember, first time buyers are never the ones who cause risk to the building up of bubble. The risks are always due to buyers who overstretched themselves in trying to flip properties. As for prices escalating, GST should also not be a major reason for it. GST would most probably cause a one time increase of a few % and that’s all.

Lastly, for the market to continue its climb in terms of transactions, property developers must be willing to cut some of their margins and get these buyers who are still waiting but just could not bring themselves to buy many of the overpriced new launchings. (Hey, there is one developer who arrogantly told me they have no problems in selling their slightly over 100 units over 1.5 years ago. This same developer is today (26th July) using FACEBOOK marketing to sell their….. unsold units)  In the first place, do the right marketing, sell at a lower margin and these would not happen. Why be greedy, why act arrogantly? Oh dear.

written on 26 July 2014

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Miichael: The Art of Property Investments (Seminar in KL)

I like to listen to Miichael’s talks. Always energetic and I always pick up new ideas from him. He has another talk coming up soon.
Do sign up here.
To those who has yet to learnt from his vast experience and knowledge in the mortgage world, perhaps this is the time. It is in Kuala Lumpur, sorry Penangites. I think he will do one in Penang soon too. Please never buy if we do not understand what we are buying or investing. Spend time picking up tips and not drinking a latte in some cafe. Happy learning from him and do ask him questions.

Below are the details for his upcoming talk. You can also refer to
his site here.

DESCRIPTION

The Art of Property Investments

by GM Training Academy PLT

Everyone likes to make money through property investments. Property investments have gone through a new ball game. Investors need to equipped themselves with the necessary tool to invest wisely.

Miichael has 20 years of experience in property and mortgage industry and would like to share with you the insights on how to be a wise property investor. For the last 5 years he has spoken in seminars, developers projects launch and also conducted many courses.

What are the steps should investors take when you invest in property? Miichael will share with you the right way to start your property investment journey and to avoid painful mistakes that will cost you a whole lot of money.

Highlights of Miichael’s talk

Going forward what will happen in 2017?

How to invest in turbulent times?

The pitfalls in property investing.

Strategies to use in 2017 and beyond

How to make sure the banks lend to you?

It is time to break away from your usual routine. Instead of working 9-5 job look for alternative way to make more money.

Let the
“MONEY”
works harder for you.

Be street smart not work smart only

DATE AND TIME

Sat, June 10, 2017

2:30 PM – 5:30 PM Malaysia Time Malaysia (Kuala Lumpur) Time

Add to Calendar

LOCATION

No 278 Jalan Sepakat, Taman United

Kuala Lumpur, 58200

Malaysia

If you are serious to learn from Miichael he will be having a
talk register NOW….

Happy learning.

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Thinking of “Buying Property Like a Pro?” Get this book.

My good friend has just published a new book. “Buying Property Like a Pro.” This is a book suitable for first-time home buyer as well as those who has a home and is now thinking about the next one; either an upgrade or an investment property.

His personal message as below:

I have just launched my new book, “Buying Property Like A Pro”.

I concur that buying or investing in real estate is never easy, so, in this book I want to show you the proper steps you need to take to avoid costly mistakes. Buying property involves hundreds of thousands if not, millions of ringgit, therefore, we should be careful how we manoeuvre our hard earned money in the process.

If you happen to be a first time home buyer or property investor, this book is for you. Within the 250 pages of this book is wisdom which is gained purely by experience. And you know what they say about experience….it IS the best teacher. Here you will read about the process of buying property, mortgage financing, the future of property investment and so much more.

Before you embark in your property journey, I recommend a read of this book first.

I have written this book out of my 21 years of property and mortgage experience having worked at Standard Chartered Bank, Hong Leong Bank and HSBC before leaving the rat race to start my own consulting company 13 years ago. Throughout that time, I have processed thousands of mortgage cases and have done uncountable property consultancy sessions. When I first started in 1998 there was hardly any training or references that I could lean on to. Thus, I learned by doing everything hands-on in all my cases. Most of my experiences come from solving complex cases. Imagine the happy faces on people when they are finally able to buy their property.  I am sharing all my experience in “Buying Property Like A PRO”.

