How can Home Owners benefit from BNM’s 6-month loan deferment?

Those of you who are homeowners and are still serving the loan period may know that Bank Negara (BNM) has implemented a nationwide move to automatically apply a deferment on the loan repayments/mortgages for all borrowers in light of the current COVID-19 pandemic.

Before we go deeper into how this affects you and what you could do to benefit on the situation, these are the quick points to get your basic knowledge covered on the subject:

What is the deferment of loan or financing payment?

It is a temporary deferment or suspension of loan/financing payment obligation (principal and interest/profit) for a limited period of time. During this period, borrowers/customers with loan/financing that meet the conditions do not need to make any payment, and no late payment charges will be imposed. Borrowers/customers will need to honour the deferred payments in the future. Loan/financing repayment resumes after the deferment period and if such repayments are not fully settled when due, late payment penalties will be imposed. Interest/profit will continue to be added (accrue) on loan/ financing payments that are deferred and borrowers/customers will need to honour the deferred payments in the future. Loan/financing payment resumes after the deferment period.

Which loan/financing qualifies for the deferment?

For individuals and small and medium enterprises (SMEs), the deferment in conventional loans or Islamic financing payment obligations (except credit card) is automatically effected by Financial Institution’s (FI) if the loans/financing meet these criteria:

not in arrears exceeding 90 days as at 1 April 2020; and

denominated in Malaysian ringgit.

Meanwhile, corporate borrowers/customers may request a deferment on loan/financing payment from their respective FI’s.

Note that the rescheduling and restructuring (R&R) program under the FI’s are eligible for the deferment subject to meeting the criteria.

It’s great that BNM enabled all Banks to auto-implement the moratorium/deferment to help the public and individuals with their repayments. Despite so, there’s no such thing as a free lunch, let’s look into both opting out or staying in for the deferment;

OPT-OUT FROM DEFERMENT / MORATORIUM

Should you wish to opt-out from the deferment, BNM has suggested to reach out to your respective FI’s and inform them of your choice to do so.

Your repayment period remains the same, without any extension or increment in fees; you’ll continue to enjoy your same lower monthly payments as usual.

This is definitely a huge plus point for those who have already budgeted the next 6 months and is still able to manage their finances during these uncertain times.

OPT-IN FOR DEFERMENT / MORATORIUM

The interesting part may be to opt-in.

You may need to think about how this affects you and the likelihood of your income if it will be affected by the Movement Control Order (MCO). If you’ve made it in life, but you are collecting income from many of your rental properties, or if you’re heavily invested into Commercial real estate, the future for these investment vehicles may look uninteresting if your tenants were to close their business due to the pandemic, because it’s not just one tenant/business, it’s a global phenomenon.

The reason why it may be interesting to go with the automatic opt-in is that most banks have decided to
not
 implement a compounding interest that derived from the deferment. Meaning to say, there will also be no late charges or penalties for this period, and it will not affect your CCRIS credit score with BNM.

Here’s the full bank list who are not charging additional fees/compounding interest on your principal during the deferment period (April 1, 2020 to Sept 30, 2020):

OCBC

Public Bank

Maybank

CIMB

RHB

HSBC

Ambank & Ambank Islamic

Affin Bank & Affin Islamic

UOB

Citibank

Standard Chartered Bank & Standard Chartered Saadiq

Alliance Bank

Hong Leong Bank & Hong Leong Islamic

What would my housing loan/financing monthly payment look like after the 6 months deferment period?

BNM’s illustration of a conventional housing loan is based on these assumptions:

No extension of tenure after the deferment period

Loan amount – RM300,000

 Interest rate – 4.6% p.a. (interest not compounded during deferment period)

Original tenure – 35 years, and borrower has repaid for 5 years

Principal and interest payments suspended during the deferment period

Outstanding principal before deferment period – RM280,585

Outstanding amount post-deferment to be repaid within 29.5 years = RM287,038

Monthly instalment before deferment RM1,438

Monthly instalment after deferment  RM1,483 (RM45 increase)

By now, you would have seen a message via SMS or an email to you regarding the automatic opt-in. If you don’t it’s advisable to reach out to your FI’s to seek clarity.

