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 Rent out landed house is difficult, share your thought and experiences

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1ullaby
post May 25 2023, 10:39 PM

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Highrise don't hold value la. The value of landed is in its namesake, land. All properties just deteriorate overtime in condition and value but its the land that is getting more prime each passing day.

Highrise mana ada land.
1ullaby
post May 25 2023, 10:41 PM

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QUOTE(Sihambodoh @ May 25 2023, 02:36 PM)
This is true, you do get higher ROI from high rise. But for wealth preservation or as a hedge against inflation, landed is better.

Younger people singles or young couples prefer high rise because of facilities and security.
*
But, higher ROI is at the expense at long term gains.
Its like the question, do you play stocks for dividends, or for capital appreciations?
forever1979
post May 26 2023, 08:24 AM

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landed is more easier to rent out.

the reason why the rental yield is lower is because the capital (house price) is higher. also most of the landed is bare or partly furnished. Unlikely highrise, are mostly partly or fully furnished.
goodchong
post May 26 2023, 10:39 AM

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QUOTE(forever1979 @ May 26 2023, 08:24 AM)
landed is more easier to rent out.

the reason why the rental yield is lower is because the capital (house price) is higher. also most of the landed is bare or partly furnished. Unlikely highrise, are mostly partly or fully furnished.
*
The repair or renovate after each rental for landed can be substantial , I once spent 20k just to restore to previous state for next rental
forever1979
post May 26 2023, 12:44 PM

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QUOTE(goodchong @ May 26 2023, 10:39 AM)
The repair or renovate after each rental for landed can be substantial  , I once spent 20k just to restore to previous state for next rental
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u rented to foreginers/ workers ?

my landed rented house, normally tenant stay for few years, and every time change tenant, just need to repair (interior). cost like 2K-3K. other is just minor repair.

thenazek
post May 26 2023, 03:14 PM

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Landed is a CA game.
Highrise is a CF game.

If you gain both CA and CF, jackpot.
Aldo-Kirosu
post May 26 2023, 11:41 PM

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People said landed is good for appreciation, yeah I am agree with it. But rain volume, flood, is the game changer, yeah but this is depand on location (high or low). I stay at klang area, don't compare to kl pj or Subang. But most klang area before never been flooded area, feature will be unknown.

For landed house appreciation talk, it's increase value based on inflation. If you sell your inflated value landed 2 sty house at Bandar utama, you earn 500k from appreciation, but with your current selling price, you can't efford the same area if let said new project 2 storey at Bandar utama. So either the people stay at Bandar utama will never sell the house, then it's appreciated, but not money go to your pocket. If you refinance get the cash, then you are loan with market value, almost same with buy your own house at market value also. My two cent for people very proud to landed house appreciation talk.

This post has been edited by Aldo-Kirosu: May 26 2023, 11:42 PM
Aldo-Kirosu
post May 26 2023, 11:51 PM

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Landed property appreciation bulk purchase compass loan game is the only one ready can say benefited from appreciation. So now, I doubt about landed property appreciation talk.

Landed property hard to rent because it hard to fit the tenant need, but mostly satisfied owner need. A lot senior was answered with excellent answers already.
goodchong
post May 27 2023, 09:42 AM

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QUOTE(forever1979 @ May 26 2023, 12:44 PM)
u rented to foreginers/ workers ?

my landed rented house, normally tenant stay for few years, and every time change tenant, just need to repair (interior). cost like 2K-3K. other is just minor repair.
*
Rented to foreigner

OceanMonster
post May 27 2023, 11:39 PM

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My strata landed are working fine. Both can rent out at decent price. But of course with heavy renovation.
goodchong
post May 28 2023, 09:54 AM

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QUOTE(OceanMonster @ May 27 2023, 11:39 PM)
My strata landed are working fine. Both can rent out at decent price. But of course with heavy renovation.
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good to know, how much did you spend on the renovation?
I am contemplating to get a old 30 years old Taman desa landed, and intend to rent out first.
The house is well maintained but in basic condition, wonder how much i have to renovate
OceanMonster
post May 28 2023, 06:25 PM

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QUOTE(goodchong @ May 28 2023, 09:54 AM)
good to know, how much did you spend on the renovation?
I am contemplating to get a old 30 years old Taman desa landed, and intend to rent out first.
The house is well maintained but in basic condition, wonder how much i have to renovate
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Around Rm75 to Rm85 psf for both house.
And rental yield can be 4.75% and 5.3%
Renovation cost is included in the yield calculation
Azury36
post May 28 2023, 06:44 PM

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Condo and service apartment are far more demand to rent while landed rarely have complete facilities.

