I read as, property speculators refuse to realize their loss, rather hold property with inflated asking price, then blame developers for lowering cost and barrier for new properties, and young adults for not allocating 80% of their paycheck to mortgage and downpayment.

This post has been edited by Mixxomon: Jul 1 2025, 12:08 PM

I do agree with u also... in next 10 years, Gen X which is the first group who migrate from Kampongs to Klang Valley will reach retirement age. Most like they will sell their house/units (go back to hometown) or maybe passaway. So, in the next 10 years there will be too many vacant subsale unit available in market. Remember, we are not Singapore. In Spore they dont have option but to remain in same house same area until die thats why in Spore property is crazy and always up up up. But in Malaysia, we can move and live outside Klang Valley at certain age. Malaysians have options. House in other states are still cheap and can live in landed house.

Again, oversupply of new highrise development kills subsale market.

I make survey around Setapak and Wangsa Maju, a 15 years old condo but still looks nice units with size 1500 to 1800sqfeet fully nicely renovated, listed for sale only for RM600k to RM700k! Imagine those who buy from developers in same area on newly developed condo size 950sqft priced at RM600k already, in next 5 to 10 years that 950sqft unit the price will go down to Rm350k highest considering there are abundance of competition with older condos with bigger sqfeet.

I dont understand why buyer opt to buy 950 ~ 1000sqft for 600k from developer but not buy 1500sqft for RM600k ~ 650k of subsale unit in same area. The only reasons I can think is they dont have saving for downpayment and lawyer/stamp duty cost.

Developers are not selling at lower cost, mind you. In fact developer's unit is more expensive. But developers make it smaller unit from 750sqft to 950sqft so that it is looks affordable to buyers. If you compare the price per sqfeet, new units from developers is way more expensive. The buyer will be at loss in next 5 to 10 years when they have to complete with older condo with bigger sqfeet.

Only if there’s a policy change to encourage purchase of subsale prop, such as openly allowing 0 downpayment, which i doubt will happen.

New unit is indeed still more expensive, I calculated around 23% higher more than subsale using ur 600/1000sqft new vs 600/1500sqft subsale scenario. For some, this is a premium they're willing to pay for new property vs subsale. Don't forget subsale you need to deal with potential defects, repair cost etc.



If seller desperate, they can work around it privately. But are they willing?

This post has been edited by Mixxomon: Jul 1 2025, 12:44 PM

You are quite right. Sub-sale condo way better value plus you know exactly what you are getting and whether the JMB/MC is good. Only downsides is that need a lot of up front capital and some repair costs.

mostly funny comments. One of my condos I remember when I purchased it subsale rental in the area was 1800 then i got 1900. Then covid time I increase increase till 2100. Now im renting out at 2600 because all the gen Z selling their houses and moving to Kampung

This post has been edited by Babizz: Jul 1 2025, 03:52 PM

Wah, you can increase during covid very the good liao. I got one condo bought sub sale, rental started 3k , then drop to 2.5k then during covid became 0 - because tenant was operator to do air bnb. That time really suffer. After covid rented out to foreign worker - 1.9k then increase to 2.3k then sold. When started, gross yield was 7%. Now more and more supply coming, better exit when got chance.

delete

This post has been edited by PAChamp: Jul 2 2025, 03:28 PM

Thinking to invest in property around Bandar Sunway… Area seems hot but not sure if oversupply dy. Any sifus here can share some insight? 🙏

yes

Increase happen 2023 and 2024. Post covid to be exact. But throughout covid 100% occupancy of my port and most people in my circle.

nice observations, and to ensure the affordability of CLQ, gomen further impose obligations on employer to increase minimum wages on those foreign labors plus now having required to contribute epf for them, SME owners are indeed the heavily bruised and taxed segments, suck to be middleclass in malaysia.

however, it isnt entirely easy money for CLQ operators, they might be cronies but they have mouths to feed too for being the beneficiary of this plan.

most of them are doing either

1. by markup SPA price
2. use epf acc2 withdraw 10% deposit

both requires seller to agree.

for my 2 cent, depend the location. if good location just keep it and renting it out.

for renovation cost u can just do simple renovation and rent it out budget dont over 20k.

for agent fee u can try to save, u just subscrbe Iproperty or property guru,find tenant by yiou self, every year if tenant renew, u just do by youself, of course if something Rosak u need help tenant repair.

