New developments to share

[Newbie11]

If a place depends solely on foreigners, then it's doomed to fail like Dubai. Or even Sentosa cove. I know that Malaysians are big buyers. Even up to 100 units by single buyer. Well many think its doom and gloom. I beg to differ. Time will tell.

If u think this measure are screwing foreigners, then how abt sg gov who has introduced much more drastic measures? Isn't that more deterrent to foreigners? Yet u still PR paying absd on $3m purchase.

 

[cybermad]

Expect prices of commercial and industrial units to rise, since they are subject to 6% GST. Expect lots of the non-medini condos to be in bad shape, since these cant be resold to foreigners anymore. Condo lelong is but a matter of time imho.

Not all condos will lelong. the higher end ones will be more resilient. in fact they may see appreciation as foreigners who value safety and facilities will have no choice but buy them now.

 

[RedsYNWA]

Not all condos will lelong. the higher end ones will be more resilient. in fact they may see appreciation as foreigners who value safety and facilities will have no choice but buy them now.

Lots of non-medini condo are way < RM 1m range. Many locals/foreigners buy, in hope of reselling to foreigners. I agree the higher-end ones will be more resilient, but there are so many lower-end condo projects currently.

And as we all know, given a choice, the locals will prefer to stay in landed.

 

[shctaw]

I see a rush of developers to change their floor plan of their new projects.
Developers will build bigger units and set the price at RM1m onward.

The market will be interesting for the "million dollar property segment".

Local investors will now only look forward to buying RM1m properties if it is an "investment".
The foreigners will provide a floor on the "million dollar properties". Which mean any foreigners' properties will surely be RM1m and above in the future.

And once again we must thanks the Malaysia Government for making the condos a "millionaire games" which will further widen the gap of the rich and the poor.

Malaysia Boleh.....

 

[RedsYNWA]

I believe there will come a time when the JB rental market is more vibrant. Come 2019, when the RTS to SG is ready, the JB condo rental market will take off. The question is whether most pple can hold till 2019? As most condos TOP in 2015/16, there will be a 3 year gap, where we will see the extent of the mass locals' holding power.

 

[malpaso]

Is no DIBS immediate ? Means today onwards no more DIBS ?

if i interpret the wording correctly the new ruling means:
Developer cannot offer any project with DIBS scheme. So most likely, those launched and sold out with DIBS shuld not affected. I mean, all the fundig and loans all done already, how to backtrack.

 

[Chocolate]

That is the million dollar question as my parents has signed the SPA in September and we are told by our lawyers that the state consent result will be out some time next week. Hope no issues and they can get their unit and retire happily there.

Sigh... Malaysia really cant think of a better idea to cool down their market. They should have implement something like here in SG where HDB is only for locals to purchase at a low price and privates are meant for everyone but implement ABSD or something equivalent

Below 1M is now effectively their version of HDB since foreigners cant purchase. From Malaysian point of view its a good move, for those buying for own stay as now they will not have to compete with foreigners for houses in the moderate bracket. Its only investors who may not be happy as prices wont move up so fast and its hard to flip.

 

[malpaso]

But you cant flip your houses to foreigners any more. Even if they are willing to pay RM 1m, the state valuation may be less. So no-go. I will just market my property in MY instead to target local buyers. Forget abt SG agents, unless they can get PRs buyers who work in SG. I don't want a case of a foreigner willing to pay RM1m, only for the deal to be scuppered 3-5 months later, due to state valuation < RM 1m.

I expect to see more (28 x 90) 3-storey terraces to be launched in MY as a counter-measure soon.....

the way i see it, many singaporeans have no problem paying 1M . but i think the suddenpolicy change to up the price to 1M still stinks. as you correctly noted, a lot of developers will now start building more expensive houses. luckily you are having properties in molek, which will always see strong demand from locals. also dun forget the SPR, or those with m/sian spouse.. can still buy your house.. that's why i mentioned.. you beri smart boy.. hehe.

 

[ahhock24]

Good news:

RPGT 30-15%, GST 6%, sugar subsidy removed, petrol subsidy cut, Malaysia unofficial inflation rate for 2014 will be 30%.

 

[Chocolate]

But you cant flip your houses to foreigners any more. Even if they are willing to pay RM 1m, the state valuation may be less. So no-go. I will just market my property in MY instead to target local buyers. Forget abt SG agents, unless they can get PRs buyers who work in SG. I don't want a case of a foreigner willing to pay RM1m, only for the deal to be scuppered 3-5 months later, due to state valuation < RM 1m.

I expect to see more (28 x 90) 3-storey terraces to be launched in MY as a counter-measure soon.....

