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 Auction properties

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icemanfx
post May 3 2019, 09:05 AM

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QUOTE(Harry_Bobinski @ May 3 2019, 09:01 AM)
With your calculation, this is what I have deduced. Say that we are loaning 650k for our property. To simplify the calculation, by the end of 35 years, in order to leverage this loan interest cost incurred, the house has to be about 650k + price of when you buy the house?
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This could be found in loan calculator at some banks website.

QUOTE(New Klang @ May 3 2019, 09:02 AM)
So you have been mocking the 96% of the population?
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Not at all, just a messenger stating the number.

This post has been edited by icemanfx: May 3 2019, 09:10 AM
icemanfx
post May 3 2019, 10:28 AM

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QUOTE(lucerne @ May 3 2019, 10:02 AM)
rental can cover the loan interests if you buy in the right location. as for my case all my rental (full furnished) can covered bank instalments ,  just need to invest time n money to furnish it,  as the return are attractive.
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How much down payment (non loan) you put down?
icemanfx
post May 4 2019, 09:40 AM

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QUOTE(Bjorn1688 @ May 4 2019, 03:22 AM)
5-6% on a 90%LTV
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At 4% p.a loan interest rate and 30 years tenure?

This post has been edited by icemanfx: May 4 2019, 09:40 AM
icemanfx
post May 7 2019, 09:48 AM

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QUOTE(W.ROOK @ May 6 2019, 08:23 PM)
Wow, even with added rooms the owner failed to hold on to the property. No takers for the rooms?
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QUOTE(leodinouknow @ May 7 2019, 09:37 AM)
thats why not everyone suitable invest property. dont know strategic to rent out to minimise the risk. holding too many risk end up hurting self.

except you cash rich able hold very long without tenant
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If there is acute shortage of supply, tenants may don't have choice but to accept partitioned rooms. Given supply>demand, unless there is a significant discount, why would one choose to stay in a unit with more people?

icemanfx
post May 7 2019, 12:02 PM

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QUOTE(leodinouknow @ May 7 2019, 11:46 AM)
you must havent been stay in theme room before, only one in the area. pay for it or go away
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Theme or funky i.d may seem intriguing but won't last long and not everyone like it. For reasons, established hotel operators don't deviate much.

icemanfx
post May 18 2019, 01:41 PM

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QUOTE(Bjorn1688 @ May 17 2019, 12:29 AM)
She had a cannabis addiction, picked it up from him as he was tested positive for it too. Only thing she was hauled up while the company he worked for didn't want a scandal or hot potato to deal with so had him bailed out and whisked home.
I was furious because how I first got to know about it was a neighbour told me there were renovations going on at my unit.

I called him, he said he was trying to hang a picture frame and that the neighbour was exaggerating.

They I received a call from the building manager to inform me that there had been an incident.

I went over and police were there. I was furious at that time.

These days? I view it that I have an essentially brand new place since most things were replaced and the company agreed to cover 75% of the repair bills, paid the remaining 8 months rental on the contract, told me to retain the deposits and paid a further 3 months rent in goodwill in exchange for the matter to be "forgotten"
He probably felt that way am sure. Not sure if she did hehe.
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Sound like Uber corporate culture.
icemanfx
post May 25 2019, 12:50 PM

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QUOTE(Wild Honey @ May 25 2019, 12:11 PM)
There should be fees incurred everytime it goes to lelong. Probably that's the reason why the owner sold it. Plus, the costs borne is actually lower if sold through subsale.
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All cost incurred in foreclosure is borne by borrower and is not cheap.

icemanfx
post Jun 15 2019, 01:06 PM

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QUOTE(AskarPerang @ Jun 15 2019, 12:43 PM)
THE number of properties entering the auction market as a result of default payments is expected to increase in the second half of this year, a valuer said in early May.

A source from a bank confirmed in late May this may be the case.

Banks begin foreclosure proceedings if borrowers default for three consecutive months instead of six as was previously, the bank source says.
The other difference Leong has noticed between then and now is the rise in high-end units in today’s auctions. In previous years, most of the properties were below RM500,000. Many are RM500,000-RM1mil and above today.

