Anon good one however there are a few point which seems to be a flaw.
1) interest rate. BNM wants to bring down the overall household debt. Increasing the % of interest will not help in fact it might drive away foreign investors which our government is looking for. Putting a higher interest rate will cause the speculators to go bankrupt over night (hopefully). What BNM aiming at the moment is to stop speculation and reduce the overall household debt. Have anyone of us wonder why until today they are still allowing foreigners to purchase any property which is above rm500k?
2) blue chip. In any case if the economy turn sour your investment will be in a negative cash flow situation.
3) blue chip investment require a large sum of money to return a certain % of ROI. With property it's the other way round. RM60k initial investment for a 400k property and there you go someone will be financing for you and in x number of years the return of appreciation + the payment made by someone else could return you a much better ROI. Of course there are risk on both method of investment.. One requires you to closely monitor the market and another requires you to continue looking for tenant.

bro sorry not good with the figures. Can share with me what does it represent?

No wonder... Never knew FD plays such a big role.. I actually submitted only my base salary and that also can lepas dy, but per annum salary is higher due to bonuses..

Btw they did offer the reno loan which follows the BLR rate + x.x%..  but than I decided to drop the deal n yes, it was a double storey..

I juz found it nt worth it n too much of a risk.. The launching price, few years back was 50% of the current price n the owner actually wanted even more... Paying so much for a sub sale unit which also needs quite a bit of reno work wasn't a gud choice... Family advice me to pull off n I did...

But im nt sure if it would have been a smart move to take up a fixed rate loan through insurance company... Since they are offering lowest ever fixed interest rate n it's kind of immune to interest rate inflation..

4.8 nt tat bad rite? No CC and no loan with bank also is considered as an issue 
I actually tried couple of the banks and the worse was the famous P.. B la.. the rest was all around the same amount.. For sotong bank few branches quoted the same amount initially (Mostly PJ n few in KL).. But in my case I produced a letter from the company which states per annum salary for this year which includes bonuses n so on... So nt an issue la since my EA form can back it up...

But again the 70% was from my base salary.. If they check per annum then its only around 50-60% which the officer didn't noe when I approached him.. The funny part is that, he mentioned to me that if u r degree holder + professional job the cap is higher which was 7x% percentage of ur gross salary.. I can't see how it actually helps..

1) Actually increasing interest will bring in foreign investors for bonds and cash deposits. Foreign investors that come in to invest in industry tend not to borrow in Ringgit anyway, and will not be affected by domestic interest rates. Again though, I foresee any interest rate movements to be gradual instead of sudden.
2) Generally blue chips are less affected by fluctuations in the economy, but I was talking specifically about inflation and currency depreciation. If you throw in a recession in the mix, unemployment will leave condos untenanted and the entire property bubble will collapse as well, and the safest bet is foreign equities then.
3) You are correct that blue chip returns tend not be leveraged, but your risk is much smaller because you are not leveraged, and because entry/exit costs are lower. RM 60k in blue chips, if the market dips 10%, you lose RM 6k, RM 60k initial investment for a 400k property requires like RM 10-20k for closing costs and taxes. A depreciation of 10% (40k) will wipe out your entire RM 60k. God forbid you lose your job, or are forced to sell for some other reason. You will then have to incurr another RM 10-20k to sell it, and will have to wait a gawd awful long time to get your money. I do agree that rental yields can cover part of the costs, but that assumes optimistically that interest rates stay low, and that your property will remain tenanted. There's a precarious balance between interest rates, occupancy rates and rental rates whereby the cost of leverage can greatly outweigh the income from tenanting.

Here's a thought provoking calculation for you (all hypothetical numbers. Feel free to substitute your own)

Property price = RM 400,000
Downpayment = RM 60,000
Loan = RM 340,000 at a conservative average interest rate of 7% over 30 years (ARM interest ranges from 4.2% to ~10%)

Without counting your rental yield, you would have paid RM 60,000 upfront, and RM 2262 a month for 30 years.

Assuming property price appreciation of average 5% per annum for 30 years, your RM 400,000 property will be worth RM 1.7 mil at the end of 30 years.

Now let's look at investing in a sizable basket of blue chips using dollar cost averaging.

Initial investment = RM 60,000
Monthly investment = RM 2262 for 30 years.
Assuming capital gains of 5% per annum for 30 years (unless you have reason to believe equities will underperform property in the long term), and without counting your dividend yield, you will have equities worth RM 1.8 mil at the end of 30 years.

