Everyone kept saying property market is slow and bubble is bursting, therefore it's a bad timing to invest. I assume it's mainly due to the GST implementation, our country's political issues and also our ringgit?
I've received mixture of feedback on this commonly asked question. Most of the agents I've met said times are bad for them and very slow in sales for them. However, on the other hand, I've met some experienced real estate people who are positive about the situation and said this is the best time to buy. Buy when times are low (provided you have holding power for at least 5 years) and when it goes back up, you will profit from it. I am hoping this is true :)
For current economic, currency and political situation being i would say from my personal point of view which if you have buying and holding power you will find some good deal in the market from those who wanna cash out fast from their property investment. Situation is getting not so good later on for the coming half to 1 year according to my understanding. Just my personal opinion.
Well, if you have buying and holding power, WHY NOT going into the market. Or else keep eyes open to observe the market in this coming months. You may surprisingly find some very good deal.
When market is going low, most people will think of way to cash out to overcome their financial situation.
Anyway, good luck and all the best to all investor.
It's simple, Would you travel to the USA or anywhere in times like these?
The results would vary depending on how much you earn, your spending & holding power and your needs.
In regards to buying property, if you can afford it... Dive in after you've done your homework and are sure of the property.
The common mindset of many is that they're waiting for the economic bubble to pop and Property price dwindle. But , we've been waiting for that for a long time haven't we?
In a nutshell and straightforwardly, if you can afford it now at the current prices.... Do it, If you're scared and think too much, You will NEVER commit to a property. You just need to take that one leap of faith... and the rest will follow.
"You want to be greedy when others are fearful. You want to be fearful when others are greedy. It's that simple." - Warren Buffet
Times are good for investment now. But buy in the right place, a.k.a a central location like KL, PJ or Mont Kiara... if you can afford it.
Another example, what goes up will come down. And what goes down will come up. Everyone letting go of shares now, share market is like shit. What do you do? Buy now. What goes down will come up, remember?
Buy buy buy...But..do a research on
1) Location - always hold true.
2) Price - affordable and unit availability and surrounding market.
3) Potential to grow - 700psf or 800psf...ok kah?
4) Economic data - population, income, price movement, household debt ratio..
5) The easy 1...how may ppl can afford the price bracket for the property you are interested in based on our 'high-income' income country status?
6) Another most easier 1 is... ( there is a property group that you should investing it if you want to invest at this current situation)
my 2 cents
Yes, it's better to buy now compared to 3-4 years ago when it was the seller's market. It's the buyer's market now and buyers hold the power to choose which sellers and properties they would like to buy from. If you are a buyer, it's a great time to ask for lower prices.There are many below market value properties in the market now.
“These investors clubs made a mess by telling people to buy, say a RM600,000 unit, as they would be able sell it off for RM900,000 in three years’ time when it is ready. So that fellow (the flipper) thinks he can make RM300,000 out of thin air. He only bought it because he took advantage of the DIBS and the 100% loan. Otherwise, he wouldn’t have been able to buy.”
Siva says a lot of properties that were bought in this way in 2012 and 2013 are going to become ready and available at the year-end and in 2016.That is when the problem starts. Because with the property completed, the DIBS comes to an end and the housing loan kicks in, so the buyer will now have to start servicing his loan.
Because of the economic slowdown, the political uncertainties affecting sentiment, and the tighter banking regulations now, the buyer who bought a unit with the intention of flipping it right away might now find it difficult to sell even if he drops his price.
Saw this posted on Star today. Here you go http://www.thestar.com.my/News/Nation/2015/11/01/Good-news-for-renters-no-so-much-for-buyers/
At this uncertainty time, we can see plenty of discount and freebies offered by the developers for the new projects they launch which all these wouldn't happen at good time. Anyhow, we have to be careful in choosing good property to buy regardless of whether you are an investor or buying for own stay.
I think the bottom line is people want to know whether property price is going to drop in the near future. My thought is property prices to remain at current levels. Prices are not coming down too much because the cost of development is very high. Land and other costs are still going up. The properties priced between RM300k and RM500k will still sell. But, generally speaking, you will not see a surge in prices anytime soon.