It takes a longer time to sell. Before, a property can be sold after the second or third round. It takes three to four rounds to sell today, with a 10% drop in price for each round, Leong says.

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Banks begin foreclosure proceedings if borrowers default for three consecutive months in compliance with mfrs9.

Cross default if implemented will be the killing blow to many stretched flippers.

This post has been edited by icemanfx: Jun 15 2019, 01:23 PM
icemanfx
post Jun 17 2019, 09:19 AM

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QUOTE(se800i @ Jun 17 2019, 07:48 AM)
that means bank will lelong the unit if the monthly installment not being paid for 3 consecutive months instead of 6 consecutive months previously?
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Not necessary 3 consecutive months of non repayment, 3 months of non repayment is considered npl. Bank will commence recovery process e.g recall facility and may end with auction and bankruptcy proceeding.
icemanfx
post Jun 17 2019, 12:06 PM

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QUOTE(se800i @ Jun 17 2019, 10:00 AM)
so strict now ar the bank?
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BNM guideline.

icemanfx
post Jun 21 2019, 05:42 AM

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QUOTE(Lelong King Jeff Low @ Jun 20 2019, 10:38 PM)
This was happen on last week RHB night auction.

There was a bidder registered for this office lot BUT he refused to win at reserved price when he found out he was the only bidder for this unit.

Obviously, he want to create the unit "UNSOLD" and further drop 10% on next round. Even Tauke from auctioneer also unable to convince.

Please remember, bank are as smart as you, bank won't drop 10% in this case. Why bank will drop 10% when there know got bidder registered at this reserved price? Yes, next round reserved price are maintained same as last round.

You think he still can be single bidder on next round?
Whether bank will drop 10% on next round is depending on priority; whether the speed or value of recovery is more important.
icemanfx
post Jun 30 2019, 01:27 PM

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QUOTE(sweethelwa @ Jun 30 2019, 01:24 PM)
All the pictures are actually belong to the owner, he adv it in mudah, iprop, etc tried to sell it at 565,000 somewhere in April, May.

Dunno what this agent try to do by uploading nice2 pic, fake hype?
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If the owner has been realistic, his loss could be lower. May be he is a strong uuu herd member and was hoping to catch water fish.

This post has been edited by icemanfx: Jun 30 2019, 01:29 PM
icemanfx
post Jul 10 2019, 10:01 AM

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QUOTE(Lelong King Jeff Low @ Jul 10 2019, 08:56 AM)
Beneficial Owner : Jamal Bin Md Yunos
No. 358, Resort dan Restoran, Jln Pantai Redang, Kg Baru Sg Labu, Sekinchan, Sel.
**13,509 sf, Resort and Restaurant, Malay Reserved
**Auction Price :RM 4.5 mil
**Auction Date : 15/7/2019

user posted image
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unless the borrower could find a white knight, auction is likely to go through over 5 rounds.

icemanfx
post Jul 10 2019, 05:55 PM

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QUOTE(michaelchang @ Jul 10 2019, 05:46 PM)
we could probably see it drop below RM$2.5 million due to Malay reserve land and samseng previous owner
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You are very generous.
icemanfx
post Jul 21 2019, 11:16 PM

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QUOTE(AskarPerang @ Jul 21 2019, 10:25 PM)
Another astonishing bidding scene happen yesterday at CIMB mega auction.

