Loan rejection, high prices, Bumiputera units main contributors to unsold homes — Rehda survey

KUALA LUMPUR (Sept 23): Almost 60% of developers in the latest Real Estate and Housing Developers’ Association Malaysia (Rehda) market survey reported unsold completed residential units, citing rejection of end-financing applications, property prices and unreleased Bumiputera units as the main factors.

The observation was revealed in a media briefing on the “Rehda Property Industry Survey 1H2026 and Market Outlook for 2H2026 and 1H2027” today at Wisma Rehda here.

The survey collated responses from 181 Rehda members in Peninsular Malaysia, where 59% of respondents reported unsold completed residential units as of June 30.

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Respondents stated that loan rejections were attributed primarily to buyers' income eligibility, lower financing margins offered and adverse credit history.

The findings also indicate that higher operational and construction costs, limited access to financing and broader economic conditions continue to influence development decisions.

"The consistency in launch numbers and modest improvement in sales suggest that demand remains present in the market but the survey findings clearly show that developers continue to face considerable pressure from rising cost, financing constraints and uncertainties in the wider economic environment.

“Of particular concerns are the continuing challenges surrounding end-financing and affordability. Housing affordability should not be viewed solely from the perspective of property prices. Apart from access to appropriate end-financing, the cost of producing and delivering housing must also form part of the affordability equation,” Rehda president Datuk Zaini Yusoff said.

A total of 54 respondents undertook launches during the review period, recording 15,834 units, which was similar to the 15,841 units launched in 2H2025. Of these, 53% were within the RM300,001–RM500,000 price range, concentrated in Perak, Pahang and Negeri Sembilan.

Sales recorded 5,260 units, a slight increase of 3.2% from 5,098 units in 2H2025. Similarly, the take-up rate nudged up to 33.2% from 32.2% previously.

By product type, apartments and condominiums topped the list with 3,032 units sold, followed by serviced residences at 1,114 units, and 2–3 storey terraces at 610 units.

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