QUOTE(kh8668 @ Jan 14 2014, 07:24 PM)
Buying for future is a bubble, be it property or commodity.Is the bubble finally bursting? 2014, V2
Is the bubble finally bursting? 2014, V2
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Jan 14 2014, 08:24 PM
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#1
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All Stars
21,456 posts Joined: Jul 2012 |
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Jan 14 2014, 08:47 PM
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#2
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All Stars
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QUOTE(restful increase @ Jan 14 2014, 08:29 PM) Yes i am bullish on projects which r located beside mrt or lrt. Boom or bust, demand will b thr for rental. Better still if got mrt n big shopping mall together like tropicana garden and sunway velocity. As if no more development will be allowed near to lrt or mrt stations. |
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Jan 14 2014, 10:50 PM
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#3
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QUOTE(kh8668 @ Jan 14 2014, 10:36 PM) How many gen y like to live in gen x built condo, apartment or house?Typical unfounded reason given by flippers and re agents to bbb. Fair bet you are a flipper holding a number of units. Buying Myr assets won't help if myr depreciate. To counter myr depreciation, it make more sense to invest in usd, sgd, euro and rmb assets. This post has been edited by icemanfx: Jan 14 2014, 10:56 PM |
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Jan 15 2014, 09:53 AM
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QUOTE(kochin @ Jan 15 2014, 09:00 AM) assuming there's a bubble, and properties price plunge. More people can afford to buy and disposable income will increase as pay less in loan installment.may i ask who will be the biggest benefactor? the wisher for huge property price declination, may i ask what is in store for you guys/girls? of course besides the eagerly awaited "I told you so!" quote, what else is in store. care to enlighten me please? thanks. |
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Jan 15 2014, 11:56 AM
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QUOTE(cheahcw2003 @ Jan 15 2014, 10:53 AM) Some of these "players" have been waited since 2008. Local property market is not the only investment option available, they may have invested in other market as may have better return and less exposure to flip-flop policy changes.And invest nothing. Some of them are my family friends. |
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Jan 15 2014, 08:04 PM
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#6
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QUOTE(godlikexioo @ Jan 15 2014, 04:46 PM) It will be no difference, those who being waiting the properties burst and 'Chap Sei Kai' will always in waiting. Coz it will be in 2 situation, Unlike stock or commodities, property is illiquid, it may take 3 to 5 years for price to bottom. In the mean time, better to invest in overseas.1. When the bubble has burst they will also said WAIT, the price will down further it still not reach the lowest price. 2. or else, when the bubble burst they wanna buy, but cant get finance because not banker willing to give support due high risk banker worry it will be bad debt. As long as one doesn't have bad record, have mean to repay loan and can pay deposit, banks will certainly lend. |
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Jan 16 2014, 07:30 AM
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QUOTE(InF.anime @ Jan 16 2014, 12:51 AM) Banks will let the bubble burst? It is not banks duty or responsibility to support price. When price floored, banks can ask borroweres to top up the difference, recall the loan or auction off if is non performing.Imagine people now are buying at RM700-1000+/sqft.. all money are comes from banks. If price really floored, all buyers will default their loan. Bank will be the next to die after the property owners. That time Malaysia might need borrow from IMF like Korean last time and many banks need to restructure or merge lol. You think those bank will let this happen? |
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Jan 16 2014, 09:26 AM
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QUOTE(zephyrus9999 @ Jan 16 2014, 08:55 AM) We only need 1 bank in msia to crash, then the bubble will pop. everything turns tumbling down. A well managed bank will have up to 25% of their loan portfolio in housing loan. In the worst case scenario, 50% of housing loan are underwatered by 30%, will dent the bank assets (25% x 50% x 30%) by 4% only, is well within manageable limits.In these dark times, defaulters will be in number. More properties auctioned but no takers. If recall tons of business loans, we can imagine what happens to gomen income. Borrowers will not even have kangkungs to top up in the first place. And thr goes msia economy derails.. And what makes you think our BNM/gomen let this to happen. Pop unlikely. Reduced demand and fairly constant supply due overpopulation possible. BNM and banks first duty is to ensure the integrity of the banking system, borrowers hardship is only a collateral damage in dark time. This post has been edited by icemanfx: Jan 16 2014, 10:23 AM |
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Jan 16 2014, 11:13 AM
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QUOTE(aberdeen @ Jan 16 2014, 10:53 AM) One of the biggest mistake for investors is waiting too long to start investing in property, whether for own stay or as investment. The biggest mistake made by most property investors are bought at peak, over geared and don't have positive cash flow to sustain through bad time. |
