1. Some of the Danau developments like Permai are pretty good. They are just not in sync with my investment philosophy at d moment. I've also heard some horror stories on those that transacted on Danau prop's.....apparently the transfer can take 9 months long!

2. I could be wrong.....but I think in TD - u don't have to worry about price appreciation or depreciation. In other words, the price is pretty much stagnant. The rental demand continues to be strong - it's pretty much a landlord's market over there.

Hi,

Have you checked out Desa Permai? I been there a couple of times. Newly completed condo just next to Faber Heights. Heard the rental can be rm2.5k for fully furnished unit.

Cheers,
AC

yes, I have.

I'm not too sure whether your RM 2,500 rental is for a bigger unit? I'm only familiar with their 1,130 sized units.

If memory serves, a 1130sq ft unit is going for about 300K. At best case, I think u can only rent out FF at 1,900 per month. (being a tad bit optimistic here). Pricing wise - look's reasonable at about 265 psf, vs say Casa Desa.

From a COCR perspective, you're looking at a return of approx 14%, which is not too bad....

But I'd rather go for the Faber Studios for two reasons:

1. My COCR is at least 35%.

2. My initial capital outlay is much lower vs Desa Permai.

3. I'm being very realistic.....Tmn Desa Condo's don't have much room for appreciation....the price has been more or less stagnant. My investment philosophy in this area is to generate as much cash flow as possible only.....and to own the unit for free, of course. In other words, I wouldn't buy any condo/studio in TD for any potential appreciation whatsoever. Any appreciation in price is just a pure bonus.

Don't get me wrong - I like this area. It's "boring". It's far away from speculators. It has very stable tenant demand. Uncles and aunties live there. And the rentals are steady and rising consistently y-o-y. I normally go for stable suburbs which are far, far, far away from where the "flavour of the month" is. To me, that's where the opportunities lie.

Good luck.

This post has been edited by Phoeni_142: Mar 1 2009, 04:21 AM

My view on Taman Desa.......I will only look at the landed properties there. My motto nowadays.....wait...wait summore.....wait just a little bit more.....then chop. I have feel in this area.....for own stay lah. For capital appreciation.....it will come......later. But this area is peaceful, quiet, near KL

Hi Minolta.

my 2 cents - a very cliched saying which I'm quoting below. ( I just happen to agree with it)

“it's better to buy real estate and wait, rather than wait and buy real estate”.

Don't take the phrase above too literally. Point is – good bargains exist at every point in time. You just have to hunt them down accordingly. Real Estate isn’t necessarily about waiting for the right moment. No one really knows when the “bottom” is. Rather, it’s a game of tenacity and decisiveness. Inaction and procrastination is never advisable.

Good point abt the landed prop's in Tmn Desa though. Potentially hidden gem. Last I checked, prices are in the region of mid 500k for 22 x 75, yes?

Hi guys,

Desa Permai only has 1 size (1130sqft). My friend managed to rent out her unit for rm2.2k for FF. I think it's a great rental but not sure how long it will last. Desa Permai is very popular due to mostly targetted by rich guys who wanted to keep their missus there at the moment. The entrance is discreet and quiet.

I'm looking at landed prop in Taman Desa too. Can you still get RM500k for 22 x 75 unit? I thought it has gone up. Let me know if you know any unit with that pricing.

Cheers,
AC

hi,
i m looking for a condo for investment purpose and saw the ads on faber heights?
selling for 255k..2b2b 1000sqf and wondering if its worth it?

Guys
I'm keen on moving to Tmn Desa. Any suggestions? Care to share your experiences?

By the way, I love RT Pastry. And no, that's not one of the reasons why I'm considering this area. Over the years, I've stayed around in Melawati, PJ, Sri Petaling and I think Tmn Desa would be ideal, don't you think so?

Thanks in advance.

for me taman desa is superb place to stay....used to stay there from 2004-2007

if i have extra cash would consider buying there......but the condo's mostly are leasehold

It's a great place to generate good COCR, from an investment point of view. the place is boring. ideal for aunties and uncles like me. And there is a good mix of both free and leasehold prop's for u to go after. good luck.

Faber Ria 700sf studio for RM160k, old, needs repainting etc. Lower floor. What do you guys think....value or expensive?

whats the rent?

1) Woud you know if the psqf appreciated recently? I gave a quick browse on Iproperty most are demanding about 210-230psqf, just some info to share for those who invested their units earlier.

2) With the influx of condo projects everywhere, will this investment be as attractive as before?
Although, Tmn Desa still remains to be a 'central' location so shouldn't be too difficult to fetch rents I suppose.

agents say bout RM1k/month easy without any retouch etc. Tenants prolly low-end "expats" or budget locals. But put in another RM25-30k reno, can go RM1.4-1.5k.

Return is ok, but Faber Ria is old.....I mean really old. But freehold. I just don't want to be overpaying something like this.

i thought faber ria studio 140k.

I don't think Faber Ria will appreciate much. Personally, I won't put in another RM25-30k reno on a property that won't apprecaite as I will need 4-5 yrs to cover it back. Indirectly, u are locking urself down for 5 yrs to cover back ur reno cost & by that time, ur reno will be out dated & won't add value to the property.

1. The ROA association just approved for the sinking fund to be used to repaint the whole place.

2. Appreciation is secondary and an ancillary benefit of ownership. Cash flow is a necessity, which Faber ria can provide.

3. I used 5K on renovation for my unit there, which was pretty old. I don't think u will need anything close to 25k to 30k.

Estimated RM25k for bit of things....plaster ceiling, timber flooring, change all doors/locks, redo whole bathroom, kitchen cabinets, walk in wardrobes, water heater, airconds, repainting etc. etc....haha. Guess I kinda thought of up-ending this place. But you're prolly right, no point in doing it up for rental as the return is poor.

I thought about it whole weekend, and decided I'm not gonna go in coz got no feel for it....I think the place is just a tad too old...and the price is no steal.
I think I'll stick with my initial plan for a landed in Tmn Desa.

thanks,
minolta

boss, long time no see

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Added on August 31, 2009, 9:05 pmchief, from studio to landed is a big change, whats the main objective investing in Tmn Desa lah?

This post has been edited by Pai: Aug 31 2009, 09:05 PM

Go for Danau Permai's studios....easier to rent....next to shops but also closer to Mosque...