From what I can see from a few Singaporean friends who tried to make purchases recently they are pushing down the valuation. I think only properties safely abv the 1M mark, as in they were sold abv 1M are likely to 'safe purchases'. Even then a buffer may be needed like 1.2M. I hear some properties that SP Setia sold just abv 500K couldnt get approval as the govt valued them at below 500K upon VP. So even if you buy a house at 1M, you may not be able to get approval to sell at abv 1M, especially if the 1M is gross price before the developer gave discount/ rebates whatever you call it. Its not abt how much foreigners are willing to offer but how much the valuation is. Having said that, in the better areas in Nusajaya favored by foreigners , its hard to find landed below 1M anyway, I mean East Ledang, HH, BI( the real BI, not surrounding areas)as developers are no longer pricing landed below 1M. But condos will be hit, this will be true test as many of their units are priced below 1M, especially smaller units.So bigger units maybe the way to go.....

 

[malpaso]

Good news:

RPGT 30-15%, GST 6%, sugar subsidy removed, petrol subsidy cut, Malaysia unofficial inflation rate for 2014 will be 30%.

hahaha.. yeah. GOOD news. malaysia power. another side note: MYR may strengthen in mid term? you think?

 

[Chocolate]

hahaha.. yeah. GOOD news. malaysia power. another side note: MYR may strengthen in mid term? you think?

That was the prediction, that if GST is announced RGT will strengthen, short term anyway. I guess its anyone's guess, fasten your seat belts, its going to be a bumpy ride!

 

[RedsYNWA]

luckily you are having properties in molek, which will always see strong demand from locals. also dun forget the SPR, or those with m/sian spouse.. can still buy your house.. that's why i mentioned.. you beri smart boy.. hehe.

I not boy leh, middle-aged liao! Haha.... Regardless, my resale buyer pool has shrunk liao. Was hoping that the Japanese & Singaporeans can form another buyers' pool, besides the locals.

E.g. Molek Haven terrace was recently bought by a Japanese in the resale market. Now, no chance of that happening liao in the immediate future, even if 'Little Japan' town materializes.

 

[kezgtree]

....more like 4 legged snakes..LOL

 

[RedsYNWA]

From what I can see from a few Singaporean friends who tried to make purchases recently they are pushing down the valuation. I think only properties safely abv the 1M mark, as in they were sold abv 1M are likely to 'safe purchases'. Even then a buffer may be needed like 1.2M. I hear some properties that SP Setia sold just abv 500K couldnt get approval as the govt valued them at below 500K upon VP. So even if you buy a house at 1M, you may not be able to get approval to sell at abv 1M, especially if the 1M is gross price before the developer gave discount/ rebates whatever you call it. Its not abt how much foreigners are willing to offer but how much the valuation is. Having said that, in the better areas in Nusajaya favored by foreigners , its hard to find landed below 1M anyway, I mean East Ledang, HH, BI( the real BI, not surrounding areas)as developers are no longer pricing landed below 1M.

Yes I agree the marginal RM 1M case is risky. Actually I feel all the terraces are risky cases, as you are at the mercy of the state valuer. No issues with atas semi-ds & above though... But resale is harder/longer for such cases, should one need to dispose.

 

[malpaso]

I not boy leh, middle-aged liao! Haha.... Regardless, my resale buyer pool has shrunk liao. Was hoping that the Japanese & Singaporeans can form another buyers' pool, besides the locals.

E.g. Molek Haven terrace was recently bought by a Japanese in the resale market. Now, no chance of that happening liao in the immediate future, even if 'Little Japan' town materializes.

yup, pool has shrunk somewhat :( you're right about the condos. a LOT of people (locals too) bot those 500k+ condo for flipping.. aiyo. i can't imagine..

 

[RedsYNWA]

you're right about the condos. a LOT of people (locals too) bot those 500k+ condo for flipping.. aiyo. i can't imagine..

Country Garden will be so pissed too..... Maybe they can lobby Najib for a U-turn on the condos threshold, being so influential in China....

 

[ahhock24]

hahaha.. yeah. GOOD news. malaysia power. another side note: MYR may strengthen in mid term? you think?

Nope with Malaysia deficit, it can only worsen. More subsidies need to be removed and GST increase, til their balance sheet improve. Printing machine also on standby in case income cannot on par with developed nations by 2020.

 

[ahhock24]

Good news:

Foreigner minimum $1m.
Malaysia is finally wooing the high net worth individuals, instead of just retirees. Good for the econmy. Should hv another datuk status category with minimum $10m to attract the ultra-rich.

 

[MolekPrime]

Does anyone know when does the RPGT take effect? Jan 1st or immediate?