I can see that many ppls buying commercial properties which costs millions like eating peanuts. To my understanding most of them are those greedy investors that taking loan like 90% with the hopes someone could take their unit for rental to offset the loan payment. Imagine if one day the place is over-supply with tons of shoplots which they unable to rent out, eventually they been forced to sell it off even at losses and property prices will crashed in couple of years if my study serves me right.

The price may continue to goes up but before it reach another new high level the price must be undergo some correction to regain momentum. It doesn't make sense that the price will continue to keep going up considering the earnings of most of Malaysians which are not on par with the developed market such as HKG and SIN. My bet is on landed property as these type of projects are getting scarce and the value for landed will only continue to get higher due to reduced supply while prices for condos and service apsrtments will eventually burst in the next 2-3 years when all the current launching projects completed since most of buyers are flippers and hoping to make some bucks. Imagine when the interest rate is anticipated to goes up after the GE which makes the new buyer to think twice to commit the loans.

I attended the property talk yesterday and they keep on urging to collect property. I don't really understand if Malaysian have that much money to spend on the property as the price for past 2 years has been on steep uptrend.

This post has been edited by ronn77: Apr 21 2011, 12:04 PM

U sure? $1k/sqft for Sunway? Then they must be real crazy, selling at the price which match the KL city prices at Sunway.

If that's happening then I'm curious to see the market reaction towards that project. Don't think it will attract such crowds as people have better option to spend that kind of money.