Some landed owner thinks their house should rent high price. Big mistake
TSBboyDora
post May 29 2023, 10:04 AM

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QUOTE(DragonReine @ May 25 2023, 07:49 PM)
For rental, landed difficult to rent out if you're entering the market right now, unless you're lucky and inherit a landed house in central areas.

Land with residential status within central business districts (CBD) are in very short supply and finding a new house to buy is difficult. Subsales will be very expensive and/or are so old that extensive renovation is needed to make it comfortable within modern standards. Landed new will be even more expensive than subsales because value of land area has ballooned so much that developers will up the price gao².

The high entry cost means you'll need to demand higher rent to cover rental instalments (or if you no ethics, you partition the house to dangerous and potentially illegal levels of small rooms and sublet the rooms), which makes it expensive and/or unattractive to potential tenants.

Landed that is affordable are usually extremely far or difficult to travel to CBDs (not easily accessible to public transport), and this makes it unattractive to younger/lower income people who are the bulk of renters, as they'd prefer convenience to work and amenities over the time needed to travel.

Most entry level jobs also demand higher working hours/commitment to work, so they have less time to afford the work commute.

High rise, which are usually built nearer to CBD and/or public transport, are cheaper to invest in because of plentiful supply. You can lower your rental price, which in turn attracts a broader market of tenants, making it easier to earn via renting.

Younger people typically don't have much savings or income, so they'll prefer cheaper rent and/or shorter distance to conveniences to reduce travel costs/time costs. This makes landed an unattractive option because of the distance from CBDs and/or asking prices.

Landed sales/rent usually will only attract retirees or matured workers who have the finances available to buy/rent, and don't mind or prefer the distance from CBDs.
*
I learn a lot form your reply. great insights...

wanna ask further.... does landed good to rent to those ppl with family?
TSBboyDora
post May 29 2023, 10:06 AM

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QUOTE(Sihambodoh @ May 25 2023, 05:00 PM)
Most landed in good locations are old. Imagine you are in your 20s are you are renting an old PJ house with the old toilets and kitchen.

Of course you can find renovated landed properties but they will be expensive.

So in the end, most people go for new new high rises in good locations as these are usually modern looking with new this new that and all the facilities that come with it.
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how about rent to family, landed?

or most family dont rent house.?
TSBboyDora
post May 29 2023, 10:09 AM

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QUOTE(max_cavalera @ May 25 2023, 09:42 PM)
Most landed now is far away from city centre unless you are very rich.
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no la... old house not expensive .. but reno cost a bomb

TSBboyDora
post May 29 2023, 10:10 AM

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QUOTE(Azury36 @ May 28 2023, 06:44 PM)
Condo and service apartment are far more demand to rent while landed rarely have complete facilities.

Some landed owner thinks their house should rent high price. Big mistake
*
how about those with family? condo or landed better for them?

TSBboyDora
post May 29 2023, 10:13 AM

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QUOTE(Aldo-Kirosu @ May 26 2023, 11:41 PM)
People said landed is good for appreciation, yeah I am agree with it. But rain volume, flood, is the game changer, yeah but this is depand on location (high or low). I stay at klang area, don't compare to kl pj or Subang. But most klang area before never been flooded area, feature will be unknown.

For landed house appreciation talk, it's increase value based on inflation. If you sell your inflated value landed 2 sty house at Bandar utama, you earn 500k from appreciation, but with your current selling price, you can't efford the same area if let said new project 2 storey at Bandar utama. So either the people stay at Bandar utama will never sell the house, then it's appreciated, but not money go to your pocket. If you refinance get the cash, then you are loan with market value, almost same with buy your own house at market value also. My two cent for people very proud to landed house appreciation talk.
*
people own landed normally inherit to children or grandchildren... "Ah gong 's house " (grandfather house. ) they will not sell and buy another house at the same area...unless migrate or move to other place.... like ppl sell house in bandar utama move to Semenyih

This post has been edited by BboyDora: May 29 2023, 10:15 AM
TSBboyDora
post May 29 2023, 10:14 AM

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This post has been edited by BboyDora: May 29 2023, 10:15 AM
TSBboyDora
post May 29 2023, 10:16 AM

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QUOTE(thenazek @ May 26 2023, 03:14 PM)
Landed is a CA game.
Highrise is a CF game.

If you gain both CA and CF, jackpot.
*
CA and CF means what?

im noob

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