With regards to Mortgage, loans/financing under progressive release (for example; properties under construction) is eligible for the automatic moratorium. Yes, it’s extended to loans/financing under progressive release, where monthly progressive interest will be accumulated during the moratorium period. However, progressive interest/profit due on 31st March 2020 must be settled and will not be accumulated.

If you have more questions in details on how the deferment/moratorium works for other Financial vehicles, you may visit your respective bank sites (linked above) or to
BNM’s website here
 or check out their
FAQ (Updated 30 March 2020)

We wish all Malaysians to #staysafe, #stayhome and save money during the MCO lockdown. We hope that the situation clears up soon so everyone can go back to their normal lives. We thank you for all those who followed the MCO procedures set.

Should you be considering a home purchase soon, you may read our other articles below and visit bumbung.co for the best selection of homes in the secondary / sub-sale market. Our aim is to provide the best experience for our buyers and sellers while having the most complete set of properties for your choosing.

Why buying a secondary market / second-hand home is a good idea?

How to buy your first property in KL

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A tech enthusiast seeking beautiful homes. Sometimes I write.

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Real Estate Fraternity Remain Resilient to ‘ride-out’ this Covid-19 Economic Fallout?

If ‘MakCik Kiah’ sounds like a friend of yours, let them know to be self prepared. Real Estate Fraternity need to be resilent in times to come.

At the offset i confess that even though many in the real estate fraternity is privileged to share a ‘MakCik Kiah’ income level; likely not many of us is able relate exactly. This post intends to serve as reminder to ‘stay hungry’ & ‘brace yourself’.

Time is of the essence in this all-out-war against Coronavirus, and on last Friday (27 March) Prime Minister Tan Sri Muhyiddin Yassin introduced a 2020 economic stimulus package that shines a light on those who resembles the persona of ‘MakCik Kiah’. Is the initiative really enough for us to ‘ride-out’ this Covid-19 Economic Fall out? Assuming that it will take about 3-6 months after the flatten curve of infection rate.

Firstly, we cannot help but to wonder if our government has put enough juice into the economic stimulus to outlast the Coronavirus Pandemic period. Assuming if there’s still no cure and we may not have the right execution to curb the virus, are we able to dig further into our reserves to stimulate growth or this ‘MakCik Kiah’ analogy is all there is for all Rakyat to fall back on? Truth is that even though we are touted to recover from the Coronavirus Pandemic by June 2020, the same don’t apply for economic theories. Many of us should be aware that we need approximately 9-months for markets to recover.

Also there is just a lack in multiplier effect apart from the direct spendings that we would have to spend anyway in any economic conditions.

Secondly, let us dive into this widely popular #MakCik Kiah analogy for those who are in the real estate fraternity. Assuming that John fit the analogy but instead of selling Pisang Goreng that nets around RM1,500 a month.

John is in the real estate fraternity that earns a gross income of approximately RM4,000 per month but fluctuates periodically. In the last economic slowdown which we thought it had bottomed out, earning RM4,000 wasn’t easy.

Unfortunately John is self-employed and a contract for service professional that risked a fixed pay lifestyle to participate in Malaysia’s real estate market hoping to earn a better living standard for himself. But being in the real estate fraternity has already ruled him out from the RM 1,800 Prihatin Package;

1. BSH Balance of RM600

2. Pension Aid of RM 500

3. E-Hailing Cash of RM 500

4. Rela Aid of RM 200

It is great that this package allow John to defer his fixed repayment up to 6-month. Therefore extending John’s loan maturity date for another 6-month. With the entitlement for RM500 in M40 Bantuan Prihatin as a single. That is payable by 2 trenches April & May. Preached amongst the real estate fraternity is an eye of the tiger mindset, John stayed strong.

