Property price Down Down Down again?

Johor govt bailing out unsold bumi units?

Imno,
any transactions for the purpose of transfer (speculation) will not increase the total wealth of society, and that will not bring benefits to society.

So my understanding is when people buy something for sale/rent (temporarily giving out ownership) and not for their own use (long term ownership), the bubble is produced.

As long as there are transactions, there will be bubbles produced in certain time when speculations is over the real value of goods. It's unavoidable "but good" for the market, because speculation in the market=liquidity.

When the liquidity gradually vanishing, and there are too many speculators with goods in hand who suddenly need money while they couldn't find the opponent takers. The price of goods gonna down fell or even worse.. until it burst, we'll never know.

Just the same theory apply to crypto and stock market, so does property market. Price correction is meant to be happened, but is this a beginning only?

This post has been edited by heavensea: May 3 2017, 02:30 PM

well... we wont know those speculator can hold how long... and how many are speculators and how many are followers... lol.... generally.... we need to see how many properties coming from DIBS going to be on auction... we will know how significant is the drop already....

Supply VS Demand. Will follow the country economy or stock market. I do not have database figure. Today is rental market. If you are scouting for a place to rent now, you will have plenty of choice to choose from. You just need to find owner that are willing to throw price. Yes, there are still those rather leave the unit vacant than to drop from the old prices.

So when will it be rock bottom price? Unless you can foresee the future, we can never know. Only speculate like stock market.

But generally the rule of thumb is property prices will increase in according to inflation. Cost of constructions, raw materiel, etc increase.


p/s: my 2 cents view. another thing is population keep on increasing as well. so people will need to find a place to stay. be it renting or buying.

In the long term, property price track inflation rate. However, drastic price rise in 2011 to 2014 has deviated substantially from the long term price trend. property price will either drop near long term price trend or remain stagnant for inflation to catch up before could rise at about inflation rate again.

population growth rate has slowed in this country and by 2030 will become an aging nation. hence, future demand for property will be lower than most expected.

Every week has auction of newly vped (within 2 years) property.😔

Govt affordable housing is killing budget condo owners (investors)😔.

Malai jadi aging nation like Japan?😔
Japan popoti price/sf dropped from 200k yen to 7-80k yen. (after the bubble burst)

Btw why my thread being reported? Is this not allow to discuss random topic like this ib property section? (Violated forum rules? Should I request mod move it to kopitiam/serious kopitiam??)

This post has been edited by heavensea: May 3 2017, 02:36 PM

Waiting for Maxim Citylight to appear. tagging taikor Sentul area Endless_tale

it is also possible that such speculation create devaluation of another instrument, which is money. in other word, inflation. end up real value of house remains the same relative to the rest of the economic asset values, only money value falls. therefore, no bubble, but money devaluation instead.

i guess its belongs to serios kopitiam ba... haha... or kopitiam... because previously similar thread always gt reported and moved to kopitiam....

A significant income of Lyn is from property developers. Mod won't allow negative sentiment in property section.

What? U tagged me for what? I didn't speculate property also. I keep because I cash so much.. dunno where to spend..=) hahaha joking.. xD . I dunwan end up regret for not buying property and my age is high. Better buy something rather than near retirement age end up can't get loan..

This post has been edited by Endless_tale: May 4 2017, 12:32 AM