Case#1:

S1-11-03, D' Sara Sentral, JAlan Welfare, Bandar Baru Sungai Buloh, Seksyen U19, 40160 Shah Alam
Reserve price: 🔥🔥RM 252,000🔥🔥
Leasehold
504 sqft, 1 car park slot
Auction : 20-Jul-2019 (Sat)
*Non bumi lot
*Vacant brand new condition unit
*Possible required commercial loan (coz is a SOVO)

» Click to show Spoiler - click again to hide... «


Attracted 5 bidders.
Unit sold at 352k. Crazy bidding. 100k increased in price. sweat.gif

Last month at 280k nobody interested.
Plus hearsay this unit still got unpaid outstanding GST amount = 25k.
Good luck to the new owner.
Case#2:

This office unit Menara RA: https://www.lelongtips.com.my/property/5895...ur-for-RM199100

Previous Auction(s) for this property
Auction Date  Price
2019-06-29      RM226,800.00
2019-06-10  RM252,000.00
2019-05-18  RM280,000.00
2019-04-20  RM311,100.00
2019-03-30  RM345,600.00
2018-06-30  RM345,600.00

Attracted 8 bidders. Sold at 312k.
Why so many previous previous rounds before this no one interested?
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Typical pitfall of auction, bidders often carried away by emotion.

icemanfx
post Jul 23 2019, 09:54 AM

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QUOTE(ahkit123 @ Jul 23 2019, 09:21 AM)
Owner should b able to sell off at this price instead of auction.
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Believe they tried at market price.

icemanfx
post Aug 5 2019, 09:46 AM

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QUOTE(BillCollector @ Aug 4 2019, 04:12 PM)
Owner of 5 landed houses that I bought through auctions over the last 10 years.
All of them were below market value and for a reason. Some had been through several rounds at auction.
Some pros and cons as well as tips :-
+You can get a house below market value and sometimes you do strike gold.
+You never know what you get inside. It isn't always as empty as you would think it is.
-You cannot check out the interior. If you own a drone you could use it to take a look from the windows which might give you some clues.
-You have to move very quickly.
-You do need to do your ground and home work thoroughly and know what you are getting yourself into and who assumes what, this is especially so with unpaid taxes, utility arrears and strata maintenance fees.
-Have to check for caveats.
-Is the owner still living in there? If he is expect trouble.
*If you are using leverage and will need rental to cover the mortgage or require a quick turnaround time you better not buy at real estate auctions and you might want to consider if your stamina can last up to a year with no income.
*Do you think you are smart? Many are smarter than you. Check out why it hasn't sold in previous rounds.
*Visit the premise more than 1 time and especially at nites.
*Plenty of frauds going on lately as the whole industry is beset with syndicates and crooks.
You can read about my experiences in the spoilers if it is off interest to you.
House 1
» Click to show Spoiler - click again to hide... «

House 2
» Click to show Spoiler - click again to hide... «

House 3
» Click to show Spoiler - click again to hide... «

House 4
» Click to show Spoiler - click again to hide... «

House 5
» Click to show Spoiler - click again to hide... «

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Great sharing. A student of similar business model in property; buy when blood is knee deep on the floor and there is no short cut to make good money.

If you are not in the construction industry, will need a reliable partner and a lot more effort and time.

This post has been edited by icemanfx: Aug 5 2019, 09:51 AM
icemanfx
post Aug 20 2019, 10:02 AM

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QUOTE(heavensea @ Aug 17 2019, 11:35 PM)
Bila ekonomi kolapsi dan 200psf?
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QUOTE(heavensea @ Aug 20 2019, 09:59 AM)
Waiting for 200psf.
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Beware of what you wish and you may get more than what you wish.
icemanfx
post Aug 29 2019, 03:01 AM

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QUOTE(AskarPerang @ Aug 29 2019, 12:48 AM)
Latest reserve price actually drop to 504k now. Possible to drop further 10% each round if nobody interested.


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If the borrower had let go at outstanding loan amount in subsale, his losses would be limited. Bank will recover shortfall from him, not sure how he is going to live to fullest.

This post has been edited by icemanfx: Aug 29 2019, 03:10 AM
icemanfx
post Aug 29 2019, 05:52 PM

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QUOTE(ahkit123 @ Aug 29 2019, 05:35 PM)
I think he cant sell even at loan amt due to location problem, pub & brothels. Puchong seems like a lot this kind od business with extra services. Pity him
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Mean current market value is significantly lower than $620k purchase price.

This post has been edited by icemanfx: Aug 29 2019, 06:07 PM

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