Property numbers of 2025, the opportunities in 2026

As we conclude the first quarter of 2026, it’s a good time to take a step back and look at how the property market performed in 2025 and what the numbers are telling us.

Many in the industry would agree that 2025 was a remarkable year. The signs were already there, reflected in several economic indicators, one of the most notable being the strength of the Malaysian Ringgit. By the end of 2025, the ringgit had outperformed many other Southeast Asian currencies, signalling renewed confidence in Malaysia’s economic outlook. 

Currency performance often serves as an early indicator of how an economy is doing. With that said, the economy GDP grew by 5.2% in 2025. When the ringgit & GDP strengthens, it reflects underlying stability and growth, and this momentum naturally creates a ripple effect across different sectors — including the property market.

With that in mind, let’s take a closer look at some of the key numbers from 2025 and what they could mean as we move further into 2026..

Annual Property Market Outlook

A total 416,413 transactions worth RM241.87 billion were recorded, expanded by 4.1% in value, while volume experienced a slight decline of 1% compared to 2024. 

From this the residential properties dominated the Malaysian property market in 2025, contributing volume transactions at 61.6% and value transactions at 44.8%.

Meanwhile, the commercial and industrial subsectors recorded lower transaction volumes, contributing 11.2% and 2.1%, but accounted for higher shares of transaction value with 24.3% and 14%, respectively.

Looking at property transaction value by state, Selangor leads the market with RM67.84 billion, followed by Johor at RM50.54 billion. Kuala Lumpur takes the third spot with RM38.5 billion, while Penang and Perak trail behind, contributing steadily to the overall market activity.

The Malaysian House Price Index (MHPI) stood at 233.1 points with the average house price at RM502,922 per unit in 2025, reflecting moderate annual growth of 2.6%. All states experienced positive annual growth between 0.8% and 6.9%, indicating house price stability. WP Kuala Lumpur remained the highest average price, exceeding RM810,000 per unit, followed by Selangor at RM567,505 per unit. 

All house types indicated positive momentum, with terraced houses leading the growth by 3.3%, followed by semi-detached houses (2.8%), detached houses (2.4%), and high-rises units (0.6%).

Malaysia's economic outlook for 2026 is projected to maintain the 4% and 4.5%. Some of the policies implemented by the Thirteenth Malaysian Plan such as the New Industrial Master Plan 2030 (NIMP 2030), National Energy Transition Roadmap (NETR), National Semiconductor Strategy (NSS), National AI Action Plan 2030 and others will reinforce the confidence and maintain the sustainability in the 2026 movement.

Source: Information are from the Laporan Pasaran Harta, Property Market Report 2025 (JPPH) To read the full report,head to NAPIC’s website and download the full detailed report.

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