Dear Ts,

PRICE/RENT RATIO GROSS RENTAL YIELD (%)
5 20 Very undervalued
6.7 15 Very undervalued
8.3 12 Undervalued
10 10 Undervalued
12.5 8 Borderline undervalued
14.2 7 Fairly priced
16.7 6 Fairly priced
20 5 Borderline overvalued
25 4 Overvalued
33.3 3 Overvalued
40 2.5 Very overvalued
50 2 Very overvalued

How to calculate this?

"... stricter planning and approval conditions to discourage the over-supply of high end housing and encourage the supply of affordable and low end housing. "

.........

how to make profit?

I think by and large investors should also consider RENTING a property close to their office nearby for convenience purposes.

Meaning to say, RENTERS may not necessary do not own a home or properties. Say someone from Cheras working in PJ. He or she may rent in Tropicana City near to office, and owned a landed property in Cheras where he rented out. He also buys properties for investment rental in Setapak, Jalan Ampang, USJ Subang Jaya and Maluri. All his properties seem to be investable and rentable, yet HE himself rents and want to be close to his GF's parents' home in PJ.

I encountered such person.

If there is Supply and No demand (because loan rejected) = ????? (No Transaction = Market Stagnantation)
  Yup...Couldnt agree more. You are convincing people that the market is still good so that you could sell your overpriced property to feed your lust for profits at the expense of your buyers. Good question, would you buy your similar property at the price you are selling? That is a damn good question.
Just had lunch with a CIMB Bank Loans Head as guess what he told me? He said you could submit whatever Valuation on your property but HQ has already instructed them to approve loans based on how much you are worth (meaning how much you can afford to pay). Lets say you submit your property valuation at Rm700k but he thinks you are only eligible for Rm500k so he will only offer you Rm500k, take it or leave it. This is because the Banks also feel that the price of properties has been overvalued because of flippers and greedy property owners. Up to you on whether you want to believe it or not... but looking at the Loans Approval Rate, there is something to ponder upon.
We never said that the market will collapse or sink. There will always be demand. People are never satisfied with what they have. Be it me or you. But the main issue is, is the BUYING POWER still there? Can the people still afford to buy and service their loans or rather can the people still get ridiculously high loans for their property with their meagre income?