RM100,000 isn't much these days to invest. Any fast money is risky, stock market is risky if the money is hard earned. Invest in good return real estate needs more than RM100,000. I would consider to loan money from bank if possible and invest RM50,000 in business. Work the hardest possible than other ppl, have good attiutude, focus on what you doing, and be nice to ppl, I am sure your investment will double in no time and it is long term plan. Any business can expand and well known, just depend on how you manage it.

hahahah so by definition only midgets have insurance? Coz 10 out of 3 requires some real tiny ppl

jokes aside, Sg Japan and Korea have penetration of abt 80-90 % while we're languishing at the bottom with no protection. Hope bancassurance and TuneMoney help bring this within reach

With respects to dreamer, his formulations would mean that if you can pay less to rent, you'd end up with no proprety at the end of the day. Might as well kick up some extra money to be able to afford to own the house rather than rent in perpetuity. That's where opp. cost comes in. You have to calc. the profits you get by either choosing between the home or another investment.

Oh, and consider selling the house and rent once you're retired. <runs into a trench to await flaming. "Flamethrower!">

<<Money isn't everything. It's a means to an end but it should never control your life.>>

Right idea!!

<<I'm wondering though, is it possible to pay the entire amount for the house? Is it worth it? Because if I can find a medium cost house, I might share it with a family member to pay for the entire house in full so no loans will be applied. Just wondering if it is a wise thing to do.>>

1) If you buy a house and pay in full, you will be audited by income tax.

2) What is medium cost?

3) Keep your money and shop around as to where do you want to live. Wait for recession or for some desperate house owner to sell house at low price.

My point is YOU WILL LOSE MONEY on the house that you bought and lived in. And, please calculate how much that is. But,

<<Money isn't everything. It's a means to an end but it should never control your life.>>

If you think if it is worth it, then you buy.

NEVER NEVER buy a house to live with an illusion that you will make money. 99% of the time, it does not work out. And, that is the problem with most people. They SPENT TOO MUCH on a house that they cannot afford. Then, they get into a debt hell that they can never get out for the rest of their life. They worked for the bank for the rest of their life to pay that house off.

Dreamer

Thanks dreamer101 for your replies.

1) So being auditied is a bad thing, am I right? Never paid any land taxes before, not sure if house is considered as well.

2) Medium cost to me would be around RM80k - RM130K. I might be willing to go up to RM150k if it is really worth it and I can source other funds from my family. But I'm trying to find something within the RM120k and below range.

3) I've thought about this and I am keeping an eye around my neighbourhood and nearby housing estate as it is where I would like to live in. Problem about desperate seller is, I'm afraid I might inherit the problems by the previous owner, like debt collectors, bad luck or even supernatural forces. I guess it come with the package.

I've been looking and asking around about what to do with my money from close friends and relatives. Most ask me to get ready to settle down but keep a good part of it for emergency and investments. Settling down meaning, buying a house and a family car.

I've also let my friends know that I am interested in businesses they run or have contact with. Just to see how it runs and test the waters. No commitments as yet. But it's kind of hard to commit money into a business I have no passion about, so I'm still a little doubtful about it.

Job vacancies has been a bit slow so far, but I'm hoping it would pick up after Chinese New Year, so I'm not that worried about it at the moment. Planning to take up a Diploma course as well to back myself up and to sort of certify my experience.

This Chinese New Year has so far been great and I believe it will get better. So I hope I can do reasonably well for myself and I wished everyone celebrating a Happy Chinese New Year and Prosperity to all in this coming years.

Thanks again for all the comments and suggestions from everyone. A lot of good points I feel has been shared and I feel some other souls can benefit from the ideas in this thread.

1) If you are audited, you need to PROVE where you get the money and why you are not paying income tax on those money.

2) Have you budget in around 30K to move into a house? Those cost include buying all the necessary appliance?? Do you have money left to do that after buying your medium cost house?

3) You can ask and do all those research before anyone is selling. That is why you survey the area for a few months and up to a few years before you buy.

Please buy as little car as possible. And, if you plan to have kids, DO NOT BUY a hatchback. You will be forced to buy a new car when you have kid.

Dreamer

just curious why not bring your partner overseas too...then got some life lor...
btw, your english quite good ah.... better than most fresh grads here...

I think 80-100k is considered low cost. In this range most of the apartments are arnd 600-700sf and you'll find quite a lot of indons and bangla. I mean KL house prices btw. If you're talking about other states, then i donno. Ipoh houses are quite cheap though.

This post has been edited by PowerDunk: Feb 21 2007, 01:33 PM

in penang most medium cost apartment with 3 rooms is about 90k-130k!
so expensive ...u can buy terrace houses in slangor i suppose!!

1) Ahh no problem then, already proven since I worked outside the country and I'm taxed there, so I won't get taxed again in Malaysia. I've checked this once and I'm sure it still holds true, but I will check again when the time comes.

