Propwall is ok. By far, probably the most professional looking analysis.
My only grouse - its not updated frequently enough.
The proposed LRT is considered something new - at least new in the sense it has not been updated to Propwall as yet

Thanks for the useful link.
Hmm but how come base year for Msia start from year 2000 but Thailand start from 1992?
Bank Negara dont have own country's data?

A number of areas in Klang Valley have the problem of seller asking higher prices than the bank valuation.
It is not uncommon that the buyer fork out additional 50K or so to buy the property due to the valuation differences.
This statement has been confirmed by the property agent and the banker.

Well, to put it simply, 2 groups here - the players who drive the price up, and people who are sitting on the bench.

1. Players
This can be further categorise into the following:-

a) Developers
Who uses multi prong strategies - DIBS, crony buying before launch, drama as if all sold out only to release later - stating the units are from those who are unable to get loan approved.

b) Citizens
This can be classified further into:-
i) Flippers
ii) Investors
iii) Those who are afraid their children do not have a place to stay in the future

c) Policy makers
Those who encourage 2nd generation loans, DIBS, EPF monthly withdrawal schemes, delaying of Bank Negara's LTV policy


2. Benchers
Those who have yet to make purchases and finding it hard to buy or finding the interest from 2nd generation loan not practical.


Of course, we have 3rd force in terms of policy makers - Bank Negara who by the LTV policy have effectively put a cap to the prices. Now, the cap is merely a ceiling. Dont get too excited

Well, cannot exactly call those who think price will fall as speculator as I doubt they are involved in driving up or driving down the prices. Those who fall into the category merely sit at the fence.

Like that ar... I wanna add one more - property agent who ask ppl to buy plus the forummers who go into BBB mode
But on the more serious tone, what I do know is that some property agent list much higher price than what the owner wanted to. So it is beneficial to the owner is a way - higher pricing provided there is demand; and not so good for the buyers.

Not enuff helpful ppl to update kot

Any vacancies?

1-6 already happened
No 7 sikit problem - since now banks offering 30-40 yrs loan, the instalment per month is quite low.
Many properties can actually be bought and rented out at a so called positive cashflow - that is based on current BLR - 2.3%.
Any significant movement in BLR, would certainly trigger this No 7 event to occur.

Good article. Thanks for sharing

What I noticed after the LTV implementation -
1. Buyers are no longer aggresive
2. Sellers are still asking for above bank valuation price when LTV was implemented but now asking for price at par with bank valuation.
3. Also noticed several units asking for ridiculous prices have now become more reasonable - remain unsold as advertised in iproperty
4. This has happen to several places - namely Mont Kiara and Kota Damansara.
5. For some areas, I note that the asking prices remained higher than bank valuation but the unit remained unsold

I believe this is the beginning of lockdown between buyer and seller - where the equilibrium depends on the bank valuation.
If this is correct, then any internal or even external factor - ie bullish or bearish, will invariably impact on the bank valuation.

Avfan,
Your statement reminds me of the tulipmania incident.
Looks like over the centuries, human nature never changed one bit.
LOLz

Superb idea!
Though I doubt it ll be implemented - too many parties with vested interest

Selling above bank valuation is normal when the sellers are calling all the shots as much as it is selling below bank valuation when buyers are calling all the shots. Its just how bullish or bearish the market is, so to speak.

Reaching equilibrium ie bank valuation in a sense shows a consolidation whereby neither forces have an upper hand over the other, in short, fair.

However, that said, at this moment, from observation, whilst we re heading for the equilibrium, sellers do indeed have a slight upperhand.

Avfan,
Nice analogy and the comparison

tzyyang,
Well, actually if renovation, even new units also need to do renovations - like fitting the fans, grills, etc. May also need to pull a point for the aircond etc.
Not sure abt JB prices though. Guessed its a spillover effect.

Funny lah... if ppl looking for PJ, takkan suggest Cheras, Kajang and Serdang?
LOLz...
If say Shah Alam, still possible for one to consider.

At least la, suggest more reasonable locations mah...
Say cannot afford PJ, but buy property in Serdang simply becos can afford, then what happens?
Daily expenses of travelling pulak yang kenot afford nanti...

Yeah, missed that out!

The ugly side of capitalism and free market

The difference - HK, Taiwan, Spore, they get to be the policy maker.
Only policy makers can determine the creation and maintenance of the green pasture