What's your worst property purchase?

this is my story of my journey, pain and frustration of my worst property purchase, lessons learned will be shared below. I wanna rant here cause my lorong neighbour today lelong off their unit at below market price.
this is my second property I purchased (also my first landed house), so I was relatively new to this prop thingy. a real newbie
I bought from stupid IOI during early 2015 and is in IOI Bandar Puteri Bangi @ Teresse 2. during that time, they are doing pile foundation on the site



bought it at MYR769,000, with 90% loan for 35 years, that amounted to MYR699,000. Topup 4% @ MYR31,000. Got a discount of 2% from IOI Club platinum membership (cause bought more than MYR2,000,000 of prop value from them), another 2% discount from events promo (CNY that time buy) and another 2% discount from referral (extended family referral fees pass back to me for down payment).

now here's the shittiest part, after 7+ years, the house value never increased but decreased. why? there are so many unsold units, and the developer are trying to sell them off ASAP. so they throw in some ridiculous discounts.
eg. take bumi lot for example, 7-10% discount over the years (CRAZY!), then raya/cny promo 4-5% off, referral scheme another 2-3%, IOI club membership 2%. total discount is almost 20%. that is -20% of the original house value, so people are buying at around MYR630,000 for my unit type post CCC for those unsold units while I bought it at MYR722,860. that's more than MYR100,000+ difference and it's so unfair. it pull down the property price. and to make matters worst, IOI introduce a scheme during MCO. BUY NOW PAY LATER, loan is under IOI. so they buy the prop and dont have to pay loan for 5 years. CIBAI!



so many people buy those props, but never move in ... until today. so what happened? well.... they cant pay back the loan, so banks lelong it at stupidly cheap price, like 40-50% below market value. then people started disposing it -10% below market value too.



as you can see from the screenshot, the property is already overpriced, stupid developers made it fucking worst. a 7 bedroom, 7 bathroom 3,300 sqft unit 3 story terrace house 1KM away is CHEAPER by MYR100,000.

now you might tell me, just wait till the value appreciates and dispose the unit. meanwhile rent out.
well, renters are hard to find in that area cause they are spoiled for choice. like i would wanna rent in that 7 bedroom 7 bathroom house 1km away, which cost MYR1,800/month. meanwhile my taman rent is 1,900 cause have to offset installment to bank which is around MYR3,600/month. so rental is slightly more than half. so what my creative neighbour did is to partition up the entire house, 3 bedroom downstairs, 3 bedroom upstairs and rent the rooms out for MYR400-600 to cover the installment. but that barely covers the full amount and there are only 3 renters at the moment. sad shit

so i am stuck in a dilemma, cant rent out (too low rental and too many competition, not enough renters), cant sell (-10% market value now, brand new house -50% value), and if wait until full loan tenure then sell off, i would be actually paying MYR1,512,000 (total payment with principal and interest). i will be paying MYR882,000 in interest over 35 years, and i doubt capital gains can cover that.
also this property have so many defects, some of my neighbours have their roofs fallen on their heads, leaking everywhere, huge cracks and even hollow garage due to soil erosion. the developer sucks in marketing as well as workmanship too
this prop is beyond fucked.


Credit: neighbour's house. this shitty IOI developer workmanship sucks beyond belief. complain to MPKJ already, developer still dont wanna fix

so my lesson learned:
1. avoid small and medium size developers. and for the big fish developers, in my opinion and experience, only Sime Darby, Glomac, Tropicana can be trusted. the rest like Mahsiao, IOI, etc. can eat shit
2. dont trust sales agent, dont trust marketing gimmicks. a property is your biggest investment in life, do your research gao gao. if possible, price check on every single property and future developments around a 5km radius. dont slack up, cause developers love to upscale, oversell and overprice their properties.
3. track record and reputation of a developer is important. if the developer has multiple red flags before, avoid that developer at all cost no matter what.


later i post some defects of my neighbour's house. see also wanna cry



This post has been edited by iEatCuteDogs: Feb 10 2023, 02:25 PM

BBB UUU they say

property price don't drop they say

wah damn. that's a huge defects to fix

but ioi is top 5 dev in malaysia in terms of size, water leakage is their trademark

Karma for eating cute dogs and cats?

my water leakage is bad, but my taman neighbour's leakage are even worst. whole plaster roof collapse, with fan lights and all.
last year (2022) i spent almost MYR10k to fix water tank area leakage and huge cracks. in 2021, i spent MYR20k to put awning, ponding and cracks. every year at least MYR10k+ to fix cracks.
IOI workmanship is the worst. and their achitect+designers are all retards. water tank area is exposed flat roof. OFCOURSELA PONDING, CRACKS EVERY YEAR. WATER TANK SO HEAVY YOU KNOW. U PUT IT OVER A STUPIDLY THIN CONCRETE SLAB!

I just rent my poorpeti out....

Ayem not speculator.....

this is homestay, not speculating also

but /k has to know, IOI is the top3 shittiest developer. they gave me more shit than MahSiao

This post has been edited by iEatCuteDogs: Feb 10 2023, 02:39 PM

ioi will build that kind of wall fencing?
seem like renovated by the owner himself

This post has been edited by sunami: Feb 10 2023, 02:41 PM

The one that offers GRR. Fck it

this is ori wall, this is endlot house

willing buyer willing seller

ok..

Fuah..walan leh

Can feel your pain. Same shit hole here, except it's Penang. Will only trust BSG, E&O and IJM here.

market value now just 1.1m.

5 years of investment fail.

bandar puteri is fakkked

occupancy low

that shop lot also take years to fill up

bandar seri putra on the other hand doing better

Nanti LOD from IOI soon

thanks for sharing. can complain to yeo bee yin or not?

This post has been edited by coyouth: Feb 10 2023, 03:01 PM

Scott garden boleh kira?

we need to make a list here in lowyat to red flag all these developers. reddit and lowyat has threads about them, but they are not compiled in a list that people can refer to.
this is the most expensive purchase in our life, a list like this to help future buyers is like so important.
i am sorry for those people that work in those shitty developers, esp sale agents/accountant/etc. but if people are from upper management & architects are in this thread, SHAME ON YOU, BUCK UP PLS!
you are not selling MYR20 mekdi set ok?