Malaysia ringgit’s rise not deterring Singaporeans from buying Johor homes
- Singaporean buyers cite the cost of living, the RTS Link, retirement needs and overseas holidays as the main reasons for their purchase
The Malaysian ringgit’s recent rise has not dampened strong demand among Singaporeans for properties in Johor as the state continues to be a magnet for those seeking to buy another home to meet their retirement, investment and holiday needs.
The unit, which the 45-year-old Singaporean bought about a month and a half ago, is nearly twice the size of her condominium in the city state where she currently lives with her husband and 11-year-old daughter.
On Monday, the ringgit jumped the most in nine years on bets foreign capital will flood into Malaysia amid optimism about its economic outlook. The currency surged by as much as 2.3 per cent to 4.3945 against the US dollar on Monday and is on course to rise to its highest level since October 2015.
Koh said that she had factored in the volatile ringgit movements when she decided to purchase her flat at The Astaka for 2.5 million ringgit (US$556,000).
“I understand that people lost money about 10 years ago but the market now is different. The ringgit is still lower compared to last time. This, with the RTS and the value of the home, prompted us to buy it,” said Koh, referring to the coming Johor Bahru-Singapore Rapid Transit System (RTS) Link.