You rent a house before? I've been renting for my first 3 year in Klang Valley. Things which you can't do or wouldn't do..

1) renovate your house. No KC. No expensive furniture. No nice decoration in your home.
2) If you want to install an aircond.. You need to find a unit which most likely to cost more than your installment at the end of the day.. Rent the expensive unit for the rest of your life meh?
3) If 1 year you spend RM13.2k in rental.. In 10 years you are leaking RM132k to someone's pocket. That's IF.. and ONLY IF.. the fellow does not raise the rental. I've leaked RM36k to someone
4) Borrowing at a young age for 35 years loan is most likely cheaper as compared to renting. Not all the time.. Most of the time.. Renting a double storey landed would be even better.

Things which is good..

1) You do not need to pay cukai pintu.
2) You do not need to pay maintenance
3) You do not need to worry about the condo when it have issues like land soil corrosion.. Cracking condos... water leaking and so on so forth.

It has it's pros and con.. but definitely I would not want to leak RM132k in 10 years time to someone else pocket.

This post has been edited by kidmad: Jul 15 2013, 10:20 AM

Blader amacam you calculate one.. The interest you pay to the bank spread out in x number of years.. The money you pay to the HOUSE owner is purely CASH.. The property prices have a chance of shooting up or down but at the same time it would mean the rental will be going up or down as well la.

You rather take RM1.5k to pay the owner instead of paying the bank when the property is under your name????

.... 160k to the bank 80k to principle.. The following years the loan amount will be going more towards the principle as compared to bank. You do know how to calculate that I believe you know about the interest mechanism as well for this..

If you rent.. ALL 240k is going to the house owner.. You know that too right?

Let's brake down my unit expenses for example. I don't like to plug figures from someone or something you heard off somewhere from a teh tarik session.

RM250k.. Borrowed RM230k - Finance including bank lawyer fee no money previously.. Sold off my 1st house but the bank disbursement was SO SLOW!
40 Years loan tenure - RM1018 each term. Flexi loan ma if you Pay RM11xx in 35 years kau tim. RM1300 or less in 30 years settle. But for my case.. It's soon to settle.
Cukai Pintu - RM300 per year.. RM15x every 6 months.. Damn I receive yellow letter need to remind myself to pay this when im home later.
Maintenance - RM158 per month.

Total per month considering im doing 40 years.. RM1018 x 12 + RM300 + RM158 x 12. Total per annum 14.5k

Renting a bare unit at my place RM1.3k.. Full furnish RM1.5k - RM1.6k. Renting bare unit itself already not worth it... Adding on.. Your dorwan to stay in air cond room ka? You dorwan to renovate your house with nice kitchen cabinet.. Some vinyl or tiling on the walls and floors? Do not want designer table or chair meh? If not THEN EARN SO MUCH for what? LOL

Any other cost which I need to factor in for a comparison?

Blader... I dorwan to take the rental yield to talk about it leh.. Even if renting for RM1.1k as compared to installment I still don't think it's worth it, that's just me. If I can afford RM1.1k i'll still find away to save up the money and buy a place. Anyway my current unit is Puri Ayu Condo in Batu 3 shah alam. 1 unit rented out at 1.4k while staying in another.. Shifting out soon after I get the Keys for Koi Kinrara most likely 4 months time.

This is so true, mentioned previously before.. Anything RM500k and above it's a risk and yet developer is building most of the units above RM500k.. What are they thinking.. To flippers u better watch out. Haha

Debbie, that's the only option for young buyer nowdays. Those which is in the City Centre are usually taken up by our previous generation. Those a year older than you perhaps is staying 2 - 3k km away.. 2 years older than you staying perhaps 4km away and moving inwards.. Let's be realistic no one will let go their house in bangsar for 50% off and even props in PJ is no longer affordable for own stay most of them are selling by millions and those near SS2 are even converting them to commercial lots..

Base on your logic it would mean I would not be able to purchase now? I'm still gonna try.

Well I think it's through for your statement but it's up to a certain degree. Those approx. rm400sft I think it's still good to go though.

I like the term Blaader haha.

Anyway which area was that? landed property right? In some places like Malacca or smaller towns like Kapar and so on.. Yeah... rental is much adviseable man.. Take for example Kuantan. A new house in Air Puteh cost RM480k.. but if you rent a double storey 20x70 in that area.. It's just RM650.. For such cases renting is definitely better la.

Can't argue much about that.

Wei Kawan.. Already mentioned up there la. go check back my post. Anyway my condo here you can't find anymore @ 250k and 265k la. You are 18 months late. lol

Yup, that's a good point to highlight so those who are planning to go for a property remember to plan the worst out of it. Cause if your loan repayment is rm1.8k today if it shoot up to 10.x% out of the blue.. It will turn out to be rm3.3k.

But Rooney have you thought. If something as simple as that you could have already thought of what makes you think BNM would not do anything to prevent this from happening? Do you really think they would like to see ppl jumping off KLCC out of a sudden? Do you really think they would want everyone to declare bankrupt and have the nation suffer? Look at Greece la.. 20% unemployment rate but at least when I went there for holiday, ppl are still happily walking around and I don't see any beggars around.. KL street have more if you were to compare..