Giving training and talks to the public in property events organised by my own company, developers, event companies and real estate bodies have helped me understand the sentiments of the general public. Find out more at
http://www.miichaelyeoh.com.&nbsp
;

To make this book truly 306* complete, I have invited my 10 friends and my “Investor Club” members to share their experience in buying their first house and also their journey in becoming successful property investors.

I would like to extend special thanks to my guests authors, Charles Tan, Elane Goh,  WK Ng, Barry Looi, Alvinn Wong, Lee Soon Keong, SC Tan, Goh Chee Yong, Teoh Thiam Lian and Jesseton Chee for sharing their experience with everyone.

I hope that you will find this book useful in your property journey.

Click here to invest a very small amount in your property investment journey.
“Buying Property Like A PRO”.

— end of Miichael’s message. —

 I have also written a personal chapter in this book too. If you like to know all those negative thought which was in my mind when I was thinking of starting my property investment journey… If you like to know all the considerations I did before buying… If you just like to know when, how and what of my property investment journey within one chapter, get this book.

Click here to invest a very small amount in your property investment journey.
“Buying Property Like A PRO”.

Note:  kopiandproperty.com does not get any commission from the sale of the book. You are purchasing the book directly from Miichael Yeoh. Cheers.

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Mildly positive and ‘less painful.’ Hmm…

I was giving a talk entitled, “The Key Driver for Property Demand will always be Affordability” in Starproperty.my Fair 2018 in KLCC and I asked the audience about Budget 2019. “How many of you here thinks the Budget 2019 is positive for you?” I looked around and none put up their hands. Perhaps they have yet to feel the effects from Budget 2019 since it’s supposed to start next year. Moving on I asked if they believe property prices are already too high. Most of them nodded their heads. From my observation, most of them are owners of properties and not the first-time home owners. Perhaps this was the reason because Budget 2019 was quite focused on first- time home buyers from all the measures introduced by our Finance Minister Lim Guan Eng.

Henry Butcher Malaysia described Budget 2019 as ‘mildly positive.’
 This is the article in NST.
  The reason is because of the positive GDP growth forecasts of of 4.8 and 4.9 per cent next year and 2020. This should provide support to a stable property market.
With regards to the continuation of the MRT Sungai Buloh-Serdang-Putrajaya and Light Rail Transit Line 3 after costs were cut, it said, “This is certainly sweet news to property developers who have purchased land along these rail lines to take advantage of the enhanced accessibility, as well as investors or house buyers who have invested in properties near the proposed stations along these lines in the hope of enjoying strong capital appreciation when these rail lines become operational.”
 Article in NST here.

By the way, the MRT SSP or the LRT 3 WERE already part of the property market and continuation should not be considered as positive from the Budget 2019 perspective. As for Henry Butcher Malaysia’s ‘mildly positive’
assessment on the Budget 2019, perhaps what they meant is that they are neutral on what the Budget 2019 will bring but thinks that the economic growth will provide the support to the property market. I was also speaking to a developer in the property show and he was telling me that many potential buyers said that they just want to wait till 2019 to buy. There are some uncertainties currently. I asked if most of these buyers are first-time home buyers and he answered, Yes. I personally think the market needs a bit more push and it’s not enough to just rely on first-time home buyers. Happy following.

written on 18 Nov 2018

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This RM100 is positive for the property market

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Drop 11% but better than expectations.

February has 11% less days than January. Plus, there’s Chinese New Year. So, I was ready for a drop in views.

Well, guess what, that few weeks in February was a little unbelievable.

Before February, kopiandproperty.com has NEVER hit 10,000 views per week. In February, it was over 10,000 views
EVERY WEEK.
 Image as shown.

Then how about the average views per day? From January’s 1,334 per day, it  grew 9% to February’s average of 1,453 per day. Thanks for reading and sharing.

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94 percent of millennials buying a home within 5 years!

