Kuala lumpur: Malaysia's property market activity remained stable with moderate growth in the first quarter of 2026, recording transactions totaling 89,966 units valued at RM51.9 billion. Abdul Razak Yusak, Director-General of the Valuation and Property Services Department (JPPH), shared these insights in a statement during the launch of the 1Q 2026 Property Market Report.
According to BERNAMA News Agency, the report highlighted a marginal 0.6 percent decline in value and an eight percent drop in volume compared to the first quarter of 2025. Despite a slight dip in construction activity, there was robust performance at the completion stage for both residential and commercial shop units, indicating confidence in Malaysia's economic restructuring under the MADANI Economy framework amidst global uncertainties.
Abdul Razak emphasized that government initiatives and continuous backing have bolstered the property market's growth trajectory. The residential subsector continued to dominate, representing 58.8 percent of total transactions with nearly 53,000 deals worth over RM22 billion. Notably, housing priced at RM300,000 and below accounted for more than 50 percent of total housing transactions.
The report indicated a slowdown in transaction performance across all subsectors, including residential, commercial, industrial, agricultural, and development land, with declines ranging from one to 10.7 percent compared to 1Q 2025. However, the number of completed houses saw a significant rise of over 30 percent, totaling 12,905 units versus 9,329 units in the previous year.
Shop and stratified shop units more than doubled, while completed serviced apartments experienced a decline of over 40 percent to 1,888 units. Mixed trends were observed in the planned new supply category, with notable increases in housing and shop units, rising by more than 50 percent to 12,852 and 823 units, respectively.
Serviced apartments' planned new supply increased to 6,961 units compared to 4,024 units last year, while the launch of new housing units decreased to 9,112 units from over 12,000 units a year ago. The Malaysian House Price Index for 1Q 2026 was 235.2 points, with an average price of RM507,533 per unit and a 1.7 percent annual growth rate.
Positive growth was recorded in all states except for Negeri Sembilan and Sabah, which contracted by 0.2 percent and 2.3 percent, respectively. Terraced houses, high-rise units, and semi-detached houses showed stable growth, whereas detached houses declined by 0.7 percent.
The first quarter also recorded 32,801 units of unsold completed housing worth RM16.37 billion, a 7.6 percent increase in volume but a 7.7 percent decline in value compared to the last quarter of 2025. Unsold completed serviced apartments rose to 19,263 units, with a value of RM16.52 billion.
Shopping complexes maintained an occupancy rate of 79 percent, while privately owned purpose-built offices saw a slight increase in occupancy to 72.3 percent. The Property Market Report and related publications are accessible via the National Property Information Centre's official portal at napic.jpph.gov.my.