For me, a good investment would be where the rental more or less covers the loan repayments.

For every 100k, I would expect somewhere around 500 in rental.

Based on experience, I would go for lower end properties like shop apartments costing below 150k in the subsale market. Rental for these in a good area would be around 600 to 700 per month.

For some units, I manage to get more than 10% roi.

For low costs, there will be restrictions in purchasing and you will lose out when you will want to sell, prices of low costs properties do not increase that fast as your pool of prospective purchasers will be much smaller.

I will suggest to look for shop apartments in good locations where it is easily rented out.

Right now RPGT rates are high and market is quite stagnant. If you buy to flip it will not be worth it.

Best to buy to collect rent for at least 5 years before you sell.

To me, there is money to be made whether economy is good or otherwise.

Your statement is too general to comment on but if you are able to find a good deal and you have extra cash lying around, then why not? But based on the assumption that the rental can only tally in 10-15 years time, I will definitely skip such a purchase and look elsewhere.

In a slow market where some are desperate to sell, you will be able to find a good deal. This will be the best time to buy.

As for me, I have totally skipped the higher end market and only focus my search on properties below 300k. Most of the time, shop apartments around 700sqf in good locations fits the bill. Such properties will be easily rented out as it caters to the "needs" market and not the "wants" market. Economy good or bad, people will still need a roof above their heads.

My 2 cents.

Yes, why not. For the right price, I would definitely consider selling it.

I know for a fact that shop apartments appreciate in value as well. How fast will depend on location.

I bought a unit at 100k in 2012 and the last transacted average price now is about 170k. In one case, a borrower even managed to get it valued for 200k.

I am not concerned with the poor hygiene/cleanliness issue as I am buying it not for own stay but for renting it out. Based on what I see, these type of properties provides the highest ROI due to low maintenance charges etc.

For GST, it is based on usage of property. Even though it is a serviced apartment built on commercial title, as long as it is meant for and used as a residence, it is exempt from GST. Easy way to check will be to have a look at the principal SPA. If it is under Schedule H of the Housing Development Act, it is meant for residential and if used as such, there should be no GST charged by the vendor on the purchase price, regardless of whether the vendor is registered for GST or not.

see page 12 on usage of land. http://gst.customs.gov.my/en/rg/SiteAssets...5%20%281%29.pdf