However lets have a look at John’s Coronavirus expense briefly.

1. John owned a 1.3L G-Manual version of the brand new Perodua Myvi 2018, which has a price tag of RM44,300 and on a 90% loan John is responsible for a RM767.50 loan repayment a month.

2. John is fortunate to be able to spot an excellent apartment back then for RM350,000 and on a 90% loan John is responsible for RM1,394 loan repayment a month.

3. John is careful and subscribes to a Medical Card (Insurance) for protection. In case if any accidents were to happen he is taken care of with RM100 monthly premium.

4. John has got a credit card debt of RM500, accumulated from his credit card which promised petrol rebate at Shell, BP & occasional Japanese restaurants.

John thought that since he was able to defer RM2,261.50 GREAT!

To be able to defer all above to 6-month, John only needs to worry about his credit card liabilities. Assuming that John was lucky to have earn RM4,000 during march prior to MCO. In April with government’s Bantuan Prihatin Package of RM250 & 50% savings John now have a budget of RM2,250 to get him through. Because April Sales paycheck is gone by now. Fair enough?

Now John next 50% sav
ings of RM2,250 with Bantuan is crucial for May. It leaves John with no option but to make it or break it during May 2020…

Little did John know, MCO is over and he failed to generate a May paycheck and forced to dip into the remaining reserve of RM2,500.

John start falling short and start scrambles with his remaining savings of RM2,500 with May’s Bantuan Prihatin Package. Loan deferment is still in play. Eye of the tiger mentality, John is hopeful of the situation, but credit card interest is accumulating. When will it be sunshine and rainbow?

Because in June, it will be John’s end-game in terms of contingency plan. What should be John’s next move? Will the economy fire-up now after RM250bn stimulus plan? Or perhaps Government will consider relooking into a ‘KisahJohn’ analogy for the real estate fraternity?

Accepting the fact that John had to live hungry during June, he is already exposing himself in an uncomfortable position for the subsequent months. All this while the RM250bn stimulus is in play.

With a flick of a switch John realised that in order to ‘ride-out’ this economic fallout, he needs a refreshed mindset. To be wise in spending, keep business account on a separate tab, be really frugal, working harder and smarter after MCO period is lifted.

John keeps his eye on the goal all the way through, he learnt that he needs to reinvent himself in order to continue closing deals in the real estate fraternity.

Looking ahead after the situation has cleared, John would remember the measures he took at this time to SHIFT into the right gears. Also there is absolutely nothing stopping John with his tiger eyes and anew mindset.

John start seeing sunshine and rainbows after immediately diving into learning and grasping new skill sets and techniques to generate sales digitally in 2020.

John with a great self-reliance forged ahead anyway.

Warmest Regards

Anonymous John

Bumbung.co’s Local Expert

#Stayathome #dudukrumah

#KisahJohn #Bumbung&John

If you’d like to know more about the team behind Bumbung, drop us a message below or email founders@bumbung.co with your questions.

Bumbung.co Team (Picture taken in Nov 2019)

We recently wrote a piece about the BNM’s 6-month loan deferment, smash the picture to read more;

BNM’s 6 month’s deferment / moratorium: A solution or conundrum?

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Commercial Properties & Luxury Developers have worst outlook post-MCO lockdown according to Agent Market Sentiment

A Market Sentiment survey by Agents found that Secondary Market (Subsales) and Rental are expected to pick up the most growth post-COVID19 lockdown

Uncertain times ahead for the property sector

KUALA LUMPUR: Real Estate Agents and Real Estate Negotiators (REN’s) are bracing themselves for a slowdown, especially among those who are concentrating their efforts on Commercial Real Estate and luxury project sales. A recent market sentiment survey by therooftalks.com, a real estate news and lifestyle weblog was conducted among the active local Real Estate Agents and REN professionals to evaluate the impact of COVID-19 towards their respective markets. From the findings, it looks like the winners and losers are clear with optimistic Agents and RENs sharing that there will be a bullrun in transactions post-MCO for buyers who are looking to pick up good deals from homeowners who are looking to consolidate their assets, especially those who are in the commercial sector with little holding power.