2) Regarding house renovation and such, I've only factored in about RM10K or so for some simple renovations, since most of my furniture from my rented house will be going to the new house. Of course for older homes, I would need to fork out more for renovations and paint. As this won't be my 2nd home, most of my furniture from my rented home will be reused and it should be sufficient for another 5 years or so.

3) Yeah very true I suppose, no reason to go in blindly and inherit every problem that made the seller desperate in the first place.

Thanks for your feedback and suggestions dreamer101, I really appreciated it. I'm still driving a small car so it's no problem. Will probably upgrade it to a slightly bigger car if I start to have kids. What's wrong with hatch-backs? Too small?

Fortunately my partner is currently in a comfortable position where she works and she likes to be near her family so it has been pondered upon and the decision was that she maintains her status and I should be the one to see how I can improve my situation. If my plan backfires completely, at least she still holds a stable position for both of us as we ride out the storm.

English SPM onli leh But thank you for your compliment. I guess it's because I speak English to everyone I know. Unfortunately my Chinese language is not on par with my English. Some people call me a 'banana'. (Yellow outside, white inside.)

Yeah, I believe what you say is true, for KL medium cost would be in the range of RM160k - RM300k. Thankfully my hometown is still affordable so I hope to find one nice place to live in that fits my budget.

Billy,

1) Do you have something in black and white aka documented proof?

2) This might work

3) The home owner is desperate to sell NOT because of house problem but due to personal financial problem. Check to see whether the house has ever been flooded too.

Hatchback costs about the same as sedan but it is two doors and too small for a family. Many had bought a hatchback when they are single and think that it looks good. Then, they were forced to trade/bought a new car when they get married and have kids.

4) Sound like you have a good plan.

Dreamer

wah which part of selangor are you talking about la, even my place in KL terrace houses are goiong for 250-350K. 90K -130K is expensive?

u should invest in stable and reliable top companies in the world
return much much more than FD
somemore got insurance coverage as well
if u interested to know more kindly PM me

on low times at least 18% and high times is 20%-30% per yr


regards,
LittleDiana

he's talking about the outskirts like rawang etc. my mom bought the house here at a cost of rm 175k and it's a double-storey terrace house. (bandar country homes,rawang)

if i were you, put in FDs. Split it to each RM 10,000 and tenure 1 year. Do not expect constant return in any money investment (like unit trust, commodities, business, stock market bla bla bla). Since you are coming back for good, many costs are unforecasted and make provision for that. Be conservative until you monthly paychecks able to cover your bills.

Wait for KLCI to crash and panic. Ready to buy from one year after crash date. Buy blue chip with strong cashflow and sit tight for 3 years. Here you go and from RM 100,000 cost hopefully will triple your money. FDs probably will yield very low return but i suggest you wait until better oppurtunity arises.

my 2 cents

Planning to start a family? Better keep that RM100K for a house and renovation and your wedding tables instead. Since one year long way more to go, can try taking RM30K to do some small business, and see how it goes. And after you kau tim the house and everything, if there's balance, then you might consider doing some professional courses.

Yup, I'm following what the others have advised me to do. The current stock market correction is making me excited and am looking at some blue-chip stock as an investment opportunity when the price drop some more.

For me, I will not put into fixed deposit already... previously i put into the fixed deposit, actually now i feel i wasting money.. i should go take the money into investment...

I also wont put the money to buy stock... lately the all stock really gone up very high, too high, it not really a bargain and good for value buy... once the stock market come down, u never can recover the money you invest at the first place.. you may wait for 5 - 10 years...

I also wont invest in business now except you really have a good idea business because the current situation in Malaysia, there are all kind of business already available.. dun have anything that people not yet did it... except u really have good idea for ur business la... the best business is in the food industry but it require ur food to be good and in a good location..

I will recommend you to to put half your money into unit trust.. n half of your money use for your education.. Unit trust is a more secure investment and you must choose wisely, there is high, medium and low risk... take medium risk because 60% will be put into the stock market and 40% will be in fixed deposit.. if the stock market really drop, u still got 40% in ur fixed deposit... you monthly also can deposit more money to buy the unit trust when you see the price drop and increase more in future... "buy cheap, sell expensive"...

You also should invest in ur education... in the future, all the people in the street will be a degree holder.. experience is a important factor, however in Malaysia, degree or a certificate can be a determined factor... if you want to change job, you will face difficulties except people come to u and recruit u... ur current boss also will take this opportunities to abuse u such as low increment, no promotion and a lot of work because the boss expect u cant find other jobs and never leave the company...

this is only my advice and my opinion.. thanks...

Your statement contradicts itself. Buying unit trust (equity) is same as buying blue chip stocks in the market since the unit trust money you put in will be use to buy some blue chip stocks as preferred by the fund managers.

How about tryin this one out www.enrichclub.biz ??

Of cos, it is wise no to dump all of your 100k there..perhaps you can start small and see if they are real