Need to add in 20-30k for reno, bare unit difficult to rent out. So any party can give fair value to the property in Malaysia now?

This post has been edited by jhuitan: Jul 8 2017, 04:35 PM

I think TS unit is furnished or partly furnished by developer. thats y i didnt factor in Reno cost

By experience, less than 20k can somewhat turn to almost fully furnish if its a bare unit.
Need to be smart in shopping for furniture and electrical appliances.

Some i heard just use rm15k..

This post has been edited by twincharger07: Jul 8 2017, 04:44 PM

Ok, still need some time. Need to fix defects first and install basic things like fan and light. If I can find good tenant then I will rent, no plan to use agent as I will post ad at mudah and bilik. Got friend rent using agent and faced lots of issues as tenant default payment and refuse to move out.

getting a proper Tenancy agreement is the vital key to resolve dispute between owner and tenant. Just make sure it is being done properly if you choose to engage it yourself.

Cheers..

how a tenant default payment and refuse to move out are agent's fault?

Wah.. so many prop sifus gather here. Wish to ask all sifus, what is your forecast rental in the next 5 years as there are so many RumahWIP, Prima, PP1AM unit VP later? Will the rental of a unit of size lesser than 1000sqft to only gain a rental of RM800 per month in 5 years?

Props for investment are Afterall a biz. Move on if not willing to rent. Treat it as bad debt.

Agent only wants commission and wont care the quality of tenant. Hence I hv bad impression on agents

I already plan for the worst when I bought this condo, as long as I am working I will hv no issue. But if I jobless I hv to fire sale it

For bkt puchong Pls do consult ah lard

He sibeh gungho of his con project there

Smart move .....

I guess your 6sense can tell who is good n bad tenants......

Funny the blame would go on agent when owner is the one who sign the offer letter to rent to the prospect. The agent don't decide who you rent to, is the owner. So why blame the agent and not the owner?

Better u rent first. Didn't u think about this beforehand?

Owners have the final say on which tenant they want.. Agents are merely finding the match, doing the groundwork, bringing prospect to view your unit when you don't have the time.

Unless your friend is the one who desperately renting out the unit without screening the tenant properly.

There is a higher chance of getting better tenants with a good property as you can pick and choose from a pool of tenant that want to rent from you.

Those properties with lesser tenant demand where owners are likely to be more desperate.

If an owner willing to take a risk to buy a property with uncertainty and lesser demand, be prepared to take risk of what sort of tenant you will get as well..

This post has been edited by twincharger07: Jul 9 2017, 12:01 PM

Hmmm agents are only tools for owners/buyers... the decisions eventually belongs to you

Anyway as widely suggested... renting out 1st will be wise... and actively looking for buyers in the meantime will be good

Cutting loss is as important as entering into an investment... when your investment doesnt serve your purpose... better to cut (hopefully minimal loss) and reload to fight another day

But of course all these depends on many factors, since we don't know the full circumstances

Rent out, suffering f -ve.
While hopefully future can sell by at least breakeven (losing opportunity cost) of your invested money.
If not, bear some losses.

That's it.

Now any new vp condo can make profit immediately? I dont find any as condo is over supply, so we can only rent and hold to wait property boom again

icemanfx

It depends what kind of expectation you have and then determine what kind of property to go for..

I gave you an example:

Regalia Jalan Sultan Ismail launch back in 2007 with 500sqft studio cost RM202k, fast forward today, it is selling RM450k with rental price around RM2000/month
It took 10 years to appreciate from RM202k to RM450k... Gain ~RM250k
Fantastic pool view


Saffron Sentul launch back in 2006 with 1000 sqft condo cost RM225k, fast forward today it is selling RM650k with rental price around RM2500 fully furnish
Pretty good gain over 10 years ~RM425k

Setia Walk Puchong (845sqft) launched back in 2009 with RM320k, today selling at RM500k.. Gain ~ RM180k
Zest Kinrara 9 (1205 sqft) launch back in 2009 with RM250k, today selling at RM550k.. Gain ~RM300k

What is observed is that small unit like studio tend to appreciate much lesser than bigger units
Bigger units which around 1000sqft are more attracted to buyers who want to buy for own stay and own stay property tend to have better appreciation as home buyers are willing to pay for home that they are happy with.
Smaller units are usually bought by investors for renting purpose. Not many buy for own use. Good rental yield but they tend to appreciate much slower.

Another classic example is Casa Mutiara in Bukit Bintang.. the 300sqft studio subsale was selling RM200k 10years ago but only appreciated to RM330k today (only RM130k gain over 10 years in KL city). However, rental is pretty at RM2000 per month.

there are gems around Klang valley like Scott Garden 775sqft with RM400k subsale, rental about RM1800 and i think old klang road still have plenty of potential

Now is subsale market... New launch prices are daylight robbery this days..

Bukit Jalil is another area to watch out.. some subsales are gems.. catalyst like paradigm mall 2 and pavilion 2.. if we only go in after these 2 malls are completed, then it will be too late..

I don't go around new launch gallery these days but rather driving around the neighborhood and searching subsales online..

cheers..

This post has been edited by twincharger07: Jul 9 2017, 09:05 PM

Price doubled in 10 years is 7.2% p.a compounded.

If price rise during property bull run 2011 to 2014 is discounted, price raise is less attractive.

This post has been edited by icemanfx: Jul 9 2017, 09:36 PM