Build-then-sell housing delivery system to heal 'sick' projects, says Nga

KUALA LUMPUR (Oct 27): The Ministry of Local Government Development plans to implement a build-then-sell housing delivery system, rather than a sell-then-build delivery system, next year to reduce the number of "sick'' or delayed housing projects.

Minister Nga Kor Ming said the ministry will work together with the Real Estate Housing Development Association (Rehda) to overcome the issue.

"I will discuss with Rehda about the new business model, so that developers build new houses and sell them.

''This is so that there will be no more abandoned projects in the future, as you are only allowed to sell upon completion," he told the media after launching the Malaysia Property Expo (MAPEX) 2023 here on Friday.

Nga said the ministry's special task force had revived 256 projects worth RM23.37 billion as at August.

"We managed to save a total of 28,863 buyers, and we want to make sure there are no more abandoned projects,'' he said, adding that 9,500 affordable housing units are on track to be completed under the 1Malaysia Housing Programme (PR1MA) this year.

Nga said that to date, 17 out of 24 sick housing projects under his scrutiny had been restored.

MAPEX 2023, which runs until Oct 29 at the Mid Valley Exhibition Centre, is participated by 44 exhibitors comprising developers, financial institutions and government agencies.

Meanwhile, the ministry will be joining hands with Rehda to co-organise MAPEX 2024, in a mission to further boost the country's property sector.

https://theedgemalaysia.com/node/687958

I applaud this, but remains to be seen if there's any follow through.

haha all feature buyer need to buy expansive property already. As developer need to bear higher risk and more uncertainty.

For example, project very high density like m vertica & razak city will be easy to sell before built, but once it built then people saw the project very high dense then will lose interested, so the project like this will be harder to sell at this scheme.

Build-then-sell : small scale developers can only build 2-4 blocks at a time.

Mid scale developers maybe 2x capacity of small. So expect every phase to increase by 15-20%.

And undertable sum of 30-50k, if u don't want to queue for 3 days + 3 nights.

Le nouvel klcc is one of the existing build then sell projects. The price increasing after the project completed & not selling well, until now only 35% sold.

You mean those early birds are duped.

As if buyers need not pay loan interest. if le nouvel lower the price, see can sell or not.


This post has been edited by icemanfx: Oct 27 2023, 11:51 PM

This new scheme is proposed by the same minister who rejoiced over RM150mil budget for toilet refurbishment and tried to take credit for Lynas' initial announcement to cease operation in Malaysia but ultimately he was humiliated big time when the rare earth processing plant's license got renewed with lax conditions

Dupe or not are depend on how sale person present the project. Those high dense project will never showed whole project scale model at once. Sell block a, block a model up, sell block b, removed block a, and put block B up, continue with all block. But under this scheme built then sell, the real condo is there, people can see the project already, how developer hide the dense?

I don't think it's an issue, people having issue will never have bought in the first place, right? Plus higher density developments already provide an incentive to buyers, i.e. cheaper cost and lower maintenence fees.

Yeah, like you said, cheap and good location. But this is 5600+- unit. With 380k+-

Rumahwip? 500 unit +- with 300k.for sure we can't compare to government subsidise project, but the density itself already anxiety a lot people.

So at sale of view, rc all good, then only problem is density. So settle density = get sale. Then all the company, developer, sale agency more than 100 people brainstorming to design convincing skill and closing skill just to deal with a purchaser.

Scale model tactic is just a most simple, there are a lot tactic you don't know.

But if built to sale, not more hidden information, so I predict this kind of product will be less under the this scheme

If built then sell, there would be a huge down payment needed right? Nowadays youngster where got money to dump in.

Been hearing this years before.

Either way still need down payment ma. Just that developers inflate the price 10% then give it back to customers as a rebate which means no down payment needed. Of course this is wrong but do the bankers cares. They all turn a blind eye to this. Panel bankers know for sure.

Yes down payment needed. It's all about the valuation. If the valuation cannot fit the property price, more downpayment needed. Of course developer will adjust the package to overcome the problem but this will also come.out with another problem. If developer rushing to sell, they will actually aiming for bulk purchase group. As they want clear stock faster and get back the cost.

A lot unsold completed highrise project (right now) are actually corporate with bulk purchase group. So under this scheme I can see its a new heaven for bulk purchase group business.

