Chris Metcalf commutes for 45 minutes to Singapore each day from Iskandar, a region just over the border in Malaysia, to work as a lawyer at Clyde & Co LLP. “It’s too expensive to live in Singapore,” said Metcalf, who moved across the Johor Strait in June after finding he could no longer afford the island-state on a local salary and with four children. “We’re selling a house in the U.K. and when we do we’ll consider buying in Malaysia because it’s definitely better value.” Comparative Costs The average price of a new 1,000-square-foot (93-square-meter) condominium in Singapore is between $800,000 and $960,000, according to London-based broker Savills Plc. A similar-sized place in Kuala Lumpur costs about $374,000, according to CBRE Group Inc.’s Malaysian unit. Malaysia Attracts The difficulties of purchasing in Singapore have prompted potential buyers to explore Malaysia. Priced Out B. Shashikumar, a 32-year-old Malaysian bank manager, wants to buy a home before he gets married. Cooling Measures Cooling measures may slow home sales, according to consultants including CBRE and Knight Frank. “The market is expected to self-correct in the next six to 12 months,” said Judy Ong Mei-Chen, a Kuala Lumpur-based executive director at Knight Frank. Legoland, Pinewood Some high-profile projects, including the Legoland Malaysia amusement park and Pinewood Iskandar Malaysia Studios -- a franchise of the U.K.-based company where James Bond films were made -- are done or nearing completion in a flagship development zone called Nusajaya. Developers Fall UEM, UOA Development Bhd. and Mah Sing Group Bhd. may post slower sales growth due to the cooling measures, K&N Kenanga Holdings Bhd. said a research note dated October 28, predicting a knee-jerk reaction to foreigners’ appetite in the next few months. Johor, Penang Johor is planning to impose an additional 2 percent tariff on buyers from overseas across all segments of the property market from May, Singapore’s Business Times reported November 13, citing Koh Moo Hing, chairman of the Johor branch of the Real Estate and Housing Developers’ Association. Penang is seeking public feedback on proposals to introduce a 3 percent levy on foreigners purchasing homes next year, Lim Guan Eng, the state’s chief minister, said last month. “If I buy a property, I’m not going to buy it to speculate,” Metcalf said. “I want to buy a house that I can live in and the kids can grow up in and that we can call home. Iskandar feels more like living in the U.K.”
