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AT THE Real Estate and Housing Developers’ Association’s (Rehda) property market outlook briefing earlier this week, the general consensus was that the industry, despite maintaining a cautious outlook, is already anticipating a much needed recovery.

Rehda president Datuk Soam Heng Choon says the recovery will be underpinned by the nationwide vaccine rollout, which will in turn spur the economic recovery and boost sectors such as the property market.

Soam emphasises that the pick-up in the local property market will also have its own spillover effect.

“The property industry has a spillover effect to more than 180 different sub-sectors.

“For instance, when developers start doing well, they will be more inclined to advertise with the media, which would then be a boost to that (media) industry as well, ” he says during the briefing.

He adds that when property developers start to perform better, concurrently, players within the construction and building materials sector will also start seeing benefits.

“When the broader economy recovers, there will be a spillover effect.”CLICK TO ENLARGE

UOB Kay Hian, in a recent report, says the property, construction and building material sectors are set to experience a gradual recovery, in tandem with the positive economic growth slated for this year.

Following a year that has seen businesses being ravaged by the global Covid-19 pandemic, the research house says 2021 has kicked off with pent-up demand for properties, an effective vaccine rollout programme and low interest rates.

All of which are set to bolster businesses that took a hit last year.

With the government targeting gross domestic product growth of between 6.5% and 7.5% this year, UOB Kay Hian reckons that economic recovery could catalyse a rotational play, at least in the near term.

It emphasises that the property, construction and building materials sectors had recovered in tandem with the KLCI, in past crises.

Looking forward, it says overall consumer confidence and sentiment could be lifted with the decline in Covid-19 cases and optimi *** over effective vaccine dispensation.

Still, sentiment at the moment is still leaning slightly towards being more cautious rather than


According to Rehda’s property industry survey for the second half of 2020 and market outlook for both the first and second half of 2021, just under half (or 49%) of respondents planned to launch projects in the first half of this year.

“The top reasons from the majority of respondents who indicated that they will not be launching in the first half of 2021 are unfavourable market conditions and a high number of unsold stocks, ” the survey says.

Allbet Gaming声明:该文看法仅代表作者自己,与本平台无关。转载请注明:high quality apple developer account:Spillover effect a plus point for industry


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