Under current practice, supply is delivered only after 2 to 3 years.
so you are okay with no supply for the entire country for approx 2 years landed and 3 years highrise.
that's almost akin to request for no newborns for 2-3 years?

What about current price manipulation by speculators and flippers?
i did emphasis on the word greater.

Believe bank have no issue to support small reputable developers. At least fly by night developers are no longer in the market.
hhhmmmmm....? u sure about that? banks favour small reputable developers. if they do, probably because they get to charge higher interest, perhaps. and even with abolishment of fly by night developers, it means less competition, less supply scenario.

Not happening under current scheme?
i did say it is gonna get even tougher. shesssh.... please read before commenting.

At the of the day, buyers still pay whether directly or indirectly.
yes and no. try financing 300k versus 300mil. try receiving progressive cashflow inflow versus total lump sum payment at end of project. work out the financing cost. and tell me whether there's a BIG difference or not.

I think the main question here is would the property market be able to sustain itself at its projected prices in 2015/2016 when more than 30K new condo units enter the market in Klang Valley? Has anybody noticed that bank valuations of new property launches have started to drop quite drastically in some areas? Is this a sign that the banks know something we dont?

Tis part is true. My recent buy with very gd rebate got mof at 85. My fren bot it after dev pulled back the entire rebate package and submitted to the same banks as myself. He onli able to get mof at 70. Explained by most banks tat they now benchmark the 1st dev price.

So moral of the story. Isit a trick to clear all unit during 1st soft launching??? Encourage buyers to sapu it clean clean b4 the rebates period end???

Keke kalau mcm ni, peice up again b4 anymore announcement fr our beloved stupid gov. Kekeke

Well, if you have been following this thread and are rational enough to do the maths on demand-supply curve, you would be up there with the banks knowing as well. ;-)

Because Malaysians are heavily leveraged that means in turn that Malaysian banks are also heavily leveraged....

Yup this i know. I was refering to a future event most closely associated with the 30K or so condo units coming into the market in 2015/2016.

I know, just pulling your leg......you're one of the most reasonable forummers here which I respect.

I reckon it still depends on area - for the 30k or so condos coming into the market. For places like TTDI or even certain parts of PJ (like LI Villas) where there is barely any new development (besides the horrendous Ascendia with bad access) it should still do ok - stagnant at worst.

For the so-called "new development zones" (ie Balakong, farther parts of Cheras, Kajang, Putrajaya, Klang, outskirt areas of Sg Buloh and Rawang) they will probably be hit pretty hard.

Yes i guess so. I think the threat of the 2015/2016 period has become more real now when we see banks starting to drop valuations of new properties to reduce their exposure. And now we also have BNM re-evaluating the DIBS schemes. I think they realise that the property market in Malaysia is over-heating and developers are rushing to launch new developments at crazy prices without control. I still havent gotten over Tropicana Gardens in Kota Damansara launching at 1100-1150 psf and now they talking about Phase 3 at 1200-1300 psf. And yet investors are flocking to buy.

Yup, and not counting insanely pricey psf like Cloudtree Cheras or Vina Versatile at 500-600 psf. Or mad prices in Puchong and Putrajaya.

Or that SDB project in Balakong.

what would be your expected 'reasonable' prices for such location and their concept?

Under 400psf

Especially for location so far away, high density, mid- to low-end range homes such as the above.

Ideally for those location some way out of KL - 1000-1200sqft should be around RM400k max.

"Developer adsorb interests...", it's what they told the innocent buyers. LOL

The BNM talks on DIBS is more the worries on the banking industry than real estate. They seem beginning to realize (I can't comprehend why it takes them so long) the incoming risks associate with this "over optimistic future valuation" practice?. Amazing, huh.

Recent bonds fleets around the world has already squeezed banking sectors inc. Malaysia (lesser extend relatively to country like US, China, Latin America, etc). Thus, you get those side effects like lower loan margin, lower valuation and etc. One house card they (BNM) still holding hard is the interests rate which seen a sharp spike in MGS past 10 days. But for how long?

Anybody realize the FSA 2013 is on? Yes, today, 1 July 2013. This will squeeze the local consumption sector (for sure) as the reduced spending power from our addicted fellow Malaysians at the mushrooming shopping centers which show have no sign of slowing. Latest proof: new big mall coming to town.

Starting from second half 2013, we are entering into a prolong hazy period. Those who already cashed out, maybe some buying opportunity could be out. Good to you all.

But, brace for more turbulence.....it could be more roller coaster than 2008.

i agree if the product is plain jane vanilla.
but these developers try to improvise by offering so called 'high-end' luxury concept to their purchasers.

for instance, if say a pelangi damansara or palm spring is sited at these location, 1000sf at RM400k, would you have accepted these pricing?
or are you gonna say now that if it's these kinda product, then pricing should go lower still?
and again at what cost? 300psf?

and seeing what vina versatile and cloud trees are sorta different from "in your terms" quote: mid to low end range homes, do they justify their pricetag now?
unless of course you are referring to these as no difference from palm spring or pelangi damansara.

funny thing is, once you make it affordable enough, more people is gonna be jumping on to the bandwagon again. once that happens, price creeps up. when price creeps up, it's no longer affordable and back to square one all over again.

no right, no wrong. just exchanging banters with you boss. and trying to see where you're coming from.

