Haha. in fact i already hv had few bank accounts in China.. (also hope RMB to appreciate)

p/s: it is not difficult to tt big $ to China. there are many ppl using their services. it is legal, just to suit each party needs (RM or RMB side).

Property bubble not looming: Chor
Oct 14, 2011 - HomeGuru.com.my

The slowdown in Malaysian property sales is not a sign of a property bubble, according to Datuk Seri Wira Chor Chee Heung, Minister of Housing and Local Government.

"I do not think so because we (Malaysia) still have not reached that stage. If this is the sign (of a property bubble), why are developers jumping in to continue to build?" he told the reporters at the 19th Fiabci Asia-Pacific Real Estate Congress 2011.

The minister explained that the current slowdown in the real estate market was mainly attributed to the policy measures imposed by the government to curb speculation.

"Property prices are still stable and no asset bubbles are seen," he said.

Chor noted that the Malaysian government has released more licences for developers to advertise and sell their products this year.

Meanwhile, latest residential property survey from the Malaysian Institute of Economic Research (MIER) revealed that the slowdown in housing experienced in Q2 has continued into the third quarter.

It noted that various concerns, including government policies, creeping inflation and the overall volatility of global capital markets, may have weighed on the sentiments.

"The level of confidence remains way above the 100-point threshold level, suggesting that sentiments in this sector, though lower, generally remain positive," it said.

Actually the houses in SG is not that expensive (i'm talking about the repayment) compared to Malaysia. For a SGD 700k private apartment, apart form the 20% downpayment, the interest rates is <1% meaning you pay a monthly installment of only SGD 1,200 per month if tou stretch for 30 years. Conversely, if you buy a RM 700k house in Malaysia, the interest rates in anywhere between 4.5% to 5%. That means you pay RM 2,800-RM 3000 per month. In that sense, less people can affrod to buy owing to the "high" repayment...

Saturday October 15, 2011
Property pointers

HERE are some pointers for those considering a property investment in the near term:

Valuer and managing director of Khong & Jaafar Elvin Fernandez

“The global environment is changing. Strictly speaking, an upgrader sells the old house to buy the new. If he is going to hang on to the old, he will have to consider the rental market where yields are falling. He has to consider whether the market has peaked in the areas he wants to buy and whether it can go further and that may be unlikely in many areas. Value has gone above the normal governing fundamentals of price versus household income, and price versus rental returns.

“Although Malaysia is rapidly developing and we have a young population and we have seen more years of prices running up than going down, this may not be replicated as sentiments may be poor as a result of what is happening in Europe.

“As for commercial properties, the retail market looks stronger than the office market as there is an oversupply in this sub-segment.

“As for first time buyers, we have a whole range of housing from the low cost to the high-end. But many of the properties that young people may be able to afford are poorly maintained and because of this, these properties are not desirable. The authories should have more stringent legislation for people who default on their service charges. It makes good sense to seek professional property management instead of doing it on a piecemeal basis. Taking care of the maintenance issue is more logical step than building more, only to have the maintenance issue cropping up again later on.”

Tetap Tiara Sdn Bhd executive director (Jaya One) Charles Wong

“Prices will have to stabilise. When considering buying the larger residential units for investment, the question to ask is, Can you rent it out? Smaller units will be more feasible. But having said that, we are seeing a huge number of 400 sq ft units of service apartments being built. While these may be affordable, buyers must consider rentability. Access, connectivity and proximity to amenities are important. And if there are so many of these units, you may need to take a longer period to rent and to re-sell in the secondary market in today’s uncertain climate.

“In the retail market, rental rates have been coming down and are softer than two to three years ago. For landed properties, the rental are expected to drop from 3%-4% to sometimes 1% or 2% and condominium yield from 7% to 8% to 4%-5%.”

Mah Sing group managing director/chief executive Tan Sri Leong Hoy Kum

“The demand will be for smaller units, and for mid-end housing, instead of the high-end ones. If it is a location they want, for example KLCC area, people will buy a little further away like in Jalan Ampang where prices are lower.”

GV International managing director Samuel Tan

“In Johor, price increase is expected to be gradual. Areas with good connectivity will be popular. In the last several years, the emphasis on infrastructures like highways has helped to spur interest and prices. The western coastal highway from Skudai to Bukit Indah has made travelling a breeze and prices have moved 10% or more. Developers are expected to report good sales in the near future although September was a soft month, as a result of the US downgrade in August. Iskandar Malaysia will become more visible and is expected to generate interest from the Japanese, South Koreans and Singaporeans.”

Real Estate Housing Developers’ Association (Penang) chairman Datuk Jerry Chan

“Demand for landed units on the mainland and Penang island will continue but yield on the island is expected to be low, at 1% or 2%. The price movement for this year has been greater than last year. We continue to see land prices going up. For the lower to mid-end, prices are still moving. Demand is expected to remain firm for properties priced RM600,000-RM700,000 and below. For those between RM800 and RM1,000 per sq ft or about RM1mil, people will have adopted a wait-and-see attitude.

“Currently, prices on the mainland is a quarter or a fifth of those on the island. Penang people are beginning to find it too expensive on the island and are moving to the mainland.”

http://www.starproperty.my/PropertyScene/P...Scene/15704/0/0

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Added on October 15, 2011, 11:23 amalthough the property market has some distinctive factors, like any other market, it still runs on demand and supply and underlying fundamentals. “Because it is a market that has no shorting mechanism, it has a tendecy to rise rather than fall, unless the fundamentals pulling it down are strong,”



This post has been edited by zuiko407: Oct 15 2011, 11:23 AM

In 2005, Ben Bernanke (Chairmain of federal reserve) said on an interview that the US property price will not and impossible to burst. Look at what happen in the US in 2008? And the same thing will happen here in Malaysia.

from your statement, you really don't understand what's the real story behind the US crisis.

well, i assume u fully understand and expert then.. Tell me why Ben Bernanke said that US property crisis will not happen back in 2005.

