Auction properties to increase in numbers

The number of properties that will go on auction on a monthly basis next year is likely to increase by 5% to 10%.

MNP Auctioneers (Central) Sdn Bhd managing director Stephen Soon (pic) said this was expected as in the final quarter of 2014, the number of recently completed properties auctioned by banks had increased slightly.

“We anticipate this trend to continue next year as the implementation of the Goods and Services Tax combined with inflation, and the higher cost of doing business will reduce further the capabilities of house buyers to service their loans on schedule.

“On average in 2014, about 500 properties go on auction in Penang every month,” he said.

Soon said the property market was likely to softened further in 2015, following the trend in Singapore and China.

“The properties in certain prime areas of Singapore, for example, have declined by double digit percentage figures.

“This means that there will be less foreign interest in Penang’s properties next year,” he said.

However, with the softening of the property market, there comes opportunities for those with the disposable income to invest, according to Soon.

Soon said MNP would be organising an Asset Sale Live Open Bidding event at Galeri & Kafe 1 Cannon Street on Nov 29.

“More information on the Penang property market scene can be obtained at a talk entitled Penang Property Outlook, Review & Expectation in 2015 which will be held at the live bidding event,” he said.

The highlight of the live open bidding is the auction of an industrial factory located in Bukit Minyak Industrial Estate.

“The minimum open bidding price of the property starts at RM6.6mil,” he added. - By The Star

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