Ask anyone about property investment, and sure enough, you’ll hear the golden rule: “Location, location, location.” If you’ve ever sat in a property investment talk or chatted with an experienced agent, you’ll know this phrase gets repeated like a mantra. And to be fair, it’s true — location is important. Where a property sits does play a big role in its value and rental demand.
But here’s the catch: if you only focus on that one thing, you might be setting yourself up for disappointment. Sometimes, being too obsessed with the pin on the map makes you overlook great opportunities in other areas. Or worse, you might end up buying into a so-called “sure win” hotspot or that’s already overheated. Smart investors know location is just the starting point — not the whole story.
The “Location Premium” Can Be Misleading
A fancy address definitely comes with perks like convenience and status. But that doesn’t mean it’s automatically a good investment. Take a shiny condo in a prime, atas location — looks like a safe bet, right? But if the place is flooded with rental units, you’ll end up facing low returns and long vacancies. Meanwhile, a project in a “not-so-atas” location, surrounded by a matured neighbourhood and steady local demand, can sometimes give you better yields. In fact, if you assume prime spots like George Town, Gurney Drive, and Tanjung Tokong always have the highest demand, the data might surprise you — analytics from PenangPropertyTalk.com show the five most searched areas are actually Bukit Mertajam, Batu Kawan, Jelutong, Butterworth, and Bayan Lepas.
Lifestyle and Community is the New Location
Property investment isn’t just about where the building sits on the map — it’s also about the lifestyle it supports and the people who live there. You’re not only buying a unit; you’re buying into a neighbourhood and a way of life. A strong, connected community where residents take pride in their surroundings can make an area feel safer, friendlier, and more desirable, which in turn boosts demand and long-term value.
At the same time, modern buyers and tenants are looking for homes that fit their daily routines and aspirations. They want walkable access to cafes, gyms, schools, parks, and other lifestyle conveniences. A property in a lively, well-kept community that also meets these evolving lifestyle needs is far more likely to hold its appeal and deliver steady returns than one that relies only on a “prestigious” address.
The Developer’s Track Record
Showrooms and brochures can be very convincing, but don’t let the glossy images fool you. A reputable developer with a good track record is worth its weight in gold. They’re more likely to deliver on time, build with better quality, and provide decent after-sales service. On the other hand, poor workmanship may give you endless headaches. That’s also why projects by reputable developers usually carry a higher price tag — because at the end of the day, you’re paying for quality, reliability, and long-term value.
Timing and Price Matter Too
It’s not just where you buy, but also when and at what price. If you overpay in a hot market, your investment could be stuck for years before showing any growth. The smart move is to watch the market cycle and go for areas with strong fundamentals but still fairly priced. Getting in at the right price often beats chasing the most popular address.
Yes, location is important — but it’s not everything. A successful investment also depends on the community, the developer’s reputation, market timing, and lifestyle trends. By looking at the bigger picture, you’ll make better decisions and build a property portfolio that’s not only resilient but also profitable in the long run.
– Ken Lim
(Founder, PenangPropertyTalk.com)
