better dun have expectation........

just take it as it is.....

Most if not all masonry works in this country is done by semi-skilled or unskilled foreign workers. near perfect finish is only possible if one is building his own bangalow and willing to pay for skilled workers.

even bungalow you also cannot find local bricklayers jor I think........

house price impossible fall down from RM500k to RM300 that mean 40%.
this will make market crash down. gov will not allow it happen

A few houses in Sungai Long already dropped, albeit just recently.

From 900k 3 years back, to 750k 1.5 years ago, now in the last 2 months 650k (20x70 superlink). still no buyers. this is in secondary market.

same goes to cheras mahkota....same trend.

there you go 30% drop. and i didnt know nowadays 20X70 is called superlink

This is the problem.
Media will not even announce market crash or "bubble"
So that agent still putting effort to make buyer market increase by saying "if not now when?"

all they will say now is promotion, good market.

so you know they were selling at >50% profit margin few years ago...I'm sure no one would cut a loss-making deal..so the cost of the house when they first bought must be <600k.

Typically developers take 30% profit in any development. When they sell you at discounted price, they still probably taking 20-25% profit.

The 0% down is a similar concept with those guaranteed x% rental return scheme. It is a zero sum game. Sure they have factored in the 'discounts', which means inflate the selling price and market it as discounted price.

maybe....
just like some hyper will increase price before they BIG BIG BIG DISCOUNT VERY CHEAP A, COME COME COME AND BUY A.....

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This post has been edited by AskarPerang: Dec 3 2017, 09:09 PM

If property market declines, who is do blame?

1) Property developers
2) Property associations
3) Property investors, speculators
4) Sites, media that promote and deliberately make it difficult to express alternative property market views eg. by putting it in hard to find places, relegating it to not important, etc.

fed and state govs not taking the blame?

money (fees) masuk pocket, all cares but no responsibility?

This post has been edited by BEANCOUNTER: Dec 5 2017, 12:05 PM

Why need to blame? It is a great news for most people who wants to buy a house, if property market declines means house prices are going down.

honestly if property market declines and houses prices are nose diving, home buyers in general WONT go to market and buy houses bcos

1. they will wait for price to drop further (which is forever)
2. they too scare to go in just in case house prices nose dive even more.

I think you are mixing up between flippers vs home buyers. Home buyers do not "go to market" (that is for trading) but buy for own stay, so they care less about the value of the house for short term since they are not selling it right away for profit, so if it is a bargain they will snap up (I would).
Flippers, on the other hand wanted to maximise profit, hence they will not enter the market when sentiment is low, because chances are they will be unable to sell anytime soon, unless they have the holding power.

if your theory holds true, then there wont be any bubble jor.....

bcos all ownstayers will sapu whatever houses in the market when prices dropped by 20 or 30%.......

I'll blame fake prop guru and flippers creating false illusion of high demand.

Housing 'bubble' is different to the 'bubble' in stock market. A failed company can dies off if the fundamental is bad, no matter how long the time you give it. But real estate, on the other hand, will definitely grow. There's a saying "buy more land, they are not making it anymore". Especially in Malaysia where the population is still on the growth. Housing demand will be there, in time.

When prices drop 20 or 30%, the flipper's bubble bursts because they profit less from selling (if they sell) to own-stay buyers, who may get a discount. It is not a bubble to own-stays. But if those flippers has the holding power, yeah, it will still be a good investment, only it takes longer (years) to see returns. It is fine, because usually the prices will go up by more than 100% before dropping a mere 30%, there is still increase.

Remember, bubble don't apply to most of the population with housing needs, they apply to the riches speculating the market. Somehow the media has projected the image as if a bubble bursting will affect the entire population in a bad way.

the last major house price crash in Malaysia was 97-98. there was a massive reduction in house price during that time. unfortunately the majority of the population did not benefit from the reduction of house prices because:

1. Economy was in recession. People are worried if they still have jobs.
2. Banks freezed almost all loans.
3. Even if loan was possible, the loan to value ratio was very low
4. BLR peaked at 12.27% in 1998

Only people that really profited from the house price crash was cash rich buyers who can get really good deals due to desperate owners

The problem with house price dropping by 20-30% in a short time is that banks will be more prudent. If a 1mil house drop value of 20% to 800k within 2 years, chances of getting 90% loan for the 800k is very low because the bank is worried they might not be able to recover the loan if the property goes up for auction.

So the bank might do more risk assessment and decides it might drop by another 30% to 500k instead and offers the buyer 70% of 800k instead, which is 560k. This will mean the buyer have to fork out 240k cash just for the downpayment alone.

Best thing for the market is to let the market decide. I think a price correction is happening now, but it's not something drastic, which means it is pretty stable.