Amongst the 27,541 foreclosure properties, a majority of 83% or 22,867 residential properties worth RM8.5 billion was put up for auction last year.
Commercial properties consisted of 13% or 3,576 cases, while foreclosure land stood at 4% or 1,098 cases.
Read also
Fewer auction properties in 2020 but not good news
Terraced houses take a big chunk
For the residential segment, terraced houses, serviced apartments and bungalows have the highest total reserve value among all property types.
Some 9,077 terraced houses with a reserve price of close to RM2.9 billion went under the hammer last year.
“Notably, this [terraced house] is also the most popular and common property type in primary and secondary markets. This showed quite a number of the terraced house buyers are highly vulnerable and susceptible to economic shock,” says AuctionGuru.com.my executive director Gary Chia.
Meanwhile, there were also 3,132 serviced apartments worth RM1.4 billion and 737 bungalows with a total reserve price of RM978 million being put up for auction last year.
He notes that the impact of the pandemic will persist and is expected to restrain the demand recovery for high-end or luxury property segments.
Overall take-up rate for high-end property segments is expected to be lukewarm due to the unattractive investment value proposition. Moving ahead, the number of foreclosure cases for high-end property segments is expected to increase due to repetitive foreclosure cases.
Over RM1b worth of shopoffices up for auction
In the commercial property segment, shopoffices, factory or industrial buildings and stratified retail units were the foreclosure properties that had the highest reserve price in 2020.
There were a total of 1,134 shopoffices worth RM1 billion being foreclosed last year. Some 270 factory or industrial buildings with a reserve price of RM659 million and a total of 958 stratified retail units worth RM345 million were put up for auction last year.
Over RM1b worth of shopoffices up for auction
In the commercial property segment, shopoffices, factory or industrial buildings and stratified retail units were the foreclosure properties that had the highest reserve price in 2020.
There were a total of 1,134 shopoffices worth RM1 billion being foreclosed last year. Some 270 factory or industrial buildings with a reserve price of RM659 million and a total of 958 stratified retail units worth RM345 million were put up for auction last year.
This story first appeared in the EdgeProp.my E-weekly on May 21, 2021. You can access back issues here.
Get the latest news @ www.EdgeProp.my
Subscribe to our Telegram channel for the latest stories and updates
TOP PICKS BY EDGEPROP
Desa ParkCity (Adiva)
Desa ParkCity, Kuala Lumpur
Armanee Terrace 2
Damansara Perdana, Selangor
Setia Eco Park Phase 1
Setia Eco Park, Selangor
Desa Pandan @ Kampung Pandan
Desa Pandan, Kuala Lumpur
Bennington Residence @ Sky Arena
Setapak, Kuala Lumpur
Lake Fields - Meadows and Glades
Sungai Besi, Kuala Lumpur