Don’t build anymore will settle everything . Enough for them to earn so many many many decades . We already have tonssssss of Subsales floating in d market

But I think the problem is the amount of down payment needed for built then sell and sell then built is totally different. If built then sell, down payment needed is around 20% of the property plus whatever legal fees while sell then built is just some upfront payment which is like few thousand. Please correct me if I'm wrong, am just a rookie.

A build-then-sell concept may not always help. Today there are so many unsold units in several locations, available for sale immediately but yet people would rather queue and book a newly launching project so that they can be the first to choose their preferred floor, preferred side etc.

Even if in future, the government imposes a build-then-sell concept, I won't be surprised if there will be buyers who will pay in advance to book their preferred unit.

Substantial risk for this model when everyone else is doing pre-sales? Didn’t Sapphire Paradigm use this model? With a PJ address and next to a mall still can’t finish selling it’s an issue.

Build the sell is meant to have developers to carry incompletion risks and to protect home buyers but many here are more keen to protect developers interest.

Totally agree, this is a weird phenomena.

i think Unsold Ready unit was facing few challenge,
1. sub-sale selling price < developer unsold unit price (as it markup legal stamping and mot)
2. Auction unit available at market
3. Huge competition at market new product design smaller size but competitive price. In the end, price is the first consideration for the market.

After so many replies from you . Only this I can listen. 1000000000000% agree

If anything isn't this good for the consumers? Bear in mind all the developers are selling at future price. We are not in the era where people need to queue to buy property anymore, we have oversupplied of them especially in klang valley right now.

I only see win for consumer

As if buyers currently don't need to make down payment in spa.

Currently, value is decided by developers whim and fancy. on completed units, after comparing transacted of similar units in the vicinity, valuers could quote fair market price. buyers are less likely to be water fish.

When supply > demand, there still be oversupply either way.

How much premium are you willing to pay for to eliminate the risk of sell-than-build? That premium will be priced into your purchase price.

This post has been edited by kbandito: Oct 30 2023, 09:31 AM

For build then sell scheme, the most affected are the small developer, they may not have ability to fund the whole project

Build then sell system wont be execute widely....Developer have to funds the whole construction, which even some big developers might have hardship to fund it...The current sell then build provides funding for developer thru bridging loan from banks, if there is no sales then bridging loan method could not works...

Most possible scenario for build then sell to happen is for landed properties only, shorter construction periods, less costly (land cost aside), and its more feasible to build row by row & deliver with limited infrastructure access...

For condo most likely not possible, and someone mentioned Sapphire WCT project, thats a fail project example for a build then sell...where got developer still dare to proceed with it....

and we haven't touch on possible higher price (due to developer funding whole projects), lower quality (to cost saving and faster completion), more hangover (built then unable to sell), unfair package to purchaser( 1st batch buyer might bought at higher price, later buyer got more discount due to developer clearing stocks), and so on.

This post has been edited by Rinth: Oct 30 2023, 09:50 AM

The "good" thing about real estate for new comer at the moment was always the low entry point. (Can or cannot afford after purchase that one different story altogether).

If this scheme were to be implemented, a few things i foresee will happen:
1. Definitely a price hike set by the developer due to risk absorption
2. Mid-to-small sized developer will no longer have ball game in this sector due to capital constraint, and ultimately leads to lesser competition (and only in-between the big guys which they tend to have superb holding power)
3. SPA value & market value gap (completed project no longer use SPA price as 90%, but valuation required), which may lead to a huge hurdle for home buyer as they need to fork out tons of cash up front (I would say maybe >20-25% of the price?)
4. Harder for people to buy house, rich getting richer, those who don't own house will have to rent, maybe forever.

Personally I favor this scheme la, but don't implement so fast, let me buy few more first

anyone know which country implemented this system?

I know both MetroKajang and SHL Property has been following build then sell concept since 20 years ago for their landed house, price is reasonable.

Like SHL they had successfully built the Sungai Long township.

I agree to what you say. I am all for build then sell as it provides security for the buyer. Aussie practices this. But the consequences of which many do not forsee is what you have mentioned. As a small time property investor, i am all for it. Why? Supply will greatly reduce. Not many more rumahwip/rumah selangorku will be launched as developers will need lots of capital locked up for tiny margin or even loss making project leaving less capital for profitable projects. Only big developers will benefit as with less competition, they can price their properties much higher. So enough talk lah MOH, just implement already!!! BTS! BTS! BTS!

ps. Bandar Utama Developer practice BTS for their BU9 condo...... i think so many years already still not fully sold, due to pricing , i think they use future future pricing which havent arrived yet

This used to be common in Western countries like Australia but these were primarily low rise units. Some of the bigger developers like Meriton operate like this with high rise. But pre-sales became common once the Chinese developers came in.

