Bank Negara Malaysia (BNM) announced on July 9 a 25-basis-point cut to the Overnight Policy Rate (OPR), bringing it down to 2.75% — the first adjustment since 2023. According to PropertyGuru and iProperty Malaysia country manager Kenneth Soh, this move is expected to create a more favorable lending environment and strengthen buyer sentiment.
He noted that while market reactions take time, the rate cut sends a positive signal and will help sustain momentum in the property sector.
“The lower OPR will directly ease financial pressure on buyers, making home loans more accessible and repayments more manageable,” Soh said, adding that hesitant buyers may now reconsider home purchases.
Combined with initiatives such as the Housing Credit Guarantee Scheme, the rate cut is particularly beneficial for mid-range and affordable properties, offering developers a chance to roll out attractive financing packages.
“With improved sentiment and financing, we can expect higher bookings and sales, prompting developers to launch new projects or refresh existing ones,” he added.
Soh believes mid-range and affordable homes will see the most immediate boost, while the high-end segment may also revive.
“Developers offering value-driven projects in well-connected, liveable locations will be best positioned to capitalise on this momentum,” he said.
