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 Property in Economy Crisis, What will happen to property market?

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arthurlwf
post Oct 26 2008, 09:21 PM

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For one thing, when economy crisis kicks in, which property area will be first impacted???

For one thing, I doubt places in KL & PJ, Sunway, Damansara will be impacted during economy crisis...


Here is the list of KL & Selangor Area
» Click to show Spoiler - click again to hide... «

arthurlwf
post Oct 27 2008, 03:14 AM

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QUOTE(dreamer101 @ Oct 26 2008, 10:52 PM)
arthurlwf,

1) How many recession that you have actually went through??

2) This one is even worse than the 97/98 crisis.

Dreamer
*
Well, I would also expect this round would be worst than 97/98 because of the following reason:
1) Malaysia have a high export to other country as almost all country is affected with global economy problem
2) Malaysia still have plenty of $$$ to rescue Malaysia's economy problem during 97/98, and I doubt this round is possible as there is a balance and check in the parliament. Hope Malaysia government will not throw our old age money (EPF) to the sea...
3) There would be impact to most of the property in KL & Selangor, but hot area (KL & PJ, Sunway, Damansara) will have lesser impact compare to the other places because the place is a mature area...

So Dreamer, from your post, we don't know whether you agree and disagree with the below statement:
I doubt places in KL & PJ, Sunway, Damansara will be impacted during economy crisis...

Dreamer, what you think what would happen to the property during economy crisis?


Added on October 27, 2008, 3:31 am
QUOTE(muscaa @ Oct 27 2008, 12:19 AM)
yeah dreamer,

the recession sounds very scary like no bottom for the share markets

be careful for those property owners who still think they can earn good "passive income"... your nightmare is not far away
*
Yeah, its really scary currently especially on the world's share market nowadays...Each new day, we keep hearing new economy problem

The scary part is Iceland goes bankrupt


This post has been edited by arthurlwf: Oct 27 2008, 03:44 AM
arthurlwf
post Oct 27 2008, 10:32 AM

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QUOTE(dreamer101 @ Oct 27 2008, 09:59 AM)
arthurlwf,

1)  If you live through 97/98 recession, you would know that property in those market dropped too.  Except, some did recover a few years later and some did not.  So, you may not know it now.

2) Given that this recession will be worse than 97/98, so what makes you think they will not drop??  Given the past history, they will drop.

Over the past few years, Malaysia's growth is ONLY based on the two OILS: Oil and Palm Oil.  Now, they both will drop.

Dreamer
*
Alright, I will rephrase my sentence:
I doubt places in KL & PJ, Sunway, Damansara will be much impacted during economy crisis compare to other areas in Selangor...


Is it due to the reason that both OILS price drop, therefore you conclude that the property price will drop to an unknown bottom?

Apology for my lack of economics understanding, and how would property price link with both oil prices?

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