After 30 years this house is belong to you, still worth it

Low budget renovation cost means having basic lighting (mostly under lit), from my experience as landlord and tenant, unit for rent with minimal and basic lightings very hard to attract good tenant. Imagine you as a tenant u pay monthly rental but only given basic minimal lighting sometimes not enough illumination. Why tenant dont deserve proper lighting is it? Tenant also pay what. Low budget renovation would attract low quality tenant e.g. foreign workers, single new workforce and such etc. If you renovate with proper ligthing, fans, aircond and most importantly proper kitchen cabinet, you defenitely will attract better tenant. Some of unit for rent gives only basic lighting and kitchen cabinet that seems only suitable for banglas and nepals willing to rent.

Self handling tenancy is easier said than done. Unless you are full time in property investment and have time and effort to spend on this.

Renting for 30 years can lah. By reaching retirement age, the unit is fully-settled loan bank. But have to endure and face all this renting issues for 30 years.

Depend on this and that, spend 1000 hours on property videos, spend 10k in guru class, research on rental, transaction bla bla bla, after all the effort, chance to earn money if you buy now is 5%.... nah

Renovation 20k++ not mean u are not design you own house, why must spend 40k 60k only can get nice look you condo? you can DIY buying Yellow Light, put Wall Paper or nice Colour Painting with Low Cost, go for Shopee or DIY buying the stuff to design you own house, just make u house look like hotel feel enough already.

for the Furniture can buy with Cheap price at Shopee or AEON, Mydin, not ask you everythihng buy Branded

for Lighting can install 3 Colour Light with little diamond, normally the new condo already have Kitchen Cabinet, Digital lock, Aircond, Water heater, so install Light, Fan, buy Sofa, Bed, Wardrobe, Table, Dining Set is not expensive, can get the cheap one.

Think youself how to make it Classic Feel but with low cost

For Tenant issue, that why you must select the location is good and look for good tenant, not people ask u rent to Bangladesh, Nepal, u can rent to Uni Student, Working Adult, Family etc.

With the current pricing strategy use by developer, buyer leave with almost no meat to eat. Like the donkey work hard to fork out own money and bearing huge loan just to feed developer, bank, and subsidized tenant. Those always selling with good location and facility, sure charge with exorbitant price. So who is winner and who will be loser in this game?

One young relative last weekend just share his story on how he manage to rent out his unit with high rental. He bought a unit with cash back, then use the cash back to do renovation, so his unit is outstanding compare to most others, and able to rent out with good price. But the funniest thing is he still need to cover for almost 500 for maintenance, his mum told me 800 indeed which I don't know who is correct. i saw the photo that he show uncle, well renovated but I am just thinking, now he can't even break even, not to say depreciation incur on his renovation. Next time when want to find new tenant, can be maintain the same price? His good theory is all property prices go up in long run so he can rent out with higher price in next two years. To him he still feel he did wise choice as other unit only can rent 1.9-2k, he can rent 2.8k. But if the tenant buy his own unit and use cash back for same renovation, his monthly installments is abt 3.5k.

So I really don't know how the youth think nowadays, lol. His argument is he paying very little now, for the tenant to cover the rest of instalment, after 35 years, mean when he come to 50, he can have disposable income, and future value sure very good because of "TOD". But his mum told me transacted price drop almost 100k upon vp, maybe due to 80k cash back . So one question come to my mind, in last five years any "TOD" project's sub sale price goes up? Like cheras, macam can't see any condo increase in value, even my friend's unit youcity bought for investment also struggling. Simply because entry price is too high

This post has been edited by Jingle91: Jul 10 2025, 03:02 PM

You have accurately described the new property market scenario. Developers take all the meat, bones, skin and hair leaving you with nothing but have to top up to cover. Please consider adding more to EPF instead if you have extra cash. "Guaranteed " returns of +-5% in this day and age is excellent. Only thing is cannot take out until 55yrs.