I won't advise my kids to be slave to bank and tenant.

Your friend no choice meaning? Whole world only left 1 house can be bought?

Rental cover your installments? Meaning you rent 5k? You sure ppl only can rent from you? I don't eat Uncle Roger fried rice I can eat hawker stall fried rice, no?

His calculation is spot on.

This post has been edited by bryan_x00: Sep 27 2024, 08:29 PM

Landlord afraid the corpse in their unit

Can have reverse mortgage annuity in the market like HK

You don't need this if you rent instead of buy, you will have cash (savings) and still don't need to spend on repair or maintenance.

As said previously, majority of landlord only favour low risk customer in term of age

Plus, value of rm300 per month installment 40yrs ago for 1s house only can rent a small room now.
Money in rm devalue most of the time

Don't talk 40 yes ago, talk current, the house price is overpriced compared to rent have been stagnant for long time. 20 years ago a condo sold for 150k rent 800-900, it makes sense to buy. Now I buy 500k house don't know can even rent at 2k or not.

Landlord is king or tenant is king now? Either wait for your low risk customer or wait for lelong. Every month vacant is hefty cost you're incurring.

If the kids are staying in Msia, yes, good to buy cause you have the next generation staying. But what if they migrate?. But you still have the option of selling the house and moving into retirement homes. Those houses bought 30years back still have good resale value (provided great location) and were so well built (cos good materials were used) that you may not need much in fixing or repairing them during those 30 years. But nowadays, many construction projects are so poorly built that you need a lot to upkeep and maintain throughout the durations of your stay. Hence one argument about savings from maintenance (house repair & property management fees) can work out to be huge over a 30 years period.

Rental yield is 4-5%, why not buy one? Those who says rent is cheaper because they are renting one room, of course cheaper than buying a whole unit. Property cycle is about 18 years, and our last property boom started from 2009, which we will expect another boom from 2027. Last but not least, our property price is highly correlated to gdp per capita, our GDP per capita peaked at 2014 so do our property price. But for now, since Ringgit is appreciating against USD, our GDP per capita will also increase accordingly.

It's OK.
Everybody hv their own preferrance.

Yes, everybody makes decisions differently based on their circumstances during different stages of their life. But many other external factors such as changes in government policies or global economics also adds the unpredictable to the equations. Mine is based on hindsight is foresight. So truly there is no right or wrong either to rent or to own.

How much do you think the rental will increase? For high rise if the rental now is 1500 then probably after 10 years will increase to 1700 but when the unit getting old the house like 20 years condo probably rental stay at 1700 or not more than 2000 because plenty of choices. Our income won't stay forever same, our income will increase and in 10 years time our salary will get more than 20% increase (if not then it is your problem). Our income will certainty capable to pay the rental hike and I can assue most rental won't go beyond 20% hike after 10 years.

Yes, there are landed houses price increase but those are in prime area like PJ, Kepong, Subang Jaya, Damansara etc and these landed hosue price at least 800k and above for 20x70 double storey. And yet we need to spare 200k for renovation due to the house more than 20 years old and need major repair. How many people young people afford to buy 800k houses and fork out 200k cash for renovation?

For 800k landed house how much can you rent out, maybe around 2000 (e.g. bandar utama 22x75 rental RM2500 and house value RM1.3m). 800k house with 10% downpayment and 35 years loan at 4.25% the monthly instalment is RM3300. The rental did not cover the loan repayment and this has not factor in that you did not get the tenant in some period of time.

I got a landed house which I bought as new and VP 7 years ago and until now the 2nd hand value is less than SNP price. For condo around Cyberjaya and Puchong at least 20% - 40% down from SNP price in same period of time.

You are right.

Only in prime hotspots we will see appreciation in rental and property value. Everywhere else its either below SNP price or oversupply, especially if we move 10-15km away from the golden triangle. Taking Cyberjaya for instance, rental rate has been stagnant over the past 10-15yrs. Will it increase in the next 10-15yrs? I don't think so looking at the amount of new units being built, oversupply will make it worse.

This post has been edited by ds732: Sep 30 2024, 08:49 AM

u think those owner like old fag die in their house?

Very true but the renovation is definitely more than 200k. More like 300k min work, major work above 500k. A friend sold her SS2 house for 900k in deplorable conditions. New owners tearing down and rebuild from scratch. May cost another cool 600k

This post has been edited by nauticat99: Sep 30 2024, 09:47 AM

It will only cost that much if you want a whole new house. Most renovations at those price points are wants and not needs

Let's mark this comment "our last property boom started from 2009, which we will expect another boom from 2027" and lets review again in middle of 2027 and you will laugh at your own comment then.

How to boom when those property built in 2013 onward already sell "future value" at high price? Plus in this recent 10 years too many high rise condo projects aroud KV and this cause the 2nd market value stagnent and in most cases price drop. Unlike in year 2009 and before the properties price is relatively low and the room to increase is huge.

Old people especially single without partner or kids around will face difficulty to rent when getting older n older.

Owner will reluctant to rent due to below few reasons.

1) die in the house - who to clear the dead body
2) become forgetful - how to collect rental when developed Alzheimer
3) sick - who to take care once get sick

Many such cases happening now in Taiwan even the old man/woman got money but find it hard to rent.

Probably solution is check into budget hotel room if got money

One will understand better when one is the Owner

This post has been edited by Tigerr: Sep 30 2024, 12:22 PM

If no job no money. No need to do maintenance, u still got a place to live.

But if no money pay rental. One will have to find a spot under bridge to sleep

Compare rent and own the 60 years old that rented all life would have saved more than 60 years old that gave all to the bank.

Compare too many variables will be endless. Just compare normal ppl la. If at 60s you have Alzheimer, sick or dying with owning a house but no savings. You cannot get treatment. Isn't that worse off?