Dear all, I plan to invest in condos that give good rental income and at the same time give good value if I decide sell 10-20 years later.

I have a few questions for all shifus regarding the factors to consider when buying a condo for rental investment. I'm sure some of us have the same questions.

1) is it true that condos on higher floors with better view will appreciate faster in value (in terms of % appreciation, not absolute value) (say for every level higher, the initial purchase price increases by RM6000 per floor)

2) is it easier to rent out a unit and at a higher rental price which is on a higher floor with a better view (do the tenants normally factor in the view and high floor when they rent an apartment).

3) leasehold vs freehold if you intend to keep for at least 10-20 years and hope to make some captial gain. (because you may need cashflow any time for another investment)

4) is it true that smaller units appreciate faster per sq feet. Is there an optimum size for rental investments (meaning not too small, and not too big because some people prefer a decent size unit) If there is an optimum size that give better rental return and is easier to rent out, can I know what's the size range. I know for places closer to city, people would normally go for smaller sizes, and places further in suburb, people would go for slightly bigger units, what are the size ranges?

5) is it advisable to invest (for rental and capital gain) in condo away from the city centre in a corner of a developing township that is quiet near hills and golf course and away from the crowd. (but not necessarily low end)

6) do you have any comment on those condos with guaranteed rental return as agreed by the developer.

7) Iskandar Johor got potential for better growth? compared to KL or penang as I consider these places to be developed and have matured.

In other words, will the development and price PSF gap between Iskandar Malaysia (Johor) and KL/Penang narrow, maintain or widen (in % terms) in the long term (10 years).

For example the same condo in JB would cost 50% psf of that in KL. In 10 years time, would the same condo in JB cost 20 % or 90 % of that in KL. Say they are exactly identical condo, only one is in KL city centre, another in JB city centre.

Hey property101, thanks for your views. There are just too many factors to consider, more importantly budget and holding power. Of course if I have both, I would choose one nearer to the city centre or even go for commercial. But i guess i have to start somewhere small.

actually i've already bought my first investment property about a month ago, but not too sure if it was a good choice (it is very important the first one is right!). I don't intend to stop here, that's why i asked for advice and opinions hoping I can make better decisions in future. If anyone has differing opinions to the questions i asked, feel free to add. We can all learn from one another.

Also, what other factors do you guys normally consider?

hey joink, thanks for your advice and opinions!

Hi Pai Shifu, thanks for your advice. =)