An increasing number of Chinese investors in Malaysia should not be criticised.
The Chinese have a reputation worldwide for buying property in every corner of the globe. The influx of buyers into any market increases values as demand outstrips supply. Much to the benefit of developers but sometimes to the misery of locals who as a result can get pushed out of the market.
In Penang swathes of the traditional shop houses have been snapped in Georgetown by overseas investors. This has caused a stir by locals looking to protect its heritage and wanting to keep values at a level that are affordable.
However one real estate firm, Rahim & Co, have said that Chinese investing in Malaysian property is good for the market. This is contrary to others who have concerns relating to the number of Chinese who are investing in both residential and commercial properties.
The Chinese have been continuing on their spending sprees amid concerns of their depreciating currency. Looking for investments outside of the country, property in Malaysia is an attractive option due to the low values on offer.
Their interest in Malaysian property in particular in Bandar, comes at a time when values in the country are depressed. It is therefore not surprising that the Chinese see this as the ideal time to buy property. And this Chinese interest could be one way to get the market moving again. It will increase consumer confidence which others are likely to catch onto.
After all, competition is healthy.