AVFAN good point man. Another thing about the Eurozone was the language barrier. Some nation do have better communication options as compared to some thus enabling to move to Zurich, Bourne, Prague, and so on so forth. As an employer do you want to hire a consultant which can converse in all kind of language or do you want to hire someone who can only converse in their own mother tongue.

That's what we should be afraid off if they really implement the same thing here in ASEAN countries... Professionals like us will be much worried.

Also regarding the riots and ppl looting which happened quite sometime, It was last year right? I'm actually pretty happy cause we did took it on streets as well besides of Bersih 2.0 which went into Chaos the others were pretty peaceful yeah.

This post has been edited by kidmad: Jul 15 2013, 05:33 PM

I like to see how you construct a sentence. Cause all you points were not constructed base on fact... And they were all statement which build base on "I think" ? If those think think think of yours could really happen, then you must be the prime minister or some big shoots pulling the string behind the scene. Stop thinking put your thoughts into action and make it happen.

If you did enough investment you should know.
When GOLD price drops.. US dollar will shoot up.

.. You should really start asking the right question katijar. Where did all the GOLD went. Ppl don't sell them to buy MYR la.

Paid the money already. lol. Yeah man I need a little of luck the rest is all up to me on what I'm gonna do next. My points are constructed on series of events which had already happened. Rooney, I don't predict the future thus I'm not gonna talk much about what I think would happen in the future. The only part I do agree with you is on the sentiment that greedy people is all around and price are going up way above means. Whether it will boom or not? I can't tell but I do think by 2015 it might happen. -This is my thought- again it's base on the trending on how the property prices are shooting up.

But if you are saying properties are cold at the moment... I could not agree on this point. I've spent approx. 3 - 4 weeks cold calling agents for Condo which is RM350k and below and to my surprise there is nothing good. I wish I could buy another unit of Puri Ayu Condo and get it renovated nicely but unfortunately the going price is just too high.. RM350k and above and yet only 1 car park lot... I would not want to buy a unit which was bought at rm250k for rm350k today.

true thus there is one thing which im wondering. Why does bank negara still allow this kind of flipping event to happen? 60% out of your total nett salary was it really working? Those jokers are still buying like there is no tomorrow. I don't understand the logic of as long as you can prove to the bank that your unit is for investment and there is sum figures going into your account those are considered income. which at the same thing you are serving your loan. Also an increase of 50% for the same unit in merely 2 years time to me that's ridiculous. Well it's good for me.. but that's only for now. On a long run we are actually on a losing end.. Reason? If you sell them.. you would not be able to buy anything more decent at that price. It will cause ppl to further speculate.. Because from the previous sale let's say for a single unit.. Most likely you will free up approx 150k.. With 150k ppl can continue to flip... and now they can go for those bigger ones... with the logic above they can do it for multiple unit... Bank NEGARA should relly do something about this if they want to stop flippers.

Furthermore what are they thinking man... Foreigner who can afford rm500k will be able to purchase a prop? its time to mark up at least rm1.5m and above la. singaporeans.. expat... investor from oversea are really taking advantage of these rm500k cap to mass purchase our property.. This resulted to fake demand... which again further escalates the property prices.. Though the selling process would take sometime.. But the demand from a non local should be paid with a premium price.. Not something the same of what we are paying.

if you are saying that the property will just boom like that overnight.. I would not agree with you no matter what. If things really do go bad.. You will have a series of event happening.. i was expecting after the election things would go slow thus was holding my money for a couple of months... Waiting for something BAD to happen but it seems like it was the other way round.

Btw i'm very conservative. I will only buy if the place if near to fully occupancy.. which means i don't buy new release.. i rather pay the lawyer fee and 10% deposit to make sure no headaches for me in the future. FREEHOLD is a must.. and 2 car park at least.. 1 car park soho i really think that would be an issue when you want to sell off your unit in the future.

a Little update. For a RM430k apartment.. with 10% + S&P lawyer + Bank Lawyer.. It cost me RM43k + RM12.4k + RM6k+ it's gone just like that...

In the process of applying only bro. If it fail ill update u guys. hope can get la.

Boss.. the appreciation only happened early of the year after the election for your info. Before the election I can still find RM280k RM290k.. Now owners are jacking them up. and it suddenly spike up by 30 - 50k. That's not so much of a good sign man.

Blaader also one more thing. Agents try to sell RM350k.. but when I check valuation it was only approx. RM320k... meh wonder where they can get the loan.

Those doing the valuation business punya org also must stringent their guideline liao. Because of them giving higher value for the properties.. Those ppl boleh kasi goring and play with the figures.

This post has been edited by kidmad: Jul 16 2013, 12:23 PM

Follow the crowd and run like a mad man.. end up all become zombies too. Next time, ill lock the gates seal up the door.. nail it.. and hide inside the house.. Definitely not as influential as brad pitt where a chopper will come and save me.

I thought the down camp are the ones always waiting and assuming things are going to be bad.. Never thought that ppl who took action fast in property purchase would stand there and wait.

Haha your imagination is good mang. And always assume. Good Job. I hope your not the down camps who have not own any property yet.

Yup your right. It's fine to make assumptions man but not on serious stuff for example your field of expertise or work/task/job. Do you always work base on assumptions?