I have a questions to ask. Perhaps some expert could enlighten me.

We all know that the property price is closely linked to Supply & Demand.

As far as I know, there are at least three types of demand:-

(a) Effective Demand - refer http://economics.wikia.com/wiki/Effective_Demand
(b) Latent Demand - refer http://economics.wikia.com/wiki/Effective_Demand
© Artificial Demand - refer http://en.wikipedia.org/wiki/Artificial_demand

Question 1: When the newspaper or any expert mentions about DEMAND, they mean which type of DEMAND? (From the context, I feel that they refer to Effective Demand + Latent Demand + Artificial Demand)

Question 2: If a person has the capability to buy a house and it is not for own stay. Which type of demand is this?

Question 3: If a person does not has the capacity to buy a house and merely paying the down payment so that he could sell the house before he needs to engage a loan. Which type of demand is this?

Question 4: What do you think of the DEMAND of property in Malaysia? How demand is calculated?

that statement pretty much reflect the situation, there is down pulling force, but the saving and up lifting force are equally strong.....very easy to said the market heading south,but i chose to believe there is no hard landing.

Well, u have to put some effort to find out the interesting story, u will get your answer and find out not only Ben Bernanke said so, why AIA in deep shit! Whose decision to tie-up the mortgage with insurance coverage! and the bank easily approve the sub-prime mortgage!
Is a trap setup by a group of big guy, if u wanna know more, just make a phone call to any friend in U.S bcos this's not secret anymore after the crisis and all American are knowing this.
Don't call me expert again, I'm just a normal person who earned million ringgit from property investment

Exactly, that was my point..
The big guys know that this is coming, but they won't tell us coz if they do, the momentum of the prices will lose. It is their own personal interest to not telling us the truth.

Same here in Malaysia! The juggernauts will say our property market is good and will not burst!
But the facts has spoken!

My mini-article on why right now aint the right time to invest in property:

http://hazairi-jay.blogspot.com/2011/09/wh...y-property.html

So naive...

you thought buying property like share, today buy tomorrow can sell?

Overall, I am pretty positive to Malaysia Property Market.

Read the facts. It has spoken. It's whether to accept it or stay in denial..

since you talk about debt....share also


individual total deposits in banks:

RM441,937.816 million

m'sia total population said 28 mil include (malaysian + foreginers; babies + adults)

each persons bank deposit = RM15,800

average household size said 4 persons per household

RM15,800 x 4 = RM63,200 per household.

ok or not ok?

This post has been edited by kh8668: Oct 16 2011, 01:56 AM


Attached thumbnail(s)

LOL. And the average house price in Malaysia is also RM63k? Get real..

.... see wat happen after the march 2012 lah....

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Added on October 16, 2011, 10:07 amI m sure BUBBLE SURE burst... from the statement.. How many so call normal person who also invest in prop... and earned million/millions from this round of prop rally...

this million/millions will be share by some ppl who need a place call "HOME".

Last time who capable of earning millions only developers or related parties... definately not the Normal ppl..

This post has been edited by sampool: Oct 16 2011, 10:14 AM

I don't think any burst will happen soon, as rules imposed by BNM and government had alert the possibulity of prop burst, but the imposed rule are merely to maintain or correct our properties price. In other words, increase civil servant salary and allowance as relation to increase their purchasing power for low cost prop. Somehow it hopes to balance the high to medium to low range of prop market.

But then.. Construction material prices have really gone up.. http://www.statistics.gov.my...publication...works-september

So far i only see decrease in category Keluli Struktur Structural Steel like U' Type Sheet Piles. The rest all creeping up.


What can you all make out from this diagram ?
Source: http://www.jpph.gov.my/V1/pdf/q211lapstok.pdf


Seems like building plan approvals and completions are going downwards.. does this mean less supply?

This is more worrying.. completion starts and approved is downtrend , also showing decrease in supply...



Contradicting..IN the same report:
Existing Stock
Existing residential units increased from 4,454,282 units (Q1 2011) to 4,466,062 units, contributed by the completion of 11,780 units in the review quarter. Selangor continued her dominance with 28.8% of the total, followed by Johor, Kuala Lumpur and Perak, each with 15.1%, 9.3% and 8.6% respectively. By types, terraced units formed 40.2% (1,797,378 units) of the total, comprised predominantly 2-3 storey (948,489 units) and single storey terraced houses (848,889 units

Incoming Supply
The review quarter recorded slightly higher incoming supply of residential units into the market. The total number increased by 2.4% from 547,751 units (Q1 2011) to 560,636 units. Selangor, Johor and Negeri Sembilan dominated the incoming supply. Together, these states accounted for 49.2% (275,799 units) of total supply. By types, 2-3 storey terraced and single storey terraced houses together with condominium/ apartment units remained popular as represented by 19.9% (111,547 units), 19.1% (107,213 units) and 15.4% (86,297 units) contributions respectively.

This post has been edited by nlik: Oct 16 2011, 06:21 PM

For sure price coming down end 2012 simply for reason supply exceed genuine demand. Second reason loads of properties completing in 2012 /3 and installment start for buyers who are already leveraged.