For landed, they do progressive payments and you can customize a bit.

I think pricing mismatch is a thing, another thing is people are not ready to actually splash cash to buy house. (Or they are not aware of )
Given a scenario let say developer wants to sell the unit for 1Mil (SPA price), valuation is at 900K. Loan of 90% (let say LTV for the buyer is still 1st or 2nd house) FROM THE VALUATION PRICE = 900k x 90% which is 810k
Imagine the buyer have to pay upfront 190K DP EXCLUDING paper works and etc., which easily costs another 70+k easily which adds up to like 260K, before we even talk about renovation works


I can only say Malaysians are getting too pampered when comes to property purchase. Here cannot there cannot, 0 downpayment still want 100% loan la, cashback la, free this free that la. Haiyaaaaaaa.....
When BTS time comes, I'll be glad to say: "Ha, baru kau tau "

for new project, even with build the sell scheme, the valuation most likely still in 100% of selling price

Under this scheme, i feel either government want to boost the sub-sale property market or limited to approve new high-rise project at city center.

Under this scheme we can see building landed project is easier compare to highrise, so maybe this is also a policy government encourage developer to develop outskirt area with everyone most favours landed property project.

If buyers couldn't save for 10% down payment, it could be stretched to make monthly loan repayment.

In the last decade, developers already priced in this premium/future price. a reason why flippers hardly could make money.

DAP is good good friend with developer, look at Penang, sure won't risk angering developer with new nonsense scheme, must continue squeezing buyers

Don’t buy lo . Macam la tak ada rumah nak tinggal . Adoi . Wake up buyers . Kena water fish so many years d .

follow ah mou style, rent and not buying...

not really, valuation will be an issue if the SPA price is too premium compare to surrounding market price...most of the time valuer use the surrounding market price as measurement....but of course in this bolehland sometimes can do magic, see the developer want or dun want only....but it'll be challenging...

but but but malaysian dun like to help other ppl serve installment....why help other ppl to own a house when you can top up abit and own it yourself....

This will play into the hands of property investors. However with the government's help with the affordable housing, too much affordable supply and to be fair they cooled the market for the next 10 years. BUT with the BTS, supply will be stifled which ironically will heat up the market.

What you mentioned pertains to sub-sale properties. The 'build then sell' model is for new projects, where the developer has already settled with the panel bank before selling the units.

nope, if its complete unit, bank must have valuation before can proceed for loan, albeit its from developer unsold unit....

Some project that give hefty rebates like 20%-30%++, some of the bank dun even loan u 90% of the developer SPA price.

If you got try to purchase or ask developer complete unit, you'll find that its harder to get loan because bank will get valuation 1st, and normally its the market price, not developer SPA price....so its 90% from the valuation, which often is the market price or the nett nett developer price.

Page 3, post 44 (which developer will rename to post 43A) lol

What is forward selling and the coming is "Fully Furnished" including pillows and bolsters SPA inclusive for highrise dwellings.

Soon every new highrise dwellings launch will be this tagline (what you see in 5D-ID, cabinetry, furniture and appliances package 1,2,3,4,5 with pillows and bolsters included all in SPA), face it (the bolded) that is the market catchment today forward. Landed, another chapter with ie solar ready, cctv ready etc

Not build then sell.

Its a sale and buyers win win hand clap, all these that you see for only, from RMXxx per month. This is the market going forward.

Face it again. Yes, it is so bad that very less can save up even after 5% rebate for downpayment, what not another min basic 30-50k move in cost (not many young fancy a 30-50k bare minimum move in). So its still gonna be credit line again in a way, on top of existing overun for many (i never say all), why not in SPA.

Sorry TS, i like to speak pants down, else i shut my mouth.

You may delete this post 43A

This post has been edited by jojolicia: Nov 1 2023, 08:03 AM

Or better, just save up the 10% while waiting for the condo to be built in 4 years time. 500k property save 1k per month 4 years can get 50k dy. If 1k per month also cannot save then do you expect the person to be able to serve the loan which will be more than 2k?

Not to forget you can withdraw from epf. 4 years of work for a fresh grad should be able to cover at least 3% of the 10% required, what's more if the person has been working for more than 4 years by the time the property is built.