Are you a millennial looking for a property currently? There’s an interesting article in
 theedgemarkets for your reading.
 HSBC Holdings Plc conducted a study called “Beyond the Bricks” in which more than 9,000 people were polled in Malaysia, Australia, Canada, China, France, Mexico, the United Arab Emirates, the UK and US. Those polled are millennials (those born between 1981 to 1998). Both my brother and sister are within this group.
I am generation X lah.

From this poll, HSBC Bank Malaysia Bhd (HSBC) head of retail banking and wealth management Lim Eng Seong shared that there will be a huge demand for within the price range of RM400,000 to RM500,000. He said, “More people in this group will be more willing to buy houses in the outskirt areas with improved infrastructure going forward.”  ( I think he is talking about the MRTs and the LRTs and not just expressways) Do remember that buying further away also mean that we must be ready to accept lifestyle change. Do not buy if you are not ready to stay and hope someone would buy it from you instead.

According to the study, 35 percent of Malaysian millennials already OWN their own homes. This includes both my brother and sister. The remaining 65 percent who has yet to own a home intends to buy one within the next 5 years. In other words, within 2017 – 2022, they will buy a property! By the way, the global average for millennials owning a home is 40 percent. So, Malaysia’s millennials are below average. Three main reasons millennials find it hard to buy a property includes slow salary growth, rising property prices and not saving enough for a deposit. Lim added, “Improved infrastructure opens up the cities and therefore the cities are able to spread out, and as they spread out, the supply of landbank will increase significantly and exponentially.” He also shared that should more homes priced at RM500,000 and below are built, the ownership would grow further. For those who are aiming to buy one, the study has identified four measures that millennials can take to help make their home ownership dream a reality: plan early and do not underestimate the deposit required; budget beyond the purchase price; consider what sacrifices one can make; and get a full view of your finances.

Assuming the study is very valid, the demand is likely to be huge? There are an estimated 12.6 million Malaysians between the age of 25 – 54. (Source:
Indexmundi)
Just assuming 30 percent of this group to be millennials would mean 3.8 million. 60 percent of them are without a home and this would be 2.3 million. I think the current number of affordable homes may need to be a bigger number. Anyway, do note that some other studies are saying that these millennials no longer wish to own a car or a house.
Young people will stop buying cars and houses? Noted…

Please be reminded that most of these millennials would not be your RM600,000 property target. They would be those more likely to be queuing up for a new apartment of 850 sq ft and priced at below RM400,000 instead. Happy following these studies and believing the one more applicable to your investment journey.

written on 27 March 2017

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Grow money with money. Boost your ego? Laterlah

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The world’s 25 richest MILLENNIAL billionaires

Here are the world’s 25 richest MILLENNIAL billionaires

Gone are the days when businesses need a long time to become big. It would have to earn enough profits in the home market before it could start thinking of the world market. These days, a successful pitch may be all it takes for the first few million ringgit investments and in many markets,  startups continue to receive ever higher valuation as long as the investors love their business model. Profits can wait since market domination will determine the profits in the future. As long as there is just one in the market, a big one, then profits are going to flow in continuously. That’s the theory anyway.

Below is an image
 from visualcapitalist.com
and it tells us that billionaires are not necessary old faces yeah. They could just be millennials. Anyone below 40 today is considered a millennial. Here are the richest 25.

How many do we know from their names alone and how many do we know from the business they own? Well… I am very sure we know the first one, Mark Zuckerberg who is the founder of Facebbook. Oh yeah, he recently bought some lands in Kauai too. Article here:
This couple owns 1,300 acres in Kauai. where is Kauai anyway?
 All other well known brands include TikTok, AirBnB, Snapchat and even LEGO too. Needless to say, most of them are technology related businesses or businesses which are now using technology to reach more people.

Do not just look at how successful they are and do nothing beyond just reading. If you have a great idea, it’s time to start working on it. As long as the business model works, very soon you may join the ranks of millionaires first. Billionaires status may come in the very near future. Happy growing the business idea yeah.

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