Malaysia’s Real Estate Professionals Poised for Growth
According to Aina Edayu Ahmad, the director of the National Institute of Valuation (INSPEN), the future looks promising for professionals in the fields of valuation, property management, and real estate. This optimism stems from the continuing growth and expanding demands within the real estate market. As of the end of the fourth quarter of 2023, the residential property market alone boasted a significant inventory, with 6.2 million units ready to be managed and transacted, not to mention additional commercial and industrial properties.
Expanding Opportunities Across Sectors
The scope of opportunity for these professionals extends far beyond private transactions and client interactions. Government roles are equally robust, with positions available at local, state, and federal levels. Valuers, for instance, play a crucial role in determining property values for taxation, stamp duties, and acquisitionsโessential functions that support fiscal and economic planning.
The Role of Valuers in Financial and Investment Decisions
The private sector demands precision in property valuation, primarily to support financial activities such as obtaining loans and structuring mortgages. With over 700 firms registered with the Board of Valuers, Appraisers, Estate Agents and Property Managers (LPEPH), the industry is well-equipped to meet these needs. Proper valuation ensures that financial institutions can lend wisely, while buyers are assured of investing at fair market value, whether purchasing at, above, or below this figure.
Regulatory Framework and Professional Standards
In Malaysia, the appraisal and real estate professions are regulated under the Valuers, Appraisers, Estate Agents and Property Managers Act of 1981. This regulatory framework ensures that only qualified and registered professionals can provide these critical services, which include beyond loan security valuations to encompass sales, acquisitions, and corporate investments.
Training and Research in Real Estate
INSPEN, under the auspices of LPEPH and the Ministry of Finance, serves as both a training facility and a research center, further supporting the development of skilled professionals in this burgeoning field. This infrastructure not only upskills current professionals but also ensures a steady influx of knowledgeable workers ready to meet the challenges of a dynamic real estate market.
Conclusion
With a solid regulatory framework, extensive training resources, and a vast market to serve, the future is indeed bright for valuers, property managers, and real estate agents in Malaysia. These professionals are crucial to the ongoing growth and stability of the real estate sector, facilitating transactions that support both individual wealth and national economic development.
