Real estate in Malaysia is proving popular with investors from overseas, particularly those hailing from the Middle East, new research shows.
Propertywire reported on a study by IP Global, which revealed that the amount of funds from Middle Eastern investors being ploughed into property developments in Malaysia increased by 11.4 per cent during the third quarter of 2011, compared to the same period a year earlier.
Meanwhile, Kuala Lumpur was singled out as a hotspot in the market due to the 11.4 per cent annual growth recorded in IP Global's house index.
Founder and managing director of the organisation Tim Murphy told the publication: "Malaysia is a sensible market and tends to perform more steadily than the rest of Asia."
He noted that tight regulation prevents investors from buying and selling quickly, thereby avoiding "a boom and bust scenario".
Earlier this month, Knight Frank released data showing that the global housing market is at its weakest point since 2009, although Asia continued to outperform other regions, registering year-on-year price growth of eight per cent during the second quarter of this year.