Hi All,

First off, I don't have very supportive parents and would typically first shut me down before doing anything. I've been self-navigating through my life since then and I hope to seek some opinions on purchasing my first housing property before making any decisions, and with my circumstances, I hope to gain some personalized advice from the online forum here.

I'm currently working with a salary of RM4k and side income of RM500 per month (so nett is around 3.5k + 500 = 4k). I'm looking to spend around 2k+ on monthly housing payments and I'm eyeing to purchase either:
1) Emerald Hills, to rent out first, then move into it as my own house later on. I personally like a bit of nature and my own town area kinda feel.
2) Nestree, solely as an investment property that I'm looking at township development in 10-20 years time and resell it. Then yeah, I won't be holding any property in Malaysia in this case.
3) Sunway Flora, my parents are eyeing this property since they're familiar with Sunway and it's near where they currently live. I don't mind but I worry if the pricing would be higher for Sunway property (the price isn't released yet) and slightly iffy that it's near my parents' place.

I may intend to migrate overseas after a few years but with Malaysia being my home, I ultimately would love to come home. Now I'm just looking at an opportunity to get a nice place and slowly pay it off while my career grows.

I don't pay any rent and have moved out to live with my partner. So based on my 3.5k nett salary and say I deduct 2k from it, I'm paying no other commitments besides paying 500 back to my family and spending 600 a month on food. I try to cook at home as well and reserve the remaining 400 as a buffer.

I am looking to increase my salary as I progress through my career and most likely intend to buy after the recent election if possible.

For your first property, just go for rumawip/rsku.

Don’t have to waste your time analyzing the open market.

The road is already paved for you.

I see, I was seeing this advice on other posts as well and since you've mentioned that, I'm convinced haha. Thank you

Don’t waste your quota

Many people want to buy second one also can’t

If you have no firm long term plans then choose investment type of property, once you get hooked on a "dream house"/own stay, you're in for the long haul and will always wondering if you made the right choice.

Investment units as long do homework, you can just take a backseat

Wahh I see, then I should just focus my eyes on RumahWIPs then haha. Thank you too

First big mistake?

As others have said, just go for affordable housing. Best move and generally lower risk due to low price, and is priced for the common Malaysian.

Maybe not so much about the housing choice, but now you are on the lower end of the paygrade.
You have very limited options at the 4k salary range.

My advice is to spend more time on your job and improving yourself.
Don't be rushed into a 35 year mistake. Take your time to analyze and always survey the surrounding property for their rental prices for an investment property.

i have different though, dont buy rumahvip/rsku, unless it is the super nice location rumahvip, else u might not be able to rent out easily.

example:
Kuchai Mas(walking distance to kuchai lama transit)
casa green (walking distance to jalan awan besar transit)

Buy sunway flora (walking distance to muhibbah lrt), get support from your parent (there is no shame to ask for help as long as your parent got the money to support you, but you have to return the money and your love to your parent of cause, not like cheat them pay downpayment and ignore them after that.)

*someone might wanna downvote me again, but this is my honest feedback.

Lots of choices in subsale if you have RM50-100k saved up for downpayment and legal fees

Keep dsr not higher than 20% of income.

For your salary of RM3.5k nett, you will not be entitled for loan installment of RM2k. Max DSR I have seen for that salary range is 50%, which means max installment of RM1.75k and max loan of ~RM400k (assuming interest will normalise to 4%). Unlikely for you to be able to afford the 3 properties listed unless you can come out with a big down payment.

And don't buy property with the intention of staying in it 10 years down the road. A lot will happen to your life and you might not like that place anymore. If you overspent on this property and the renovation, you will most likely be subsidising your tenant for the foreseeable future.

If you intend to be in property investment for the long run, your first property is very very important. Get something affordable at a good location that can cover your installment or at the very least, the interest portion. Banks will recognise your rental income as an income, which means you can continue to buy more property once the first one is rented out. If you screw up your first one, you will be out of the game for a very long time.

Thanks for this kind post with all the useful tips. I actually do intend to put some downpayment in and that was a mini idea. I failed to mention that while studying "overseas", I have a scholarship allowance and saved up all of it since I stayed in msia due to covid (hence I say "overseas") and I still part-time my own allowances. I'm letting it sit in my overseas bank as foreign currency investment and with the slow recession economy, that's when idea of scoping out housing investment came in.
My parents did advise me not to pay a large sum for the downpayment just to lower my monthly payments, but I'm asking here with all the credentials I have for now as consideration for my monthly commitments down the road.

I just found out about PPAM after digging more from rumahWIPs and my partner is eligible. So maybe I'll still just eye some of these. Really just eye, I'm gathering as much info from all you kind peeps and reserving savings on hand in the msian bank for now Other than that, some FD and other minimal stuffs to help me while I figure adulthood out.

I'm grateful that you stress on my first property as well. U and the rest are seriously giving me great tips. Thanks again, it means a lot!

Hey all, just wanna sincerely thank everyone for being patient with me and guiding me through my shortcomings and providing meore insight.
My family is definitely the "study hard, work hard" but scared to do anything else type. So it's a huge step that I get some good insights and guidance here now.
I'm not very adamant about getting a property now but will build my portfolio to get higher pay. I'll do more homework around the forum with the pointers I got from here! Preciously dunno ma... kept doing specialized searches haha

Ya, for the first two properties, we are entitled for loan-to-value ratios of 90%, and with discounts/rebates given by developer, we usually don't need to come out with any downpayment. The interest for mortgage loan is very low, hence your parents are right that it is usually not advisable to pay a large sum for downpayment. You can consider taking a full/semi flexible loan so that you can temporarily park some of your savings there instead of the FD.

All the best in your future endeavors!

I suggest not getting any property at all since you mention that you are leaving Malaysia . Save and invest your foreign currency and when you do come back for GOOD , you will be in a much much better standing to buy properties .

Time does things to people . What you love right now may not be of your liking ten years later . Why commit now when you have the option not to ?

Yes , i understand the property might appreciate by then , but whos to say your investment portfolio wouldn't ?

This post has been edited by Zenith5229: Jun 30 2022, 02:22 PM

Thanks for giving me some thoughts to think about! Yeah you're right, what I love right now may not be what I like next 10 years... plus things change and who knows I might have more kids than I intended in the long run... who knows right? You're right on that, thanks btw. Also I agree on saving my foreign currency part.

I do have some considerations on buying a property while I'm here since going overseas is not a I say I want to go then I go thing. Another thing is that while I'm here and still diligent on working hard and saving as much as I can, the money can go somewhere. I am gathering ideas on where it may go and I'm not hard stuck on housing yet. Seeing the advice on the thread, I'm more inclined to wait it out and buy next year.
I am thinking about buying while I'm here since I can invest in it and process any paperwork/maintenance etc process flows in-person myself before I go overseas. Plus once I go overseas, I'll need to help my partner out a bit since his background is more employer dependent while mine is remote friendly, so having some passive income through this period can help us both. Or in the long run, the passive income from rental can be money I transfer to my parents monthly for their retirement. I am trying my best to think ahead and shoulder the family myself before I go off anywhere so I wouldn't have to worry if I could've done anything for them.

Do you have any information regarding Sunway flora? And What do you think of vierra residence rumahwip as it is not far from lrt too but not walking distance around 1km.

I think you sum up the atypical gen Z Malaysian now. Many are looking to migrate if they can for very obvious reasons. Don’t overcommit and get something investment grade that you wouldn’t mind to live in if so. Should have pounced on hoc when it was available or better yet rumahwip but be careful on the restrictions.