all the "Gwai Lo" on 6 months to a year assignment in my company stays in Mont Kiara.
condo size <2000 sq ft.

doubt there will be a lot of expatriates staying in big size units >3000 sq ft.
also unlikely for much capital appreciation when the initial price already so crazy high.

so what was the mindset when investors bought one merenung?

The Gwai Lo is insignificant in this whole thing. It's like saying the Chinese in Vancouver Canada prop up the market. Never has, never will!

One Menerung was launched in 2007 by Bandaraya Dev Bhd during the then stock market high. It comprises 6 blocks of mainly condo units, 229 in total, on an 8 acre site. There are some town and link houses as well. Initial launch price around RM650psf. Well marketed as a top end luxury development in an upmarket happening suburb. Developer sales were brisk, quite a few sold to Singaporeans and other overseas buyers. Secondary market reasonably active until last year. Project completed in 2010 but sales have fallen off a cliff. The smart speculators have already taken profit. The secondary market buyers at RM1000psf and up are the ones who will suffer most.

http://propertymalaysia.blogsome.com/2006/...nerung-bangsar/

are you sure about the RM650psf price? the above l2006 entry shows somewhere RM850~RM1000 psf

last week go pass by the place going to BSC, dont see any people there.

Initial soft launch of units in first block at around RM650psf ( after early bird discount), soon revised up when demand proved to be good. Better located units released later of course higher priced. Each new release since 2007 higher priced as speculators were already churning units. Typical developer's ploy. Anyway, all this is history. Not really useful.

There's a ton of information on One Menerung on the internet dating back to 2006. Run through the blog entries selectively to get a feel of the market then and up to today. I'm waiting for the sky to fall down on One Menerung given the large number of units on offer currently.

This post has been edited by klbull: Sep 14 2010, 08:54 AM

Does this means its not a good time to invest on housing now?
I was looking for some condo with good rental at KL/PJ area
(Kepong, Damansara, Maluri, Jln Kuching)

@onemorething

I share your view that a bubble is forming or it is already here and ready to pop.

Instead of FD, right now, where would you park your money to maintain liquidity and decent returns %?

Thanks

That is the magic question!

RE is not liquid so just say no!

Preferred shares - Banking - Utilities yielding 5-7% is fine!

5% Gold 10% Silver

Cash - USD YEN SWISSY in that order!

Agriculture & Aquaculture feeding asia

Volatility is the play and if you dont day trade stay clear of it.

Remember at this stage a 5-7% return is excellent!

A 10% loss will be manageable!

Stay Liquid always to move with the volatility and maintain a flush position and you will be a star!

@onemorething,

Ran thru your previous posts this morning. You are not the average LYN forumer. Care to share investment views, especially on equities, properties, asset allocations and such? Main focus Malaysia but also HK, China, USA. Goal is not just to survive but to prosper in times of volatility and adversity where old rules no longer hold good.

you serious? don't invest in real estate because it is not liquid? kakaka...

You wanna bring noobies to Holland-ah?

USD & Yen will remain weak as part of their fiscal policy to bring their economy out of doldrum. You will do better in short term speculating on AUD and RMB

why you want to buy banking share when you think property bubble going to burst, it will drop like stone when the burst happen.

Yes, try to sell when everyone else is jumping ship...see how it works out for you!

Seller - "If I drop my price by 10% I'm sure to sell!"

Buyer - "If I wait, I'm sure to buy for 10% less next month!"

This is the cycle many western countries are facing every day! Listings are up 400%, sales transactions down 400%. RE can only go in one direction until a reasonable bottom (deemed affordable) can be found.

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Added on September 14, 2010, 3:11 pmThese are bank preferred, they are in their low risk portfolio, pay quarterly dividends on top of annual returns. Do not mix up with the actual bank stocks being sold.

This post has been edited by Onemorething: Sep 14 2010, 03:11 PM

property price is not transparent, nobody actually know how much it is priced, even valuers will give different figures, it is also subjective - your neighbor might be able to sell rm X more expensive than you and you may not be even to sell your property!

If USD Index breaks 81.88 then you need to watch next level of resistance at 80.00 however flight to safety will repeat itself post November mid terms. The USDI moves with Crude right now only. It should make one more great move to 88-90 then that will be it for the USD I'm affraid. The next best is YEN and CHF. The YEN is maxed out on 20 years of QE and Swiss just a safe haven.

AUD/CAD/KIWI as commodity currencies will drop 20% during deflation and loss of demand, oil will go down to $60/b.

China is not ready to increase the value of the CNY, even to control inflation as they MUST continue to ride thier last stage export phase before domestic demand can gather momentum.

I'm not a day trader but a long term currency trader. If currencies go into crisis starting with the USD then all countries which are pegged are in trouble I agree longer term however all will devalue thier currency to stay competitive. The big question is which currency will be the best of a bad bunch. I will support CHF!

buy when the price is going down. sell when it is going up.

then u will make money. but what i see here is tons of ppl buying otherwise

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Added on September 15, 2010, 12:35 amthe 80% MOF is off for now.
tons of ppl need to make TONS of money before the next GE

This post has been edited by 106127: Sep 15 2010, 12:35 AM

Quote from world's greatest investor, Warren Buffet :

“Wide diversification is only required when investors do not understand what they are doing"

Agreed, but very few know how to invest in the first place! Ask the Americans how they feel now about being highly invested in RE (some only in RE) and then using it like an ATM. Fannie and Freddie are back to zero down offers on mortgages but there are few takers. Two reasons, most wont qualify and others see RE moving forward as not a smart investment.

You dont do you own dental work, or diagnose yourself when you are sick, you trust a professional to do it, however most investment firms over the last 20+ years found it easy to make money again based on credit expansion. They bought and sold anything which paid them the highest commissions. They graduated in the Arts, Science and Engineering and became stock brokers and financial advisors.

Mr. Buffet is the exception. Had a great run with all that was unfolding and he knew it. Those invested with him WERE diversified with every share of Berkshire. He himself is finding it hard to navigate todays volatility.

Given those who come to this blog are not Mr. Buffet, may or may not know anything about investing, and may not be as savy as yourself, what kind of advice can you offer them?

Heard from the radio that increasing price of Malaysia's RE is 3rd highest in the world, behind HK and Russia. The highest is 12% and Malaysia is 10% increasing during the year.