The number of unsold homes in Malaysia rose sharply in the first half of 2025 (H1 2025), with 26,911 completed residential units worth RM16.44 billion still on the market, finance minister II Amir Hamzah Azizan said today.
According to the valuation and property services department’s market report for H1 2025, Amir said this was a 16.3% increase in the number of unsold units and a 17.9% jump in value compared with H2 2024.
However, he said the overall market remained stable and that the government was looking for ways to support the residential housing segment.
“Housing reform is one of the priorities in the 13th Malaysia Plan, which allows the development of affordable housing. We are also looking at new models of house ownership, such as rent-to-own.
“Another way to reduce instances of abandoned projects is by pushing the market towards build-then-sell,” he told reporters after launching the report at Le Meridien Hotel here.
Amir said the report also noted improvements in the serviced apartments segment, with unsold units falling by 8.6% to 17,883 units worth RM14.43 billion.
Occupancy rates for shopping complexes (78.7%) and office buildings (71.7%) remained steady compared with the previous period.
Overall, Amir said the property market in H1 2025 was marked by resilience, with construction activity sustaining growth despite a slight moderation in transaction performance.
He said despite total property transactions experiencing a minor decline of 1.3% to 196,232 cases, transaction value rose by 1.9% to RM107.68 billion.
The report also found that the Malaysian House Price Index registered an annual growth of 0.7% to 227.3 points, with the average house price at RM490,376 per unit.
New residential launches declined to 23,380 units, with a sales performance of 24%, reflecting cautious sentiment among developers.
During the event, Amir also inaugurated the Property Information System Malaysia 2.0 developed by the National Property Information Centre as an upgrade to the previous system that had been in use since 2010.
He said the new system integrated the existing data ecosystem and utilised artificial intelligence as well as big data analytics, giving the public and private sectors access to more nuanced and accurate information on the country’s real estate market.
