Agree. What the government is doing will only help to curb development, not demand because demand cant be controlled; population will increase exponentially; say back in the 80's 5 million adults gave birth to an average of 2-3 kids; by now there'll be 15 million adults getting married and will continue to give birth to like say, 20 million kids. Population is ever growing and land supply is constant. We observe the trend of more young graduates moving out of the rural areas to the city too, note that this number will only gets bigger. Eventually, one will need a home. Affordability is an issue hence when property prices increases, adjustment need to be made on our lifestyles > cutting on entertainment /cheaper cars/.

I ask myself la, If I dont have enough money, I can live with cheap cars, public transport, cheap meals etc etc but I cant live without a house. So the trend forward, a bigger chunk of ppl income will go to home repayment instead of oth nonsense. Hence, non- necessities industry (luxury cars; premium entertainment outlets/eateries, beauty saloons) will suffer more.. just my 2 cent la

Bro, I have more than 10 friends who went south aft studies. And most of them already owning private properties and cars by their mid-30s.

Let's face it; we have so many Malaysians who is working in Singapore compared to Singaporean who is working in Malaysia.
And those who worked there will mostly stay there rather than coming back here.
Furthermore, Singapore's expatriate community is bigger and much more affluent than KL's.

There must be a reason for all the above, right?

Correct, sir.
We will make adjustment.
We will be willing to cut down the unnecessary expenses, drive cheap cars and eat cheap meals to allocate more money for our home.

However, the question is not whether if we will prioritize owning a house, but can we afford even if we prioritize.
Let's say general Joes and Janes are earning an average of RM6k per month, but property prices (let's say) is on average RM1000 psf or RM1 mil (an exaggeration to illustrate the point). No matter how u cut and slice the budget, u still cannot make it.

If average Klang valley salary is at RM5k, then the average property prices in Klang valley should be around RM400-600k, maybe? But now I see more RM1 mil terrace houses than RM400k.

As long as the income and property prices are mismatched, we will have problems.

join income with spouse lo..thats what everyone is doing now i guess. gone are the housewives day
and more young ppl will rent..and only buy later..

True. But that is a zero sum game. 2 persons buy 1 prop instead of 2 persons buy 2 props. The pool of incomes vs number of prop remain the same. Lol.

Those owning 10 props by mid 30s are outliers, bro.
If everyone owns at least a property here, we wont hear so many concerned voices abt property and house ownership in malaysia.

Land is abundance but KV land is limited. I always say these, can buy house in Kelantan, there quite cheap. Have to compare fairly. The question is, do U guys want to live in Kelantan? Actually not a bad place to stay in Kelantan BUT again do you guys want to buy there or should I say invest there? U never know, once the oil royalty in Kelantan resolves, price there spike. Just a thought.

betul betul betul..true true true. Upin and Ipin would say that.

+1
u r very well said
some people complain on developer side, asking for project, money etc2.
some people complain on end-user side, price is expensive, price is overhike, etc2..
end up all blame the government.

people just keep talking, and sometimes not based on fact but more on their ego

i still have problem understand this durian example.

the govt know what should do.

from singapore to hk to europe, chine, and back to thailand.

all govt implement policy to make it no hard landing. so all of them is stupid and the writer is smart?

This post has been edited by tikaram: Aug 16 2013, 12:24 PM

What Datuk Alam is implying simply:

- affordable housing issue not addressed yet

- shorterm measures will force developer to reduce supply creating a price shock for well demand areas, i.e. PJ (in PJ Damansara, people can buy at whaever prices. My neighborhood everyone chasing RM1m terrace home and people can buy in CASH. And in PJ, most kids work or study overseas so loan just use their name. Lagi best if use UK payslip. Forget the bank)

This post has been edited by accetera: Aug 17 2013, 12:11 AM

You are talking PJ Damansara only or the folk in whole PJ area are generally quite rich?

This post has been edited by KOHTT: Aug 17 2013, 12:48 AM

Fuel price rise and crackdown on illegals affecting construction sector
By MARTIN CARVALHO | Updated: Thursday September 5, 2013 MYT 7:09:21 AM
http://www.thestar.com.my/News/Nation/2013...ion-sector.aspx

PETALING JAYA: People looking to own a house any time soon will have to pay at least 10% more for their dream home, according to developers.

They said the increase was due to the double whammy that has hit the construction industry – higher costs of building materials resulting from the 20 sen rise in the price of RON95 petrol and diesel and absenteeism among foreign workers because of the nationwide crackdown on illegal immigrants.

Real Estate and Housing Developers Association of Malaysia president Datuk Seri Michael Yam Kong Choy said the failure of foreigners to turn up for work was causing delays, thus adding to costs which contractors were certain to push to consumers.

He added: “The raids on construction sites have frightened even legitimate migrant workers who are staying away.

