back to square one, location location location

and...

whats the plan for future in that location

and...

whether people like the plan or not...

then how does it tied to ts question whether property going to drop?

property will not drop...
only remain the price or the seller would desperate for cash to sell it low.

Yes, exactly, that's what I've been saying. This is a speculator driven market.

Us medium-low income group, just has to play along. And the response from them is... get 2 jobs, and sell newspaper early morning if you have too.

Someone suggested to me a book call "The Secret", i haven't start reading yet, but from what i read from the comment at amazon, it suggest the law of attraction, where positive thinking, and action will lead you to your goals and objectives.

Maybe, being positive is the best way to deal with the increasing housing price.

This post has been edited by hidden830726: Feb 21 2011, 10:13 AM

Note: I'm not refering to KL/selangor prop market.

I agree, that speculators target new development. Recently there was a new development, and all the houses were snatched. Meanwhile the taman next door has a string of vacant houses to be sold.

erm... hint hint.. if I were an investor, I'd buy these. It is opposite a NEW industrial park. Good for rental.


Talking about rental... I scouted an out-of-town bungalow taman , which was from the same developer whose new projects were always snatched up. The Taman was quite empty. only 30% signs of life. There were several houses for sale. And some even went up for rent. Isn't this the worst place to target rental??

1)The target group are those who can afford to buy a house

2)Who wants to rent a second home/holiday home in the middle of no where?

3)There are no business or factories nearby. You'd be better off, with my above mentioned prop.

positive thinking is important, but how positive is positive? work hard... to pay the debt for life?

Is'nt it anyone who borrow loan from bank to buy property falls into this dilemma? Someone who positive see debt as leverage. Working hard is apparently one of the way to service the leverage, but ultimately to avoid such debt trap, one need to buy within their own means.

So in another words, if u buy within your own means, u are utilizing the leverage provided by the bank to help u achieve your goals.

Yes, well.. we all have burdens to bear. But when the burden is unrealistic, and is caused by people playing around. Now that's a different story.

If we all did become over optimistic, then the situation will be even worst. Everybody will be owning 2 or 3 props, and nobody to sell them to but other speculators.

Someone compared us with taiwan, and heck, we really don't want to have the same high suicidal rate as them.

Years back, I did pick up a book on property investment, after reading the first few chapters, I came to the conclusion, that it was like gambling. And it still is, it's just that people are presently winning, and this is due to the fact that there are plenty of optimistic people still gambling.

And in any gamble, there are always winners and losers, and nobody wins all the time.

Ahem... except for the house of course, because they always have deep pockets.

This post has been edited by TheDoer: Feb 21 2011, 12:04 PM

and don't forget the bankers.. at least that was what the US bankers thought until they got the hit, in which most still survived...with the people's money..

always concerned for the thought of being one of the 'fall guy' for the market drop...

For being positive, again, we dont call it burden, we call it commitment. And we decide how big the commitment, which i suggest in my previous post, buy within your means.

When something is caused by people around you, which u have little influence on it, e.g. hike of housing prices, u adapt to it.

Ya Taiwan seems to be what Malaysia is capable of transforming to. It's like a future mirror on our property market, if u can capitalize on that, than u gain a distinct advantage to others.

And no, property investment is no gambling, u may refer to this for more details:



And being stick to the topic, start being positive.

You've skipped the part with the suicide rate.

It helps with the number of zeroes we need to buy things, but does it really help our standard of living? Perhaps for a few elite.

Investment is without "greed" now, this is a tricky bit. Would investing in a basic necessity be considered without greed? What if clean source of water was up for grabs as well, and the owner can place any value upon drinkable water. Would you not say these guys are greedy? Well no right? because it's just business.

In terms of helping the economy, well first of all, it may help the economy but makes matters worst for standard of living. People become greater and greater in debt, and find themselves in deeper and deeper holes to dig themselves out off. People are talking about 2nd generation loan now. Is this really what we want? A better economy but worse standardard of living?

In such a case, a better economy is nothing but the number of zeros behind your ringgit.

If one owns a share in a company, and him owning it, allows this company to produce goods/services which people can buy and benefit from. And it provides jobs for people. This is of course good.

Now, on the other hand, when we are talking about property speculation ("investment"), it is about owning a piece of land, that sits abandon, hoping that a genuine buyer (or another speculator) will take it off their hands. Who exactly are they helping? They're simply acting as a middle man and taxing the genuine buyer. How are they helping the economy? By causing inflation basically.

There is an exception of course as I mentioned. The real property investors, are those who take an abandon home, holds on to it, renovates it, and makes it livable again. Not those who try to out bid in at high demand prop, that they hope to sell the very next minute.

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Added on February 21, 2011, 2:10 pmWe can be as positive to continue with our lives, but it shouldn't stop us from pointing out what's not right.

Just like with matters of politics.

This post has been edited by TheDoer: Feb 21 2011, 02:10 PM

Well again, it just showed that u are not positive enough, why worrying about the negative side of development (suicide), when u have so many positive things to cherish?

What i am trying to suggest to u is, no point arguing about the economy when u have little influence about it. Unless you are Mr Prime Minister, or some Big shot in the government or private sectors, or else, the best we can do is to adapt to the change.

Also, 2nd generation loan is bound to come, zoom into reality please. Nobody want it, but that is what gonna happened. try to be positive about things, more action, then the world will be better for you.

And also, im not gonna argue with u about investment vs gambling, because positively, i believe u understood. And also, i really do suggest people giving view based on the topic of the thread, not some qq economic lesson, and what we dont want the world to be.

Last but not least, i see positive in you.

Why I consider this as gambling, is because these guys are buying simply because these props are hot. And not because this props are under valued, under appreciated.

Another group of speculators, are just finding some place to dump their cash, because they are told that all props will go up, and there's no such thing as a bubble (obviously there is).

All in all, these speculators, do not understand the term "over valued props" they do not care whether the actual home owners can still afford this props. All they know is that if more speculators will take it off their hands, they are safe.

This is why I call it gambling.

If you ask me, if people really want to dump their cash. They should dump it in gold or something that will not suddenly deteriorate, the price won't suddenly drop simply because a rubbish dump was built across the road.

Edit: This post was writen, before reading the previous reply.

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Added on February 21, 2011, 2:30 pmActually you're right, I'm getting off topic. Just wanna get through to the same set of audience for both cases.

But the below statement is really a shocker.

Either way in my opinion, the bubble is about to burst.

This post has been edited by TheDoer: Feb 21 2011, 02:30 PM

Bro.. someone/ppl hv to pay the price for become 2020... that is not something proud of...

This post has been edited by sampool: Feb 21 2011, 02:32 PM

i'm prayin hard..

When bubble burst, ppl will complaint abt other things, e.g. job unemployment, and still scare to take the risk to buy a house, fearing that the price will drop lower.

why unemployment is link with the prop bubles?

even employed also not able to affort... flat sure can lah...

Precisely..
When mkt boom, investors keep buying, when mkt crash, investors keep buying, left those who is predicting mkt will crash one not buying, I know, they hv thousand of excuses to claim that mkt will drop further even when mkt has hit the lowest point

What result in prop bubble?