Sentiments in property market remain weak despite lower OPR

Sentiments in property market remain weak despite lower OPR

THE reduction of the interest rate will not alleviate the negative sentiments on the property market due to the worsening of Covid-19 outbreak, property analysts said. CBRE-WTW (CBRE Group Inc and CH Williams Talhar & Wong Sdn Bhd) MD Foo Gee Jen said Bank Negara Malaysia’s (BNM) move to cut the Overnight Policy Rate (OPR) for the second time in three months is to boost consumer spending. Assuming vaccines are developed against Covid-19, Foo said it would still take another three months for the property market to recover from the impacts of the epidemic. “Unfortunately, the rationale behind the OPR reduction is not so much to aid the housing industry, but to help consumers during the challenging time and boost spending in the country. “I doubt the confidence in the property market is going to be high due to the lower OPR, because almost all businesses are affected by the Covid-19 outbreak,” he told The Malaysian Reserve.

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