Southeast Asia’s middle class gives up on home ownership as the wealth gap widens

But as he took the plunge into Kuala Lumpur’s property market, the dream of escaping the endless cycle of renting quickly receded from view.

“Most of the units I see are small and the finishes feel very ‘developer budget’,” Hafiz told This Week in Asia, reflecting on his so-far fruitless property hunt.

With enough money squirrelled away for the down payment on a 750,000 ringgit (US$178,000) condominium, Hafiz had hoped that finding an affordable, well-situated home for his family would only be a matter of patience.

What he discovered instead was a city where space is scarce and value for money has all but vanished, especially for Southeast Asia’s squeezed middle class.

“It’s getting ridiculous,” he said. “You pay 700,000 ringgit and still have to fight for a parking spot.”