well, the interpretation can be...

"in lyn, a random poll suggested that 62% are still invested and do not think prop prices will fall or prop market will slow down."

Yes I am ....

so pray tell what type of assets are you having now... 

Go look around what is the lowest now is probably what I'm holding now. The intelligent investor know to buy low and sell high.

Those who believe property never drops below launch price are fools. I bought so many properties in 2006 below the owners' original prices from developer from 1997!

U bought 30% below launch price in 2006 after 10 yr launched(1997)
Have u make money from tis property?. If yes, maybe u should say thank q to them instead of fool.
If not becoz of them. How can u make money, right?

Yes, should thank the fools. But they are still fools sorry to say, it is capitalism! They are not Rawang, many in Penang, especially those projects by Goh Chun Lai!

No increase in interest rate. My cash n fd continue to loose more to inflation n exchange rate.....want to convert it to equities or property people say high risk. Got fxxked standing straight.

    30% of top richest in china are fools now.

the further ringgit depreciate, the higher property price will go...property is the best hedge against inflation

No crash laa. Those lelong house are because of bankrupt businessmen during 1998. A few happened in my area. People who went all in into stocks but then KLCI dropped from 1000++ to 200++!!. But my house still intact and i dont think it dropped.

If rent is enough to cover loan repayment,  most if not all tenants would have bought.

Many inexperienced landlord tend to neglect agent fee, idle time, repair cost, etc.

Of course i am using 400k as the value of the property instead of 600k. I mean make sure that the rental covers ur installment. So if 600k u should maybe rent at 2.7k and get a yield of 4.5%

i have to agree with you on your point with regards to 3% yield + capital appreciation...

to me...if i can get 3% yield and then on top of that capital appreciation...it is definitely way better than FD already...

so at minimum, if i can get a 3% yield for a property...that is good enough....at minimum...

Nothing goes up forever, nothing goes down forever.
Remember how one barrel of oil cost USD140? now it is USD80.
Remember Gold? Peaked at USD2000, now USD 1250/oz.

There will come a time when property price crash,
the most important question is, can the person continue to service the loan in a crash. if he or she can, then it is irrelevant if it crashes.

gd opportunity come and go vely fast 1. Monitor closely. No need to pick date like getting marriage 1.
if wait for lelong hor.. need to plan 12-18 mths after clear sign of econo crisis heppened... most peoples are at deny stage and can hold for at least 6 mths, and banks need to take few mths to process and get court order bla bla ..... it may take longer time if too many cases as same banks may decide to "sell" their default outstanding to 3rd parties, smthing like Danaxxxxx during 1997 crisis.

Hi Bro, when we borrow loan from bank, is the property shows under bank's tangible asset in balance sheet ?

i thought it should be under loan receivables? ...so there is no overvalue or under value issue...as long as client is continue serving their loan, good track record, then it is not a doubful account ....

my knowledge is limited. thanks for enlighten me...

Underwater property is not new phenomena, it happened before in HK properties severely back in 1997, and just years ago in US property.

Bank generally do not want to foreclose the "underwater" property.
As long as borrower service the loan, they are happy to status qou generally.

As in an "underwater" property, borrowers can be best to walk away the property, the let banks foreclose it.

Eg. A property previously 800k, with monthly loan 4K,
Now the property only worth 500k, which now 3k (just simply a number)

If the borrower willing to service the loan at 4K consistently, banks are happy to see it instead try to tell the client to top up the collateral margin which might lead to foreclosure, whereby bank only can recover 500K instead of 800K loan amount. A 300K NPL potential incurred, which in massive scale (as banks could have ten or hundred thousand of similar borrower) which could bring down a bank as well.
But if the borrowers still paying 4k every month, NPL won't incur in the bank book.

In this kind of situation. borrower can choose to walk away the property, and save 1K every month which technically is "burned" away in an "underwater property,  the borrower is paying at the valuation of 800k.
Or in other word, the borrowers are paying 800k that only worth 500k currently.

There is reason why bank reluctantly to give full valuation on properties in recent years, as it gives margin of safety for the collateral issue for the bank besides the valuation issue.

If u r so good.

why cant u point out margin call is not accounting rules?

why u asked question with accounts clerk knowledge? ...

oh your name is blowwater. No wonder! :p:p