I not sure how developer set the property price under this scheme. But normally developer increase property price (spa) every year, every time price increase at 10k to 20k each unit (condo). Even it just slight affected monthly repayment but overall buyer will still think it became so expansive.

500k property (without dp, legal stamping) (with progressive interest)
540k property after 4year built (with dp legal stamping) (saved progressive)

Same project younger will prefer pre launch sale then built project I think.

Bridging loan, home loan need not pay interest.

Easily from your scenario can see that the price will be higher for BTS mechanism, which leads to inflation in property sector & harder to sell due to higher entry price (markup & rebates harder to work due to valuation issue).

It'll be difficult for most of the developer to launch project under this mechanism, unless govt got new grant/incentive/ tax incentive for developer.

Bank unable to provide bridging loan facilities under BTS because there are no sales prior to the completion, hence no progress claim available from end financier/purchaser's bank for developer.

Developer had to pay main contractor's by completion stages themself out of their own pocket.

If that is the case, future buyer will get screwed up-side-down...To make 0 down scheme (if thats still a thing by then la haha) they will further mark-up the price. To people who already has property will have the last laugh since the "valuation" is so high and can be justified through the new projects, they can jack up their price to sell as well because the current valuation practice makes count of transacted price for the neighboring units as well.

Good la for property investors, instant capital appreciation

Market a lot pipus buying props like that ma, even for myself my practice is also not to put as much upfront cash. Can maximize the use of bank's facility Of course given we know what we are doing la haha

SPA price 5-10% higher then market rate maybe can lah, if that SPA price is 20-30% higher then market rate then it'll be very difficult edi.....

By that time the developer EPP scheme might be a new normal thing, i think IOI got similar scheme....example SPA (nett price) 1mil, value 900k, loan 810k, difference RM 190k EPP 36 months by developer, sign undertaking agreement and this EPP wont appear in CCRISS....

In this bolehland whatever hole also can be created

This post has been edited by Rinth: Nov 1 2023, 10:19 AM

This is not new and common practice now already, not only ioi, sp setia, eco world & etc doing it. This is the reason why, some auction property unit have this kind of hidden trap. After bidden the unit, then only lawyer discovered from developer site, defaulter still own developer few hundred thousand due.

Somemore IOI put this kind of incentive scheme at huge broad advertising beside the highway. If the owner default the EPP, i think will register under ctos.

I'm not aware of the other developer other then ioi because like you said only ioi advertise it lol...

But if BTS is fully enforced, this developer EPP will certainly flood the market, like the current cash back trend...

All in all i think this BTS system will bring more harm to the market then deed. BTS not suitable for malaysian property market because our enforcement is not strong enough, the current cash back thing is massively advertise although everyone knows its not really legal...everyone open 1 eye close another.....

As if developer couldn't get bank loan, need to finance the whole development with cash.

Currently, developers price is at developer's whim and fancy.

For completed units, licensed valuer could get transacted price of similar units in the vicinity and report fair market value. as it is developer's interest to sell asap, unlikely to quote inflated price.

This post has been edited by icemanfx: Nov 1 2023, 10:44 AM

You clearly not familiar with developers operation...if all developer can just get bank loan without collateral, everyone can become developer without using bridging loan already..and why issue sukuk/bond when bank can easily give loans..

If developer has land bank and very healthy accounts then possible for bank loan but for sure the interests paid to the bank will be passed down to the buyers and prices will go up.

This will exclude the small time developers from the market.

you seen like very clear about the developer & loan operation. Recently i just get to know, buying bungalow land and build house on top can actually get loan for 70%. which is surprised to me, yeah for land i know i have collateral to bank, but those construction things, what is the collateral to bank?

Of course i am curious, if land is under mortgage loan, then construction loan under? mortgage or another category? Same this apply to developer, mostly developer get fund from the collateral the land title, so maybe there are able to get loan for construction even under bts scheme?

If developer intent to develop a project in a piece of land, let said bukit jalil 3acre land, so developer will only collateral the developing land to bank for fund? or developer will take another land bank example, mont kiara land under same developer to get loan for bukit jalil development project?

or this is what we call refinance?