I don't see any 'future' for price appreciation for next 10 years..
historically, for the last 10 years or previous property cycle, 1 person can afford to feed the monthly installment..10 years later or now, 2 person or a family or a household income to pay an installment...
..so..next 10 years or next property cycle...are we still anticipating a price movement like today..or like past few years..be frank, i don't see it coming...last 2-3 years, our property was full of investor groups..the so-called "the property investor group"..or friend-share-with-friend group..with the DIBS incentive..low entry cost..everyone claimed that the property market is looking "hot"..does it really "hot"? We shall see..
Back to square One for investing in property..
The best rule in property is to buy based on "location...location, location, location"..this term always hold true..the term is used by property valuers...many ppl seem to forget this....investing into a property based on developer's brand?...developer's profile?..developer's track records?..developer's DIBS?..ARE THESE THE most APPROPRIATED RULES..to me..it seems a bit crazy to me..
we shall see the effect in coming 2 years..
"the property wave has been roared for the past few years..it shall return to its original shape after the property wave passes"..this is just my 2 cents
over the past 2-5 years...many locations and their prices have been ridding to the property wave..those had ridden above it will come back to its original shape..
those below <300k is the best bet?
Always remember... Price is not equal to VALUE..
I'm not expert in analysing, but i just only knew few things, thats y i choose to invest in properties:
"" The best timing to buy the property is when you can afford it, if you can't afford it, just mortgage... anyhow will appreciate value over years.""
HOUSE = People need shelter
Commercial / Industrial = People need work place -
Land = You can build it !!!!
By Darren Loh ;)
buy buy buy,... cheap cheap cheap. As a buyer always want cheap n good thing. this is normal thing as a buyer.
question is as a buyer you like to ask, "Is it a good time to buy property now ? " or " are the property market will down ? "
first question is about your self (financially ) are your ready n for how much ?
second question is about the market (financial ) , if u are ready (financially ) than they is not a question here. as i know n understand we cannot sell n buy the property like share. Buy n sell in on day process.
buying property is a long term investment.
I agree with Darren Loh " The best timing to buy the property is when you can afford it" Hard to predict future, when you afford to buy, just buy. Don't look at the total amount of the property value, look at how much you afford to put down and from mortgage. If you only focus on property value, you will feel that forever can't afford to buy.
According to this article, some property prices are below market price leh. Check it out. Any comments?
And also, alot of people would be wary in this climate to spend any money..
Not the best time for economy, oil price down, banks margin droppings, manufacturing down, exports are fortunately up in ringgit value, but volume drop due to downturn in china...
Stocks are down, investors are fleeing....except China, putting in some cash in Malaysia... banks base rate might increase soon...
so.....is it a good time? I hope this is the best time for property as everyones selling.. and more bankruptcy means more lelong properties.. bad loans, and drop in ultimate value of the property..
Anyway , a new thought came to my mind.. "location location location"... last few years PRIME properties in KLCC are depreciating in value, and Its in a prime location!! A foreign friend of mine lost money, in the property he invested in this so called prime area, and said.. i was the stupid "kwai low" who bought into this...
So now agents and developers started giving excuse... why properties in such a PRIME location can depreciate in value, even crash. so if you hear some agents or developers sing song about location, size and all kind of crap.. in the end i think properties are not a good investment. Buy to stay can, but not as an investment.
yeah, thats the reason why i said... location doesn't matter, anymore.. so the excuse was size, was big and nobodys buying or renting.. even recently another friend bought a soho in klcc area.. cannot rent out.. what am i saying is property market is out of sync with the general population, it doesnt meet the purpose of buying a property anymore. Not suitable due to size, or too far from workplace. so if anyone sells a property by singing location, expat rental, good returns, good appreciation.. all of these will always be song.
Once force market selling, then it will be a good time to buy i suppose. So everyones waiting, Oil and most other sectors are seeing crash already. When the banks are stressed, you will see it coming down. Same like US, couple years back, property crashed in US, during Fannie Mae and Freddie Mac's time.
There is not good time or bad time to buy property. There is only whether are you ready to buy. For not season investor, buy when you ready. For Season investor, thats another story. Why? As not season investor, you only buy once in a while, just like share market you cant time it.
The main thing is do your due intelligence. Do your homework. Know more about the market before going into it.Talk to friends who invest and learn from reputable and track record guru