to be exact, the govt touch on real estate isnt going to fix the over speculated market. It just make capitalist market works more efficient than this..

the problem with Msia the fundamental is right but the mentality isnt right...

certain properties/area too much speculation on about that it bubble up like in china. serious correction is need.

as a mortgage consultant,i think the property trend is going down.now has hit the climax,third quarter will going down trend,and exspecially two years later market will become the lowest that moment is for us to invest lo,keep ur bullet and plan to invest after 2 years.......

why ur not compare new york or london

hi all...

read this ... http://starproperty.my/PropertyScene/AgencyNews/3864/0/0

perhaps the Malaysian government should follow suit as with the current property prices im quite certain many young adults would not be able to afford to procure a home in the near future.

Sooner or later, Malaysia property price will goes up like what happen in China currently. Many of the young ppl there are not afford to buy property. The property price is increasing far faster than the increasing in salary/saving. Click here for the news on The Star: Soaring China home prices thwart ordinary buyers



This post has been edited by Chung80: Apr 29 2010, 11:58 PM

I have the opinion of property market to going to drop.

How many percent you think it will drop after two years?

This post has been edited by epalbee3: Apr 17 2010, 11:55 AM

well...i'm quite konpius also now....property price in penang here is rushing up like crazy...easily go up like RM100k within a year! it's really insane! now any new condo...u close eye also RM400k already.... those selling for RM200k like 2-3 yrs back...now become RM400k!!!

and really...i was thinking...those new fellas coming out to work... how to afford buy such a property? really kesian them.... thank god i work earlier a bit and manage to grab one property for myself...or else...now also headache.... dunno where the money comes from... malaysian so rich eh?

it's really insane..... i don't know how my kids going to buy their own property in future....

We r still OK, have a look at HK, SG n UK, its a lot worse there.....

This isn't necessarily true.
Both HK and SG have social housing - and if you are on the lower income (not middle), you can still dream of a home!
UK, beyond London, is still very much affordable.
The edge between these 3 countries versus MYS:
a) higher income - if not, its currencies can stretch further beyond its shores, NOT RM;
b) creative mortgage plans - e.g. buy to let schemes, first home plans, 120% mortgage etc.

A lot of analyst commented on China property which going to burst since years ago but then where is the burst?
It seems the China property is against all the analyst odds and pushing forward the prices and the analyst continue to says price will drop since when the property value is 60% of what they are today.
Normally I believe that the trend is against who speculate it, when you think its going up then the opposite will happen.

As for Malaysia property going to burst, it will happen but unfortunately not in the nearest terms (at least sustainable for the next 5 years).

Drawing comparison to China is irrelevant to the Rest of the World!
Most properties are exchanged with cash, OR with a hefty down payment (the minimum I know is at least 20%). Most cities are still expanding rapidly with an influx of migrants...

chief, like ANYWHERE in this world, prime properties will always be beyond lower income fellas, not just MY specifically. And if you are a yield based investor, MY beats this 3 countries hands down, investment wise.

Look around carefullya and you'll see that MY props are still relatively affordable.....

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Added on April 19, 2010, 1:16 amchief, like ANYWHERE in this world, prime properties will always be beyond lower income fellas, not just MY specifically. And if you are a yield based investor, MY beats this 3 countries hands down, investment wise.

Look around carefully and you'll see that MY props are still relatively affordable.....


This post has been edited by Pai: Apr 19 2010, 01:16 AM

the MM2H program has or likely never will attract enough foreigners to make a difference IMHO. The program has actually been dropping off within the last year. It's a great program but badly marketed by the government.

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Added on April 19, 2010, 3:57 pmHere’s whats coming in addition to the SEC chasing down any major bank involved in the RE crisis, Commercial RE in the USA with loans coming due from 2010-2014 will equal $1.4T in which 1/2 are under water already.

You dont think during all of this we are not going to test new lows in the stock market and that Res RE has more to go after Deals on Foreclosures are Flushed out. There’s another upto 20% downside nationally in RE.

While the ecomonists are showing 25% in effective negative equity (1 in 4 in foreclosure) the REAL number is likely 35% if you account for what you owe the bank + realtor fees + new 10% down on your next residence! That’s 1 in 3 and likely will test 1 in 2 by 2015!

8.4M homes are in default. Banks take best case provisions on loans but when the shadow inventory comes due and this downward spiral continues the next 2-3 years you can count on 16-20M defaults.

There are 23M Home Equity Loans under water!

How anyone expects 10-12 years of massive credit expansion to be delevered in the next 5-7 years is insane!

Markets will get hammered and there will a correction in RE for Sing, China, HK and YES Malaysia. You will finally see air come out of the bubbles in Canada and Australia as well.

Higher rates, stricter lending practises and the above leaves the door open to buy in Malaysia for sure. Correction could be 10-15% but remember that for most RE is an emotional purchase so if its a buyers market then look for better deals in the next 2-3 years.

Malaysia as a whole I DO BELIEVE has a strong future in the GREAT GLOBAL RESET when Asian Money drawn to the west comes back to Asia but who really wants to live in China or India!

SE Asia has the edge!



This post has been edited by Onemorething: Apr 19 2010, 03:57 PM

Although the economy was being hit by the sub-prime, however the property price seems doesn't affect much.



This post has been edited by Chung80: Apr 29 2010, 11:58 PM

Let's factor China into this equation. China has one of the top property bubbles right now that can change things on a global scale. Forget the rise in Sing, HK or the bubble that never deflated are are #1 and #2, AUS and CANADA.

Why do you think the Chinese are so careful about the Yuan revaluation.

Put is this way, when construction is 60%+ of GDP, in which is now in China since exports have fallen off the map, there are only two other countries which did this, one is Japan in the 80's and the USA in 1929.

Condos and Commercial RE in China purchased by speculators is massive and if China turns off the presses domestically they are in trouble.

China will have to likely devalue their currency as to start a trade war and/or focus on using foreign treasuries to cover.

This is when I see commodities take a tank on lack of demand given so many raw materials are getting swallowed up by China.

Timeline, who knows how long China will demand 9% growth and do everything possible to get there not thinking of the compounding issue.

Some estimate loosing stream end of 2010 and trouble brewing spring 2011.

This matched with the massive Commercial RE bubble popping from 2010-2014 in the US and another 15% down in Res RE it's going to get messy for us in Southeast Asia.

We will have trouble in Malaysia, to what degree is unknown!

KAWAII : on what basis, record your speculating this? would appreciate your feedback as I am contemplating now to cancel my mortgage loan for Verve Suite due to very hard to Sell ...

Harlo!
Care to elaborate by what you mean by CANCEL your mortgage loan?
You mean walking away from your mortgage loan?

Harlo right back at ya terzam:

Apology, I meant by literally yeah walking away from mortgage as pending and ending up paying penalty

I dont see Practical at the moment servicing Verve suites due hard to get tenant ...

Interesting!
I realize this is quite common in the US/ or lesser, UK!
But this is the first I have heard of M'sia... Is this a growing concern?
Won't it impact your credit file, especially for future mortgage loans?

Yeah! Interesting Indeed! Malaysia Boleh mah
Growing concern? I don't know as I have my own problems to deal with
I rather take my chance with slightly setback with the credit ratings - rather than Investing on something which I cant foresee for "high end" developer overlook providing a basic parking space i.e. Verve Suites for only 1 Carpark?

Plus like I said, its hard for me to get a basic decent tenant.

Well TERZAM pretty much the norm for us ma-la-sian to notice/realize things happening around the world especially in the US or UK but things back home which is happening directly under your nose, we failed to noticed!