This post has been edited by Aldo-Kirosu: Nov 1 2023, 11:10 AM

In that sense I think eventually that will drive down the will for developers to go for mass-market property products, they'll go for those who can afford. With that being said, the supply for those new developments which mass market could afford will drastically go less. Still property investor wins

IMHO, gov should introduce back the developer interest bearing scheme where buyers won't need to pay anything until VP and add a clause in case of abandonment the SPA will be voided. That can eliminate the risk for buyers in case developer cabut. But this time round banks won't be happy cuz all the risk are on their side already

That's why, I do think the valuation method will not change even if BTS applies. EPP is another huge trap not only for the auction one, for those pipu with no financial sense, they won't feel the extra pain until VP and they starting to pay their monthly installment + EPP + maintenance etc. Itu lagi teruk.

own bungalow land and developer high rise is abit difference.

You have loan already for bungalow land, normally under term loan (not same as our current housing flexi loan, its fixed loan), u can get "construction loan" to build the house on top of your land and bank will lend your the construction loan because the whole land and building is charged to the bank..to simplify Land cost 500k , construction loan 1 mil, so your whole bungalow worth 1.5mil and the whole bungalow and land is charge to the bank, so anything happen, bank auction it like auction normal bungalow unit. Small tip, land term loan interest is higher, and today's rate normally effective rate is around 7%, but once construction start normally it can convert to normally rate (4%).

Developer is different because the land under master title under developer name, but it is intended to sell to purchaser, means that literally the land is belong to developer, but the building and land is built and to sell to purchaser, not for the developer own use. Thru bridging loan, bank can funds developer's construction cost because the unit is sold and can claim from end financier/purchaser bank stage by stage. but without prior sales due to BTS, bank unable to provide bridging loan, developer only can get other fundings.

You may think, the GDV of the project example 500mil, construction cost 400mil, developer Gross profit 100mil (20%), then why bank dun want to lend? sure win mah...... but remember construction cost is real cost that developer had to pay, GDV is sky pluck figure by the developer, and need to depends whether the sales is good or not. if after BTS sales only 30%, 150mil only, how to pay bank 400 mil? bank willing to take such huge risk? bank want to help u lelong the remaining 70% units?

I remember land held for development must be free from encumbrances, but i'm not 100% sure whether now the law is still remain the same or not... reason is if construction is complete you need to do the perfection of transfer to purchaser, with the lands still under encumbrances how to transfer to purchaser?

This post has been edited by Rinth: Nov 1 2023, 11:40 AM

As if developers don't use their land bank for collateral.

As if the land bank can borrow example 200% of the land values. As if land bank value of 200% is enough to fund for the whole construction cost. As if the bank willing to funds your construction cost based on your land value only...

Anyway you're always right, so just treat my comment with pinch of salts....

As if developer has only one piece of land for collateral and plc developer never raise funds from bond.

If SPA void, payment already made by bank to developer also cannot recover, banks NPL will increase 99. Then all bank will pakat charge BR +5%=Effective 8% to cover their risk. Bank say take it or leave it...How?

i cant resist to comment....As if all developer land are free from encumbrances and can use for collateral and funds the construction cost..

Back to topic which is why BTS only for Big Big developers....Small and mid size developer can all dapao and sell their land bank or JV with big big developer, and let top 10 developer to monopoly the market.

If developers don't have enough funds for construction, shouldn't start construction at the first place.

Like banking industry, small and weak developers should exit or merge.

Now you got the point! Small timers can close shop. Medium size must BTS only 1 project at a time. Even big developers must choose only a few project to launch. Result is...... supply is greatly reduced and costs increase which will play into the hands of the property investors who have multiple properties already and prices will increase. BTS! BTS! BTS!

so hype, my parent have recently buy property for investment also, if BTS ready benefited to their property value, i am happy also. BTS!BTS!

but for my view, now a day the new launching highrise project ready mushrooming a lot at KL especially Exsim developer project, tropicana, TSLAW etc. The area especially bukit jalil, mont kiara , etc after MCO all the project surrounding was new launching.

But i believe for property developer industry is very depending on inner information. If now developer industry already know the government want to implement or make new policy changed that affected property industry. So they want to make the project launching fast on their valueable land bank before new policy come.

But this new project mushrooming bring the market worry if it will be abandon property crisis like china today, the country garden and the evergrande over leverage bank and facing financial crisis and now going to be bankruptcy.

Given current widening of poorperly overhang, slower population growth, ageing nation, etc fewer new launch is economical healthy.

They wouldn’t do it if it was unprofitable. The market is there. Putting additional pressure on them is probably appropriate.

