Our Research

The Iskandar Property Census started in 2011 Q3. It tracks ALL properties every 6 months, and NOT sampling on actual site, to collect data, observe the progress, check surrounding amenities and transport links, ascertain the demographic make-up.
  • PRICE, SUPPLY and DEMAND are systematically tracked
  • HOTSPOTS and FORECAST identified for each of the 8 Iskandar areas.
  • Forest City data is excluded as their volume would distort the overall market. An independent report is prepared for this project.

Price

Actual-on-site visit to each property is carried out during fieldwork supplemented with online research to collect:

  • Latest pricing and discounts.
  • Identify delayed and discontinued properties.
  • Archive construction progress.

Demand & Supply

    Demand is measured by ‘Occupancy’ and not Sale Volume. Occupancy is estimated by the ratio of ‘Lighted Units’ over an extended research period.

    • Using ‘lighted units’ gives a comparative indicator over several research cycles.
    • Readers should factor in ‘underestimation’.
    • Supply units is obtained from MPJB Building Approval Plan No.

    Hotspot

      A HOTSPOT gravitates human traffic that tends to drive demand and hence its price. It can be a natural strategic location, a man-made transport hub, a mixed development or even a single education site.

      • Properties around a HOTSPOT tend to have higher occupancy and above-average rental and resale rate.
      • Identifying HOTSPOT is not an exact science and it can evolve in importance over time.

      Forecast

      Forecasting Iskandar Malaysia requires in-depth local knowledge, but MORE so that of Singapore’s socio-political direction. Issues below have a profound impact on Iskandar properties.

      • Singapore ageing population, end-of-lease HDB flats, currency disparity.
      • Property price differential, Malaysian baby boomer retirement, foreign worker dependency.
      • Cost of living, health care cost, quality of life.

      Limitations of Research

      How are PRICES collected?

      • Each property has a median price. During the launch phase, all developers price their properties in a similar way. The lowest floor tends to be the cheapest and progressively increase for each floor up. Eg. Each floor may increase by RM3000.
      • The middle residential floor approximates the median price. Eg if a property has 20 residential floors, then the 10th floor approximates the median price. Since most developments offer 1, 2 and 3 bedrooms as the most common types, a 2-bedroom being the middle size on a middle floor will approximate the median price.
      • During data collection period, our researchers will consistently collect the price of a 2-bedroom on a middle floor of the exact size. The average of the median prices is used as an estimate of the median price in each of the 8 areas that make up Iskandar Malaysia.
      • Where a 2-bedroom on a middle floor is sold and does not have a price, the closest 2-bedroom available is collected and the price is imputed back to the middle floor. Price imputation is done since the price differential of each floor is known.
      • In some rare cases, where a property does not have a 2-bedroom, the smallest 3-bedroom is used as a proxy.
      • One of the limitations is that we are unable to factor in renovation and furniture costs. A property may have increased in price due to extensive renovations rather than a general price appreciation of the property.

      How is DEMAND measured?

      • Demand is a function of occupancy rather than ownership. A property that is fully sold does not necessarily mean it is very popular and therefore price increase follow suit.
      • A property may be fully sold due to speculation and may even have difficulty rented out. Such a scenario is common and may even result in price depreciation. Hence, occupancy is a better predictor of demand than ownership.
      • High occupancy regardless of owner or tenants reflects the popularity of the property and is a better predictor of rental and resale price direction. Occupancy is measured by lighted units in the photos featured above.
      • One of the limitations is that it will be under represented as occupants may not be home at the time of the research period. However, over a longer time frame, such limitations will randomly even out giving a more accurate relative demand of a property.
      • For each reporting period, readers are advised to go through past reports to get an overview of the demand status of these properties rather than a single report to form a conclusion.