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Investment Covillea Bukit Jalil, Berjaya Properties

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endanger
post Sep 7 2011, 04:37 PM

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117 posts

Joined: Feb 2007
From: Cheras


QUOTE(Covillea @ Sep 6 2011, 06:06 PM)
gold price on 6 sept 2008 is usd874.20/oz
gold price today @ 6 sept 2011 is usd1,900.300/oz
an increase of circa 117.4%

did gold price really went up because of demand? the answer is 99% no. because 2 things: inflation & devaluation of dollar value set-in.

100 years ago, 1 oz of gold can buy you a bread (for easy reference), today the same 1 oz can can only still buy you a bread. the oz of gold didn't change. but the value (price) of gold changes.

likewise, you bought the zest at rm400k 3 years ago & if you decided to sell it today at rm600k, you've already lost out in terms of real purchasing power sense although you thought you made rm200k!!!

that's why people are buying gold to hedge against inflation. property should function the same too. if you noticed, some food prices are already reflecting that too.

if you bought your unit at rm400k, just add 117.4%, that's the "breakeven" dollar value you should sell today (rm869.6k).

i know it's not easy to convince, but please think of the logic why paper money has to be backed by golds. governments/central banks are buying them up to protect their currencies.

did you back-up your condo with gold accumulation? if not, it's the same as paper money. your investment of rm400k should be the same as rm869.6k to achieve the same purchasing power.
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Nice one !! I like your effort to maintain the prices, it's what everyone should do. Don't chicken out and sell your properties short. There are whole lot of rich ppl out there.

Covillea pls give more example like these..

 

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