Hi guys, I recently was offered an investment opportunity in this hotel located in Perak. Its price ranges depend on the level of the floor and size of the unit. It starts around RM180k to 400k. They r giving a 15% discount on the actual amount and a guaranteed 7% returns annually for 15years. After which the terms are negotiable. The interest rate goes up 5% every 3 years after the first 6 years. Assuming I am able to get the full 85% loan, and in view of the 15% discount I won't need to fork out any money for the property. All maintenance will be covered by the hotel. The quit rent and assessment I would have to cover as the owner.

1) What is your opinion on this investment?

2) In the long run will those percentages be sufficient to pay off my loan?

Forget out grr unless u wanna get roasted alive

what happen if the property mgmnt co/whoever in charge unable to pay u?

what is the exit/default clause?

you have to see how viable is the tourism industry in Perak.

usually guaranteed rental return (GRR) scheme already has the GRR lumped into your purchase price.

the interest rate increase of 5% every 3 years sounds lucrative but an audacious claim if not backed by solid numbers.

sometimes if it sounds too good to be true, you'd better take a drive to view the actual location and its future development/plans around that area to assess the situation.

Y u say so?

Y u say so?

how much psf selling ?

if the project gg, then the investment gone because no ppl will buy it after that for own stay..

1. You have not heard any issues regarding any GRR investment projects?

2. Is Perak a tourist hotspot?

3. Invest in things you can control so anything happen, you can adjust and realign. Would you have any control over this unit?

4. Is Perak property appreciate well in value?

Example of GRR scheme:
http://www.theedgemarkets.com/article/unit...ayment-defaults