I will move and stay in the biggest house,
and keeping the current smaller house for rent out...
so are u suggesting buy 1 more smaller 1 for investment? hahahaha

market now quite disaster le better rent it out

Yes, this is what i mean.

great! that is my plan B actually.... that y still looking around
but so far what i see is "small in size not equals to cheap in price"!! hahaha
only "location" does the matter 

Slowly search. Time is on your side.

Agreed. But value of money is getting old (low) too... hahahaa

Yes, I believe I already listed out my options
A) Sell it (loan fully paid, market price is 400k) to reduce my new house loan?
B) Rent it (loan fully paid, market rental is 1500) to cover my new house maint. fee (500/mth) even after i retired?
C) Sell it and buy another one for better rental (above 1500)?
C1) Sell 1st, so can buy with lower house loan (600k-400k)?
C2) Buy 1st, sell later. Now have a lot offers with 0 down payment and high rebate?

and I totally agreed on you after I visited some new property projects,
- good location with small size will be at least 800k
- far location with medium size will be at least 400k

Dude this is not calculating.

This guessing. If you reduce your house loan.

RM 400000 You Save RM 17200 RM 1433.33 a month

Rent RM 1500 X 12 = RM 18,000 minus maintenance of the house averagely 4 months a year.
Legally should declare -26% income tax. You earn RM 8880 a year without consider house appreciating.
So your property must appreciate RM 10k a year when you sell it to make more money.

That is why i am listening to some one like you for guidance and suggestion.
However i camnot catch what you mean from your calculation, are u suggesting me to sell/buy/rent?
My situation is i soon to settle my 1st house loan, and going to move to bigger new house, so planning to rent for some extra income, or sell to buy another house for better rental.
So what is that saving of 17k, 26% of income tax and 10k appreciation coming from? Sorry for my dummy questions, i am learning.

after calculating you find you sell and keep cash in bank .. (in your current house loan) then later buy another property when market is better.

You can sell it if you want!