theSun Property September 2017

> Correlation between property

size in the city, suburbs and rural

areas against population density

and household income

Length and breadth of

property dimensions

ONTINUING

fromour previous

article on the subject of the size of

property in the city, suburbs and

rural areas, below are additional

interesting insights fromTennsui Khow’s

article, with stat charts from iPropertyIQ and

brickz.my

Briefly, last week’s two-page article

highlighted the fact that:

the dimensions of bungalows increases

farther out of the city (suburbs and rural

areas);

from the city to the suburbs, the size of terrace

houses and condominiums increases; but

from the suburbs to the rural areas, the size of

terrace houses and condominiums actually

decrease.

DEEPER LOOK ON A

BROADER SCALE

This week, we explore Khow’s discovery: “that

terrace houses are cheaper as one moves farther

out of the city, but incomes do not substantiate

for the bigger properties (income in the city

centre far outweighs that in rural areas)”.

*Observing population

Wanting to find the inter-connection between

the size of property and incomes, Khowmanages

to retrieve data, providing insights on the various

states, population density per sq km and the price

on the average terrace size per sf in our currency.

Khow’s findings revealed:

A] Average size of terrace houses (considering

the average size of terrace houses by state):

Putrajaya to have the largest average

terrace house size with 1,900 sf;

next to it is Sarawak with 1,359 sf;

followed by Kuala Lumpur with 1,273 sf;

while the smallest average size was found

to be in Perlis at 948 sf.

B] Population density (by dividing the

population obtained fromDepartment of

Statistics against the area of the state)

the highest population density was found

in Kuala Lumpur with 7,354 people per km

square;

next is Putrajaya with 1,700;

followed by Penang with 1,640;

while the lowest population density was

found in Sarawak with only 22 people per

km sq.

APART

fromachieving equilibrium in

providing just the right amount of nature

and a pulsating lifestyle, Selangor Dredging

Berhad (SDB) offers excellent connectivity

in its SqWheremixed development enclave.

Comprising a small office, versatile office

tower with retail offices and serviced

apartments – SqWhere summons a

challenge among other development

projects, where connectivity is concerned.

Via an elevated forest deck, residents

will be able to commute, interact and

engagewith ease, connecting to six Klang

Valley highways andMass RapidTransit

(MRT) networks.

The location of this property in Sungai

Buloh is also provides easy access to the

Kg SelamatMRTStation via a link bridge,

which easily connects one to SunwayGiza,

1 Utama, The Curve, etc. and directly takes

one into the heart of the GoldenTriangle in

KL city centre. Moreover, with just two

stops away to the Sg BulohKTMstation

and theMRT2 Sungai Buloh-Serdang-

Putrajaya Line - it’s almost as though

the sky’s the limit where connectivity

is concerned.

Sungai Buloh itself inter-links with six

major highways, which include the PLUS,

NKVE, LDP, MRR2, SPRINT andGuthrie

Corridor Expressway. So, if excellent

connectivity is top on your DNA list for

properties to buy or invest in, there’s really

no need to rack one’s brains at all. Just visit

SqWhere’s ShowGallery or its website at

www.sdb.com.my

Hugeon connectivity

DISCOVERY

It was not surprising to find, after considering

the population density against terrace house

prices, that the population density does affect

terrace house prices – the more densely

populated the area, the higher the price of

property for terrace houses.

* Observingmonthly gross household income

Taking into account the monthly gross

household income (retrieved from the

Malaysian Statistics Department), Khow

found:

residents in Kuala Lumpur recorded the

highest medianmonthly gross household

income earners receiving RM7,620 per

month;

not too far behindwas inhabitants in

Putrajaya taking home RM7,512 per month;

followed by Selangor earning RM6,214 per

month.

Khow felt that the spike in income for

Selangor and Johor could be the result of

“spillover” from the neighbouring state/

country. Data also showed that there has

been a dramatic increase in household

income, for those residing inMalacca,

especially in recent years. Khow expects a

property boom in the state, with the High

Speed Rail stopping in Ayer Keroh.

DISCOVERY

Having considered the average income and

the size of terrace properties across the

various states/cities, data revealed that

owners of larger terrace houses were not

found in places like Kelantan or Pahang

where there is an abundance of land and

prices are cheaper; instead it was in high

income earning locations like Putrajaya and

Kuala Lumpur.

The conclusion: “While property owners

will be able to purchase larger properties at a

bigger discount onmoving out into the

suburbs and rurals, this was only a part of the

“big picture”. Ultimately, people’s income

and earning power are still the bedrock and

prime force to influence how big a property

they can purchase, whether in the city, the

suburbs or the rurals.”

Property in the suburbs

Email your feedback and queries

to:

[email protected]

Note : Selangor’s and Johor’s spike in income can be a result

of spill over fromneighbouring state/country.

Putrajaya

Kuala Lumpur

Penang

Selangor

Sarawak

Johor

Sabah

Perak

Negri Sembilan

Terengganu

Malacca

Pahang

Kedah

Kelantan

Perlis

Average Terrace Size (sf)

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Monthly Gross Household Income (RM)