“This also happened in past raids, Legitimate migrant workers simply did not turn up for work or delayed their return from their country until the storm blew over.

“Because of the shrinking supply of workers, developers have to pay more for labour to meet contractual deadlines, failing which they will be penalised.”

Developers are bound by the Sales and Purchase Agreement and will have to pay compensation to buyers for late delivery, Yam said, adding that contracts in the private sector were awarded with no provisions for price adjustments.

While acknowledging the need to flush out illegal immigrants, he said any reduction in the number of workers would hurt developers.

On the fuel price hike, Yam said it affected the supply chain of the construction industry, involving more than 100 types of business.

Master Builders Association of Malaysia president Matthew Tee said members were complaining that their legal workers whose documents were being processed were staying away for fear of being arrested.

“Our understanding is that all foreign workers will be detained unless they can prove that they have proper documentation,” he said.

“This can be difficult as their documents may still be with their employer or immigration pending the affixing visa of stickers by the authorities.”

He added that there had been cases in the past of legal workers being detained for up to 14 days.

Tee hoped that there would be no recurrence of such instances, and warned against a repeat of the situation in 2002 when the construction industry was brought to a standstill due to a shortage of workers.

In George Town, the Penang Master Builders and Building Materials Dealers Association says it expected construction costs to rise by 3% to 5%.

Association president Datuk Lim Kai Seng said the cost of transportation was likely to rise 10% to 20%, and the prices of sand and cement by between 5% and 10%.

He said that cement now cost RM17.50 per 50kg while sand sold for RM70 per cubic metre.

Cheap housing is a thing of the past. The current trend points towards higher housing prices.

This is bullshit.
Like a bunch of kids complaining and feet stomping coz their couldn't get the toy they want.
The argument that property is expensive is NOT a new one. It has been happening since decades ago.
People will always complain. The question is what are you doing about it?

I can reiterate the fact that property WILL NOT be cheaper or affordable in the future regardless of what the gov does. HK and SG have tried and failed. At best the prices will stagnate for a little while and then when supplies dwindle prices will shoot up again.

Building affordable housing is also not the way. I mean we already have those. Its called low cost housing. You can find plenty of them in rawang and kuala selangor. Pr1ma is just another gimmick for low cost flats which i bet nobody will want judging from the demand of current low cost flats.

Learn to accept the high property prices. Rent if you can't afford to buy. Its not a god given right. If you want a decent property that cost alot then think of ways to increase your earnings capacity. Complaining and blaming the gov won't help. If you can't then maybe you don't deserve to own a home.

Told them that so many times already, they dont want to listen but keep complaining, now fuel increase and they still think property price can go down.

Sounds quite frank and direct to the truth.

It hurts Gen Y people especially those influenced by pessimissm and DDD campers.

Its the truth. They should learn to grow up.
During my time people are also complaining that property in bandar utama at launch date somewhere in 1996(?) at rm180k was so expensive because the generation before managed to buy taman tun houses for ~rm60k and that wages cannot support the purchase of houses.

Today its the same arguments only different figures.
Pointless.

And believe me, you don't want the gov to get involve. Firstly because they can't do anything to curb prices like what happened in SG and HK and two, knowing our gov, they will find ways to screw it up. In the end you may pay even more for property prices!

If you want to own one, find ways to increase your earnings. Otherwise just rent. Remember nobody owes u nothing

Hahaha..during your time. Good one. Dont have to look far back during your time. Three years ago, end of 2010, people tried to convince me not to buy any property and lucky I did not listen. Now the apartments almost double in price...and look at how jealous the DDD campers are with me and tried to look down on me and tried to to trash talk so hard, but they can't. It's the truth, they should realized they missed the boat.

And footballer if you are reading this, somebdoy offered me 650k apartment yesterday for my ayam condo...hahahaha....life is good. and the offer keeps coming everyday, why cant they just accept, I dont want to sell? But I am happy to receive their call, see how in demand the properties are.

This post has been edited by AmayaBumibuyer: Sep 5 2013, 05:20 PM

I vaguely remember Bandar Utama DSL houses in 1996 was more than RM180k already. More to RM300k-RM400k range. The RM180k ones maybe the 1st phase launch price deep inside near Damansara tol side. Not the 1 Utama shopping centre side.

But I agree with you. I also Gen X. Nowadays upon graduation, they are talking about buying properties. Our time, we don't even dream to buy property until working for 5-6 years to accumulate 10%-20% deposit. Recent years got DIBS, zero down, free SPA, 40 year loan and BLR -x%. With RM10k they can buy RM500k property. Our time, no zero entry packages, loan tenure max 20 years and interest always BLR +x%

And look at Gen Y salary. Some of them before 30 year old hit RM10k already. Gen Y should appreciate the good times they are enjoying now. Be more patient. Don't expect to buy property right after graduation. Your turn will come eventually