PS: apologies to palm spring and pelangi damansara owners for using this tasteless example.

why big mall here and there...

do we have money shop shop shop?

Middle Class landed house owner can't even pay Rm45 per month for their safety and sleep in peace...

come come FSA 2013... more shadow banking and more un-recorded debts from recorded debts...so that our minister can said...our debts is lower wo...

This post has been edited by tikaram: Jul 1 2013, 11:58 AM


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Of course they have money, borrowed money in the form of credit cards!!!! Nowadays more banks can offer cards on the spot... lol!!! same approach to property (DIBs) a.k.a buy now, think and pay later... hehe... what an excellent concept.

Oh on the question about building/ lifestyle concept and the value attached to it... Even if you build a Marc Residence concept in some far away outskirts which is >20km from city centre... its still outskirts... look at the vicinity what do you have there? Aside from an MRT station... You'll be driving through low cost residence/ shop lots everyday to get to your so called high-end condo smack in the middle of no-man's land... I think selling on build concept is over-rated. Its still all about the location you stay in and the availability of luxuries in that area... no point paying 500psf and still having to drive to city centre to buy what you need / want in terms of high street brands.

hahaha. nice that you answered on someone's behalf.
you got a point.
but in this case, they are not over exaggerating on their product.
maybe another example is ice cream.
while they are not offering the best ice cream, they do add nuts and chocolate dip. while these extra may cost only RM30 cents, but yes, they are charging a full fare of RM1 for their troubles to bring you the additionals.
somehow or rather, i find that this market is the most easily sought after.

you can't afford an armani, but you do not want to seen in a hang ten, so what do you get? you get an improvise hang ten at about 30% of a AX price hybrid product. kekeke.
and thus so many other brands flourishes because of this.
do you agree boss?

You really believe Cloud Tree or Vina Versatile is "luxury"?

Only in their SA's big talk it is. Looks no better than 1120 avenue which is medium to low end. Sanderson - so much talk about it being "luxury" or "mid/high-end" but end result is? Nothing special. Even worse, those developments are high-rise, high-density. I mean, those places sure ain't the next Arcoris or St Regis.

By the way, I am not a down camper for the sake of it. Price creeping up due to solid demand is one thing which I fully support. The reality is, this isn't the case.

Many of this units will be empty at VP and owners, no intention of moving in whatsoever. Just flip it off, and if fail, the bank will lelong for you.

More like, buying a Padini for 30% over price now, and hope to sell at Armani price to some poor sucker in a few years.

Sad to say, for most of these people, they are the sucker instead.

Not really, its more like - the shop design looks like Armani and the clothes looks like Armani but actually its a cheap knock-off and quality of material/ workmanship is not up to par... furthermore the shop is located, not in a shopping complex but a shop lot with no air-conditioning, located in some far away place... your neighboring shops are not Versace or Gucci but its a chicken rice shop and car garage... lmfao!!!! End of the day... this fake shop sells its product at 70% of the real Armani... now you tell me... what value you gonna place on it (as a percentage of the real deal)?

Reality, there would be some who would be willing to buy it and walk around in them... but people who really know Armani can tell the difference... Its like LV, nowadays you just see a while bunch of people using it, but when you take a closer look... my god!!!! Wouldn't be caught dead with one of those... however, there are still people who use them... sorry to say it, no offense intended... but I think it's pretty low class... apologies... If you can't afford it get something you can afford instead of paying for an overpriced knock-off that actually brings less value.

By doing so it also brings the value of the real brand down... imagine have The Oval - KLCC (real thing) and The Oval - Klang Meru... ROFLMAO!!!... My god... i can just imagine the conversations... oh where do you stay..., the Oval..., oh, the one near KLCC... no its actually in Klang... ROFLMAO!!!!..... Yikes...!!! scary thought... I guess same goes for like add on "Hartamas" "Kiara" or whatever it is... just do pathetic and cheap.. Again no offense intended to those staying in those areas... The above names are used as examples only.

This post has been edited by Rooney1985: Jul 1 2013, 01:23 PM

which was built first, the world trade centre in new york or klcc
http://en.wikipedia.org/wiki/List_of_talle...es_in_the_world
is ivory properties dumb to follow their dreams and built twin tower
http://www.propwall.my/batu_uban/the_view

iwe should demolish our telekom tower since its jus a copycat
http://www.tripadvisor.com/Attraction_Revi...ersekutuan.html
http://seattletimes.com/html/nationworld/2...llesttower.html

the above are examples that dreams can be achieved, instead of forever being a dream chaser, chase until kenot get