For 10% paper profit in 5 months, I'm sure all buyers are looking forward till the next 4 years!

You're right, you dont make real profit. For that unit, there will not be any profit at all, real or paper, because it is still unsold.

If that unit gets sold for the current asking price, then all previous buyers get paper profit. Then the question is if it will be sold for that price.

For that, then one has to look at the current price for still available units in Block A and B. If psf price of this particular unit is higher than the ones available in A & B, then its obvious that the paper gain is artificial. However, if the psf is similar to what is available still in A & B (which a simple look at the sales chart will tell you if it is or not), then its more real. The conclusion then is that currently, for someone to want to buy a unit in Fennel, either Blocks A or D, then they will have to pay >10% higher price than what they could have had should they have bought it in July (Block B nonwithstanding coz it was only launched last month, with a launch price already of about 10% higher, and even more for KLCC view. And more importantly, almost 90% sold). And note that the leftover units in A & D are only opened back up < 2 weeks ago.

Thus for buyers, this sounds good. Paper profit is better than no profit. In fact, any profit from property price increase is all on paper....till you sell it.
For 10% paper profit in 5 months, I'm sure all buyers are looking forward till the next 4 years!

For 10% paper profit in 5 months, I'm sure all buyers are looking forward till the next 4 years!

At this rate, expected profit is about 100% by vp in 4 years time     

Time for shopping in London, Paris and Milan, then order a BMW for him and her     

Moderators please close this thread as it turn into an argument topic or else take action on trouble maker member like Minolta & cybermaster98.

Same as those uuu, ddd, bbb & sss thread.

That's why...many people dreaming onli. Malaysian buying power will decrease...no more money to buy million2 condo. Those in the top 10% will not buy a condo in Sentul one. They'll buy bungalows or landed props same like those singaporeans who bought horizon hills, east ledang, setia tropika, bukit indah, leisure farm etc.

At one stage million2 condo does not make any sense anymore. Salaryman or small business owner who make up the majority of the general population will not buy these million2 condo. So these condo owners better plan to live there. Rental play also will never make it. For sure -ve cashflow. We'll see.

Sorry, I didn't mean to get in between u and others. What I meant is that, without dibs, one yr holding cost for any flipper will be 10%.  So, the seller has to make the market by extra 10% after one yr to enable secondary market to make profit.  Of course, if the unit can be rented out, this 10% can be easily halfed

At this rate, expected profit is about 100% by vp in 4 years time     

Time for shopping in London, Paris and Milan, then order a BMW for him and her     

So if a property slump hits around 2015 and lasts say 2 years before a recovery begins, would buyers still be looking forward to 2017 or is Fennel immune to a slump since its a niche product by YTL and ppl wouldn't mind paying say RM 900psf then?

Also while ure on this topic, care to tell me how many multiple phase new launch projects in KV did not enjoy a paper gain when subsequent blocks were launched? Thus are you implying that all projects which enjoyed good paper gain will also enjoy very healthy capital appreciation upon VP and buyers would be lining up to purchase subsale units from initial investors solely based on this 'paper gain' theory?

Minolta. Not nearly 10%? hmm. What if interest rate goes up? Anyway jolokia, calm your tits.

Anyway, based on this 'paper gain' theory, investors in Phase 1 of Tropicana Gardens, Kota Damansara have much more to cheer in the future. The launch price difference between Phase 1 and Phase 2 was about 50%. Phase 2 was about RM 1,100 psf.

So assuming that the project takes 4 years to complete, Phase 2 buyers of TG would be anticipating at least a 50% capital increase upon VP. We would be seeing ppl lining up to buy 597sf studio units for RM985K (starting price) or RM 1,650psf. The bigger 1573sf units would probably be going for RM1,500 psf or close to RM2.4mil.

And all this in Kota Damansara. Perfect logic eh? 

Miniolta oh minolta.

Making things interesting hehe

Ya ya, and don't forget the rolls and fellali too while you're at it

....but this project had DIBS.

And 1 year holding cost during construction, even if there is no DIBS will be BLR-2.4/2.5 of the disbursed amount, not nearly close to 10%.

Fennel fanboy spotted....