I bought a Service Apartment in JB last year, and I found out that the market value of my unit is much more lower than the purchase price. I want to know is this normal or i did a mistake? What should I do?

Nothing to be worry. Property price will up and down.

Ppl dont really look at JB highrise. Just like u buy highrise or apartment in melaka, ppl from respective state will laugh at u

Since you already bought it, no point to fret over it. Make full use of it by either staying in or just renting out. If you are bleeding cash monthly and have no holding power, sell it before it drops further.

for stay or investment?

Yes, plan to rent it out first, perhaps just wait and see for another 5 to 10 years

Yeah if you can hold for another 5 to 10 years, should not be a problem. icemanfx correct me if I am wrong

see which location, some is good de.

BBB UUU..
2019 buy 600k.. 2022 can sell 900k, 2025 can sell 1.3mil, 2028 can sell 1.9mil,
2033 can sell 3mil, 2038 can sell 5mil.

TBH, i think it's quite common. usually sold to people who dont have much knowledge to the area. My dad even had a shop unit in a dying mall in job.

Wah bro, haven't seen your name for awhile. Used to buy phones from you when i was younger.
Not doing that business anymore?

from that hatten group? tampoi that one. i got friend fall into the trap too. grr never received, then heard upper floor all ban from going up also. and yes, he purchase upper floor.

I'm not familiar with this GRR concept. Is it listed black and white that this % will be given upon completion?

This is normal. Not only in JB but Klang Valley also.
That's why got developer dare to offer you free downpayment + offer cash back 20% for example.

Example, property XXX price 500k.
Meaning developer sell you at 500k only but able to mark up the price to 650k.
You loan 90% = 585k.
85k cash out, coz developer agreed to sell at 500k only.
So after project completion, of course the market value is not 650k but 500k only.

Is your case same like the above example?
Now wander how developer get the banks professional valuer to overvalue those properties?

And this is exactly why all those overprice projects fall into lelong market now. You are taking much higher value loan. Of course rental not able to cover and negative XXX amount monthly. Or use the cash out money to tahan the bleeding monthly hoping for the property value to increase after XX years.
cc: icemanfx

This is actually quite similar to what they do at Walmart. You purchase 50 dollars worth of item and they will ask if you want any cashback, say you do for 20 dollars, they will name your total purchase at 70 dollars. Basically this whole thing is just letting the developers to act as an ATM machine for credit cards.

It depends on how much spa is overvalued. The issue with many novice investors is sustaining negative cash flow for extended period of time.

Due to different finishing, etc, banks traditionally take developers price as market value. Hence, most if not all developers took advantage to overpriced to include grr, cash back, 10% loan margin, etc.

Understand some banks have engaged their own valuer on new launch and only offer loan based on their valuer's valuation.

Many novice buyers failed to realize the lesser amount paid upfront, the higher amount the loan repayment and over optimistic on their future income. Hence, many ended up in financial distress.

dont recall what's it called. But basically pump and dump

Bro u need some tramadol or diazepam, calm ur tits haha

My rule is
If i cannot pay at least 20% DP i wun buy

overvalue sumore. bank offer like 60% or 70% loan only. keep pump money in means time construction, after vp thought got grr cover the loan, who know all the way never received even first grr payment