background checking?

Go see see....taman desa... sentul east, west, bukit jalil, setiawangsa....

name of condo.. no need la.. expert like u surely can guess the few popular ones based on the locations...

peace..

Not difficult, as long as latest transaction price is higher than previous transaction for similar unit, it consider up, Vice vesar.

Just ignore the asking price

This is the problem, can't find any unit inch up weekly... Convillea, no, savanna, no, desa R, no, PV16 no, opal no, casa tro, no...what leh...

This post has been edited by Nikmon: Mar 19 2013, 08:10 PM

I believe to ensure the bubble wont pop we need the following conditions.

1) new launch buyers mostly are own stay buyers with good income
2) large pool of tenants with the ability to pay high rent
3) low interest rates

That would have been my second guess.

Yeah, agreed.

But lets do a reality check.

1) new launch buyers mostly are own stay buyers with good income
ans: nope, there is a lot of new launch subsales after obtain OC.

2) large pool of tenants with the ability to pay high rent
ans: nope, because I notice most seller going to sell because the rent can't good enough, so they decide to sell it after the end of the tenant renting.

3) low interest rates
ans: yeah....more demand for first homer.

You said price going up bla bla bla........I can still accept.

But the words in bold - very fake. I know first hand very large amount of bank valuation FAR below asking price and agent asking buyer to top up cash. This is a fact and undeniable. Lets just say......fishy.

http://www.youtube.com/watch?v=uWop6lutYLE

Hi guys, i would appreciate some feedback from the more senior members here on the following thread regarding Meridian 101:

http://forum.lowyat.net/index.php?showtopi...t=0&p=59068057&

Agreed on the fishy for the bold part,Majority of my friend who bought a house, facing issue on the valuation from bank is lower than the asking price by 20%. But they get some valuation from other party (backdoor) to get the loan approve. Even my opposite Aunty also can't get the valuation from the bank and have to let the landed property years ago....after 3 years that building is full of tall glasses, if I have time maybe I can take a photo of a few ghost house at my prima zone.

This post has been edited by Steven83: Mar 20 2013, 12:21 AM

Like this is not fair bro. one owner may sell higher or lower than another. so how do you categorize this? I give u one example. I have been looking for a shoplot in one area (not in KV)


Lot A: asking price RM680K, Rental RM3300/monthly

Lot B (next to A only): asking price RM810K, Rental RM3600/monthly

Lot C (in another row but not so far from Lot A and B): asking price: RM600K, Rental RM2800/month

Bank valuation for all stucked at: RM600K.

So how do you categorize this? You will also pening, I guarantee you.

a) If I buy Lot A, would you say the market has dropped? Valuation is still below asking price. 85% loan only. But ROI is at 5.8%


b) If I buy Lot B, what is your comment pulak? Valuation is still below asking price., Same 85% loan. ROI is at 5.3%


c) If I buy Lot C, what is your comment pulak? Valuation is at par with asking price. Same 85% loan. ROI is at 5.6%


Not easy to categorize this part None of the owners are willing to reduce the price because all said rental can cover installment. All are confident that rental can go even higher.so if one would wanna buy, asking price will be transacted price. owner's way or the highway.

This post has been edited by AMINT: Mar 20 2013, 06:43 AM

Hey...the KL rental rate really better than Penang

[quote=Nikmon,Mar 19 2013, 08:09 PM]
This is the problem, can't find any unit inch up weekly... Convillea, no, savanna, no, desa R, no, PV16 no, opal no, casa tro, no...what leh...

[/quote


Taikor...
No share of fish market...not weekly... every few weeks...


Savanna manyak stable liao ma... Covillea very hot now...

u gave manyak eg but none in Sentul area...

for eg Sentul east and west asking price up by 1xxk since last year june ....see tamarind, saffron and maple...
Itu titiwansa lagi hebat....

Ok.. u must collect data and compare2..

Bro, this is not KL as i mentioned earlier -not in KV.

Interesting.

Bro can study their micro location of each shop.

If possible study also the tenants ' businesses. How long the Potential for them to be there. If possible get to study the term and conditions of the tenancy agreeement. Otherwise assumed that all are the same.

oh...not in KV...where was it?

no country ever so far can escape this. After 08 burst, only US can push super low rate thanks to the reserve currency status and super power privilege...

1) new launch buyers mostly are own stay buyers with good income

Question would be, is there a shortage of props in Malaysia...?

90% of household income in Malaysia is RM5000K and below. Make that of what you will



2) large pool of tenants with the ability to pay high rent

I myself are having difficulty finding new launches lately and rental yield that could give at least 5% return and cover both instalment and maintenance fees...

3) low interest rates

But for how long....? In the short term, yes....

The key is the tenancy arrangement. In the other thread when you push him the answers seems more and more dodgy. Now he has confirmed that Perfect Morning Sdn Bhd is the tenant, but unable to say anything about that company's relationship to Best Western. If this is a company that is created for the sole purpose of renting from the owners then that is bad. Possibly what is happening is that the Perfect Morning Sdn Bhd is renting from owners, and then sub-letting to Best Western. In the worst case, they can just throw away Perfect Morning, and they will escaped unscathed, with the burden falling fully on owners.

The other thing to note is that while the current GRR is a good number, 10 years is a very long time. The renewal option is likely to be at the same/similar rate, meaning towards the end of the 10 years, the GRR is no longer attractive compared to the property value. So if times are good, they renew at a relatively cheap rate. If times are bad, they don't renew. If times are very bad, they can violate the tenancy and fold the "middle-man" company (if my conjecture on the tenancy arrangement is true).

This post has been edited by Balrog: Mar 20 2013, 11:06 AM

JB