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Jan 16 2014, 02:56 PM
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#10
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QUOTE(cooleq @ Jan 16 2014, 01:58 PM) Of course much more expensive bro. Bigger build up mean quantity of material is more and it's reflex to the total cost. Bigger land area also reflex to the cost in acquire the land. Sum others factor to consider like location wise and the direction of the unit. If phase 2 is bigger land area, higher quality materials, etc, isn't comparing with phase 1 is like orange to apple? |
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Jan 17 2014, 02:49 AM
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QUOTE(SilverSpoon @ Jan 17 2014, 01:04 AM) Singapore is more land scare than kv, any drop in price will bound back in the future. Get ready to invest in sg?This post has been edited by icemanfx: Jan 17 2014, 02:59 AM |
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Jan 17 2014, 08:54 AM
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QUOTE(EddyLB @ Jan 17 2014, 07:42 AM) Like ! If history to repeat, about half of numbers sold were bought by flippers and most flippers maximized their borrowing/potential profit especially those who have profited early.But the DDD camp believes that all UUU campers are all flippers with extremely poor credit rating, borrowing 100% loan and living up to their nose with just 0.5% interest rise will make them jump from 14th floor The perfect storm will come when interest rate rise is coincide with vp of numerous dibs projects from 2015, lower loan to value and conservative valuation by QS. This post has been edited by icemanfx: Jan 17 2014, 10:01 AM |
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Jan 17 2014, 04:28 PM
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QUOTE(kevyeoh @ Jan 17 2014, 11:31 AM) don't underestimate those who really have holding power....i think it is easily more than you think there is... Most if not all sellers asking price won't be lower than their peers or "market price". In many npl, foreclosure cases, borrowers/sellers were still insist on "market price" even came under auction. Hence, price stagnation doesn't mean sellers have holding power.so it may not necessarily be fire sales happening... if you check the market postings on properties for sale, the price more or less still up there.... QUOTE(lamode @ Jan 17 2014, 11:41 AM) a number of them already re-financed their current property(ties) and the cash is sitting at bank, not only they can hold for years, but can whack if got fire sales. This is leverage by any mean and those cash doesn't belong to them. If they invest further with more borrowing, in the event of down turn, it is almost certain they will be the first group to enter foreclosure. |
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Jan 17 2014, 04:33 PM
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QUOTE(brother love @ Jan 17 2014, 04:26 PM) Actually flippers r not tat bad...me used to tink them as greedy speculators...but u know, they helped generate jobs for the developers, give business to bankers but hold all the risk during the construction stages ( especially in the event of a market crash) i tink the profit they made justifies the contrbution they made to the economy...and u know wat, most of them r decision makers, most who missed out didnt dare to buy and overanalysed...tats my opinion frum my obervations...not all speculators or flippers r filthy rich, they took a lot of risk..imagine taking Rm500 k to rm-800k bank loan just to make Rm 100k profit, and market conditions and rules chg all the time ( rpgt 30%)...most people who complains were the one who missed out be oz they slow to make decisions or keep waiting and waiting and waiting This is no difference from betting in casino with borrowed money while depriving other people from affordable housing.This post has been edited by icemanfx: Jan 17 2014, 04:35 PM |
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Jan 17 2014, 04:37 PM
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Jan 17 2014, 04:43 PM
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Jan 17 2014, 04:45 PM
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Jan 18 2014, 06:21 AM
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QUOTE(CK15 @ Jan 17 2014, 11:23 PM) I'm either UUU nor DDD camp. Am not concern whether bubble burst in 2014 or not! Since no one has ctr ovr it, why waste time n energ to worry/guess sky will fall or not? (Btw, I enjoy reading responses frm various forumers!) If one can anticipate the sky will fall, at least can find a shelter.Is it the flipper forumers here caused the property up in local market? I don't think so, instead they r many invisible hands in the market frm all directions (locally n overseas) with tons of CA$H$ n easy access to decision maker$, who can easily fund the projects, or/and buy en-blocks. When so called bubble burst, they still profitable by selling u with 30% disc. Hard to believe! then do more research.... Believe these invisible hands took advantages of zero rpgt to minimize tax, legalized cash and caused initial wave of "price increased". Like retailers in stock and commodities market, most flippers entered the market while these invisible hands are exiting. This post has been edited by icemanfx: Jan 18 2014, 06:37 AM |
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Jan 18 2014, 07:33 AM
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Jan 18 2014, 01:42 PM
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