Currently there is oversupply. It will take time for the property market to absorb the existing stock. So there won't be immediate appreciation. Over time i believe that the TOD - mini HK type developments will suffer due to high density and prices will remain stagnant for a long time for that.

Thats why I say bank sure bising hahah

Currently, developers have over 3 years to sell out. In BTS, it is developers interest to sell out asap. BTS encourage developers to build affordable and in demand units.

From buyers cash outlay; BTS is like dibs but developers carry the incomplete risks instead of buyers in dibs.

This post has been edited by icemanfx: Nov 1 2023, 04:42 PM

I agree on your point, though that is the HUGE risk for them to bear during construction period especially after MCO. The larger the risk, the larger to cost is going to be.

Most profit is made by developers, why buyers want to carry the risk?

Developer margin very big one la

Can sell 50% of unit is already can cover all the cost from top to bottom

The risk here I mean is those borne by developer itself. Business always has its way to "cost in" the price and shift it to the end customers. Just like last time GST la SST la, all business adjust their price and simply give non-legit reason for the price hike.

Ultimately I think is down to the control of government. I'd say KPKT will play a huge role here.

Poorperly price is not perfectly inelastic, have price no buyers is syok sendiri price. With mounting loan interest and expenses, it is in vendors interest to reduce price to offload quickly.

In BTS, developers are inclined to build affordable units.

Building affordable unit developer can earn the profit? If not government gonna subsidy the project like rumahwip selangorku etc.

Or maybe like m vertica & Razak city residence kind of "affordable" product. Mah Sing & Akisama is the expert in this segment

am enlighthened to know land is free

I am not sure when it comes to mini Hong Kongs what the profit margin is but i am aware that the usual profit margin was 30% which shrunk to 20% or less. 50% is dreaming unless you are like Sime Darby or See hoy Chan or KLK which bought their land bank (former plantation) dirt cheap aeons ago.

If using their own land bank most likely not gonna happened because normally their land bank are premium lands. Unless the land is provided by govt via JV or special affordable house program that govt give out free land for developer to build. If not building affordable home is 100% lose making, like recent Berjaya announcement that they lose 50mil for the affordable project.


This….nowadays 20-30% is the norm profit margin for bigger developer that have bought cheap land last time…. Those new development that bought land recently or via JV hardly touch 20%.

Affordable units doesn't have to be rumahwip. most condo in hk, shanghai, beijing, sg, london, guangzhou, etc are without extravagant facilities.

Maybe now is around 40%

Developer sendiri told me
Profit margin is 10% per year
X4 yrs = 40% +/-

If I do trading tyre my profit margin is 10% per year, so I sell tyre for 4 years is 40%+-??

removed the extravagant facilities, or let said totally removed it can cut how many % cost to a project?
I do agreed a condo not need those fancy fancy facilities, but what is the differential between rumahwip / apartment / and condo without facilities?

but i do realised now a day rumahwip / selangorku project have trend from 1000sqft > 850sqft fit with 3 bedder. If developer removed those facilities and make every unit bigger with same price selling then will be nice also.


Edit: My dream property design
For myself thinking, A good quality condo critirial

1. 1K sqft unit with 3bedder ,3bathroom
2. location nearby ( not necessary walking distance) MRT LRT public transport
3. Facilities wise, new idea new idea, removed all those swiming pool gyms room everythings, but Make lobby comfortable (welcome home feeling mah), more lift (if let said norm 500unit condo with 4 lift then make it 6 lift), and new ideal of Van picking up & drop off service to those nearby MRT LRT station. (Owner access card is the entrance for the van)(2 to 3 van, so every 15min or 20min can travel to public transport)

i not sure is it this van service maintenance fee will be heavier than those fancy fancy facilities, but i feel this is very helpful and useful idea for a new condo design.

This post has been edited by Aldo-Kirosu: Nov 2 2023, 01:10 PM

Quality of finishing materials

I would personally seperate your statement into 2 bro.

1. Quality of finishing - Hardly a developer could score high in this segment. Even big boys fail this badly
2. Materials - Basically by looking at the specification of what materials used, we can know the targeted market for the project itself

Because all those subsale expensive by few fold compare when with first selling price? Some house already more than 10 20 years yet the price almost the same as new units. Some house previously selling 50k now become 200k who want to buy somemore decades old house.

You sum up the mind set why subsale and capital gain doesn’t work as well as thought while the supply is so high. The only saving grace is if you are in an in-demand location.