QUOTE(DeniseLau @ Jun 24 2019, 01:42 PM)
I don't think he's neutral.
The rental in the area for soho sized units is about RM1,200 for fully furnished units. I see that it can go as low as 800, 900 but if you place a premium on Meta City for the location, connectivity - I think RM1,200 for the SOHO unit is a fair price. Repayment on 90% loan + Maintenance + Sinking fund is RM1,352.18 assuming the interest rate is 4.5%. So rental income wise, the place isn't that attractive even if you get tenants - unless you really can make AirBnB successful here.
Capital apreciation, yes - it is possible but with so many unsold units around town (25% unsold in Selangor), who wants to pay half a million for a 1 bedroom SOHO in Seri Kembangan? The rule of thumb usually for property is 5% capital apreciation per year, but I wonder if it's really applicable in the current situation?
The rental in the area for soho sized units is about RM1,200 for fully furnished units. I see that it can go as low as 800, 900 but if you place a premium on Meta City for the location, connectivity - I think RM1,200 for the SOHO unit is a fair price. Repayment on 90% loan + Maintenance + Sinking fund is RM1,352.18 assuming the interest rate is 4.5%. So rental income wise, the place isn't that attractive even if you get tenants - unless you really can make AirBnB successful here.
Capital apreciation, yes - it is possible but with so many unsold units around town (25% unsold in Selangor), who wants to pay half a million for a 1 bedroom SOHO in Seri Kembangan? The rule of thumb usually for property is 5% capital apreciation per year, but I wonder if it's really applicable in the current situation?
Jun 29 2019, 07:14 PM

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