Nearly 60% of property developers surveyed by the Real Estate and Housing Developers’ Association Malaysia (Rehda) reported having unsold completed residential units as of June 30, 2026, with rejected end-financing applications, property prices and unreleased Bumiputera units cited as the main factors.

The findings were revealed during the media briefing on the Rehda Property Industry Survey 1H2026 and Market Outlook for 2H2026 and 1H2027. The survey gathered responses from 181 Rehda members across Peninsular Malaysia, with 59% reporting unsold completed residential units. Loan rejections were mainly attributed to buyers’ income eligibility, lower financing margins and adverse credit history.

Meanwhile, 54 respondents launched a total of 15,834 units during 1H2026, broadly similar to the 15,841 units launched in 2H2025. More than half (53%) of the newly launched units were priced between RM300,001 and RM500,000, with these launches concentrated in Perak, Pahang and Negeri Sembilan.

Sales recorded a modest improvement, with 5,260 units sold during the period compared with 5,098 units in 2H2025, representing a 3.2% increase. The overall take-up rate also edged up from 32.2% to 33.2%.

Apartments and condominiums recorded the highest sales at 3,032 units, followed by serviced residences with 1,114 units and two- to three-storey terrace houses with 610 units.

Rehda president Datuk Zaini Yusoff said the findings indicate that demand remains present, but developers continue to face pressure from rising construction and operational costs, financing constraints and wider economic uncertainties.