KUALA LUMPUR, Aug 8 — Singaporeans’ demand for real estate in neighbouring Johor has not been dampened by the recent strengthening of the ringgit, Hong Kong-based South China Morning Post (SCMP) reported today.
Citing several real estate agents, the report said the demand has grown steadily and boosted by factors such as the upcoming Johor Baru-Singapore Rapid Transit System (RTS) Link that is due to be operational in 2027.
“High rents and a strong Singaporean currency make owning a home in Johor Bahru more attractive,” Tan Tee Khoon, country manager of Singapore at real estate listing platform PropertyGuru, told the news outlet.
“Additionally, the announcement of the Johor-Singapore Special Economic Zone and the RTS further drove up rental prices.”
Tan indicated that PropertyGuru data showed that interest in residential homes in Johor increased by almost three-fold between October 2019 and April this year.
Similarly in April, he said over four in 10 of those who looking for homes in Johor Baru were from Singapore.
The report also cited Eve Ang, a property agent from ERA Real Estate Johor, who said that the upcoming RTS link is among the factors making Johor properties attractive, in addition to the exchange rate with Singaporean dollar and the lower cost of living.
Faizul Ridzuan, the chief executive of property investment firm Far Capital, was quoted saying that investors who were previously disappointed with lack of infrastructure have been appeased with the construction of the RTS.
“Finally, the infrastructure is able to reasonably cater to people who are looking to commute on a daily basis,” he was quoted saying.
“They’ve heard the story before of empty promises and supposed infrastructure that never happened. But today as far as RTS is concerned, it’s a certainty now because the key infrastructure has been installed so people can see it is becoming a reality.”
The RTS Link is scheduled for completion by end 2026 and expected to start operating on January 1, 2027.
Once operational, the RTS Link is able to transport 10,000 passengers per hour and per direction, where a high volume of people travelling between Johor and Singapore is forecasted on a daily basis.
