Just booked a one room unit this afternoon. Built up area 594 sq ft. Purchase Price was RM584K before the 5% early bird discount. This service apartment project has 3 facing. Facing landscape, KL & LDP. All came with differences in price. I also confused & hesitate which one to go for.

Basically what I had in mind was. Pay 8K booking fees. Obtain the 90% M.O.F, then wait till December upon signing S&P pay another RM21K plus.

All in all park in RM30K, wait till project complete in almost 4 years. Then sell off with an appreciated value of this property.

According to sales person, RM8k booking fees refundable minus RM500 admin fees if bank reject loan or cannot get 90% M.O.F.

I was wondering will this strategy work. Am I thinking right?

I might be wrong becoz I am not an avid investor. But the key to investment in pigeon holes like these are always location, location & location.

This project is situated just next to Federal Highway & LDP. If it's in Kelana jaya, Sunway or even Subang Jaya, then RM900 plus /sq ft is considered cut throat pricing. Anyway let's rewind back to 3 years ago. Most of the properties , not to mention Landed but condominiums & service apartment in Klang Valley has appreciated dramatically. Now it might seems to be Wow, soooo expensive. If the property price trending is going upward then the 900+ / sq ft is no long perceived as expensive anymore. Furthermore, now we are talking about RM900+ /sq ft for a 4 years later property so we can't compare with existing ready properties.

Besides, this project involves a shopping mall, hotels & others. According to salesperson, its concept is more or less like Mid Valley. Well, I don't know how true.

About the 3K plus rental return per month, honestly I am a bit pessimistic that it can fetch up to there. Maybe RM2K + maybe. So, I was thinking of keeping it for say another 1.5 to 2 years after completion then dispose it off.

Just my 2 cents in investment no offends please

---

Added on September 25, 2011, 10:35 pmYeah, at least they got me. Minimal outlay. If 90% MOF can be obtained. Roughly RM30K investment for a one bedder then no other investment needed until 4 years later.

4 years later, we don't know or can't predict what will the price point be for a piece of property in such location.


This post has been edited by Han Soloman: Sep 25 2011, 10:35 PM

Good questions asked and everyone here has different views, opinion and at least something to share.

My thinking is people nowadays adopt a "live life to the fullest" sort of lifestyle where middle & high income earners are staying single even up to theirs 40s. Chances are there are many who wish to live in service apartments where everything from work, eat, shopping, entertainments & clubbing within the same premise.

Its not that staying in expensive pigeon hole will be a new trend but chances are they have to find larger condos elsewhere becoz prime locations are getting more & more expensive. Developers are getting wiser & more Jewish oriented.

Your question of to whom I am selling. ? Come on bro, if Mah Sing can sell all single bedders in 2 Days. Who do you think will buy?

Just my 2 cents. No offense plz.

Walaeu, so many negative views & opinion. I also hesitate to proceed further.

Can. Burn RM500. See whether can get 90% MOF. If cannot then sayonara RM500.

Why ah? Any Takers?

Ok. Will let you know if 90% M.O.F cannot obtain.