Consequently, there is no real long term advantage for owning property versus buying blue chips. The only reason to buy property over equities is if the rental yield (including periods of vacancy) minus all expenses (taxes, maintenance, vandalism, tenant damage, legal fees, agent fees, reno costs etc over 30 years) is greater than blue chip dividend yield (of a growing stock portfolio) during the same period. Note also that with blue chips you have high liquidity, and low entry-exit costs.

This much is obvious to the educated observer. If properties were really an absolute superior to equities as an investment, why hasn't all of the world's money poured into owning nothing but properties over the past 100 years? Why would anyone ever buy stocks or bonds? I think the equilibrium where buying property is superior to buying stocks is where prices are below historical price to income ratios and price to rental ratios. Both ratios are not making much sense at the moment, and will make even less sense if interest rates rise. In such cases, a portfolio readjustment will be in order.

Unlikely to hit 7% in next 2-3 years as US rates will still be low. Beyond that I can't say, as I have no crystal ball. But 7% averaged out over 30 years is a conservative estimate, and is based on historical data. You would expect 2 to 3 recessions during that period anyway. Entry cost is low for new launch, but you get a grand total of zero yields while the property is under construction, so it evens out.

If im not mistaken i think anon was only referring to blue chip stocks. Has any been wiped out in the last 30 years? Anyway i think the key message was dont get overexposed in property (and not this is better than that etc)

Well AIG was almost wiped out before the bailout. Look at MAS once was 8 ringgit. During 1998 crisis Maybank from the near 10rm went to almost 2 i believe?. I dunt remember.

and to add on.. 4.5 years wor... hurmm...    anything could happen within the next 5 years.

u not sure yet whether ada org mau beli or not. for RM1.1m you will have many other options man... would rather invest 3 double storey in NILAI than to have a single condo in Sentul leh.

stock will also impact property development.. YTL stock went down the drain.. do you think this sentul project will continue???

better buy sub sale chor.

To me, real home buyers wouldnt queue up like that, especially for a condo at that price in Sentul which is an area im almost certain many of them havent lived in before. If they were selling DSLs maybe... But these condos? Im not denying the project is attractive. But if these people wanted, they could have bought nice existing condos in the vicinity.

Maybe your emotional make-up not suited to stocks?  I've lost sleep due to stress over my job, but I've never lost sleep due to stocks.

I have both stocks and properties. KLCI drop 20 points is nothing .... some overseas (blue chip) stocks can go down (and up) very sharply.

But one thing I noticed is that my friends who are heavily into properties (>10 biji) don't tend to do well in stocks. Maybe cause the skills and mind set required are very different.

Yup your wrong. I somehow get to know a fellow colleague who only invest in stock and never into property. His word of advise... prepare to pay a sum of tuition fee before you can start earning haha.

Perhaps the same person? lol. Well i am straight forward and open to criticism. His indeed driving a jetta - did not take loan for it.. and staying in a fully paid semi-D in usj heights.. and his only 38 this year. I always chit chat with him regarding props... stock market and any rubbish which relates to financial topic. His comment was the same... waiting for the right time atm. He too share with me that he parked his money somewhere and waiting for the chance and asking me whether i'm interested to join him. Told him no money.

nop spoken to him about this topic last week when his doing all his "si lai claim" hahaha. he release everything he has in hand last month and his now playing the waiting game. I guess he have a point and i too agree that if you have any stocks you should release them and wait for the real moment to re-enter. His Semi-D is for own stay though his only worry was aiya... my car 2nd hand value so low. HAhaha

Anyway can't comment much on your previous statement never encountered before in fact my circle of friends were not so good in stock market... we are all better with binaries than the graph and charts in stock market.

nop i'm not.. I've already set a path which I want to go along with it. Will be only into property and my plan is to accumulate 7 by the age of 40 with some being fully paid off. I do not want to bother myself with other investment link cause i really do not have that much time..

bro again i think the investor word in this sense is a wrong word to use yes his Semi-D appreciated close to 200% but he always ask me.. If i sell where i want to buy? where am i going to stay? That's also a right question to ask to be honest. I think you can only categorize oneself if and only if the person plans to sell his property if they are planning to keep it until they sleeps in the coffin i don't think it's right to categorize ppl as a property investor. no?