junior's toks

Buying a property

My friends like to ask my opinion before they buy a property. I think they just want to tease me.

My first property was a condo unit in Pandan Height. Bot it for RM 138,000 and today's market value is approx. RM 145,000. 5% capital returns for almost 5 years. Hmmm...that is not too bad. 1% return pa is better than nothing. Deoh bo? (deep down in my heart %$^&#*&$*&&#*)

How about the rental yield? Well, I rent it out for RM 700 per month, hence it is approx. RM 8,400. After deducting maintenance charges (well, I am a law abiding citizen), net rental income isw RM 7,200 (er...er....but I did not declare tax though...), the rental yield is approx. 5.2%.

I really cannot say that it is a good investment even after I refinanced the condo at a much lower rate (previously, I borrowed from Citibank and they are..er.e.....er..........).

I really dare not give any advice on buying property but I can certainly tell you the wrong way of doing it:-

• Don't buy a Talam property if you want to invest. Talam's product is not investment grade. Not many want to rent their properties because they are crap.
• Don't buy something that is cheap on a hill (Pandan Height for example), because it is really not a height.
• Don't buy a lower class condo (ahem...like I said, RM 140k is low cost to me) for investment because your neighbours, who are likely to work or own a KTV, are unlikely to help increase the value. The swimming pool will turn into a pond where you can rear fish
• Don't spend on lawyer fees, stamp duty etc if possible, get teh developer to foot it
• Don't q overnight for a property. It is silly and you need to go toilet

Learning from my first experience, my second purchase was better. I think I would make money. I bot a RM 179,999 condo in Bukit Jalil before the Stamp Duty exemption expired last year. Why?

• I am bullish on Bukit Jalil. I think it has a potential to become a IN place one day - good location, near the science park, good highways, a lot of green, LRT etc.
• The development is low density - 300 units for 5 acres of land
• The floor plan is good. SQUARE with no stupid pillars and corners.
• It has 3 + 1 rooms - easier to rent out
• No stamp duty and my unit is cheaper because it is facing west. I can fix this by doing some simple renovation.

OK, why am I writing all these?

GOOD NEWS, EXCELLEN CONDO FOR SALE in BUKIT JALIL. GOOD LOCATION, GOOD UNIT. NOT NEG. at RM 500,000!!!! Hurry!, call 1-800-Condo and make an appointment with Junior

Junior

posted by Junior @ 1:30 PM