Listening to the man on the street

With Agents being in close relations with their clients; buyers and sellers, they’re aware of what’s going on, and if there’s any doubts and concerns about proceeding with ongoing transactions with their clients. The Agents who responded to our survey mostly represent the Residential Secondary Sales (Subsales) composition cluster (35.2%), Residential Rentals (24.1%) and Commercial Sales/Rental (14.8%).

With the central bank, Bank Negara Malaysia (BNM) recently reporting growth in 2019 in the residential sector, it explains that 83% of transactions that are accounted for in 2019 is valued below RM500,000.

Softer Overall Market impacts morale

In BNM’s recent Annual Report, they expect housing transactions to continue with a downtrend, as the unemployment rate is also expected to rise up to 4%, in line with the findings as collected from the Agents. However, there is a cluster of Agents who believes that more transactions will take place in light of the COVID-19 situation, where homeowners or investors who do not have the holding power would need to sell it fast to accumulate their assets to tank into the 2nd half of 2020.

Shifting Gears to find new Gold

As unsold properties and new projects saw a sales growth in 2018-2019, it was largely because of the government, developers and BNM’s effort over the Home Ownership Campaign (HOC) that allowed waivers on transaction/stamping fees that saved buyers a lot of money. With the start of 2020 taking on a pandemic, the market is once again left open to the onslaught of sentiments to dictate if it goes up or down.

Just by looking at the above bar chart, we can see that many Agents are leaning towards a stronger growth on the Subsale market than the other property markets. There’s still a good number of Agents who believe that New Project sales that are rightfully priced and the rental market will pick up in numbers as shown in the Agent market sentiment survey results.

Diving deeper into the winner and losers post COVID19 property market sentiment, the Agents and RENs expects to see a cut in growth or a significant downtrend. About 48.1% of Agents and RENs feels that Offices, Shop lots and Commercial Real Estate would be significantly impacted by the COVID19 onslaught, as it would affect overall sales transactions and rental returns especially for businesses that were impacted by it. The rest of the 51.9% is almost equally spread in terms of Impact towards the other respective markets, with a note that the Luxury market may have more impact and that the Subsales market may have the lowest negative impact from post COVID19 MCO.

From the pie chart above, we can see that slightly more than half of the Agents and RENs are likely to remain their position even despite the likelihood of a MCO extension in lieu of the worsening COVID19 situation. A third of them (33.3%) may be out of work and unemployed due to the harsher conditions, as we know that almost all Agents in Malaysia are on a contractual basis. Our Market Sentiment survey findings show that they’re very likely and quite likely to change their line of work (if at all successful to transition into a new role).

Though this survey doesn’t necessarily represent all the Agents from the industry, it’s a safe presumption that from an early look at it, it’s an indicator for a recession.

It’s not all devastating news, there’s a light at the end of the tunnel

We looked back at what the numbers were like since the last global economic downturn, especially what happened since the 2008 market crash. We saw large movements in the real estate industry 2 years after as the economy picked up. A look back into 2010-2013, Malaysia recorded an increased number of transactions and property transaction prices.

According to The Star report, it said that over a 20-year cycle, property prices have moved up by as much as 45% on a national basis after an economic crisis but dropped by a fifth in each recession.

Adding on from the report, “In the 1986 recession, prices dropped 20% over a two-year period but during a seven-year upturn, prices went up 45%. During the 1997/98 Asian financial crisis, prices went down 20% but rose by much as 45% after that for another seven years or so.
Between 2008 and 2010, the market was down by another 20% but from 2009/2010 onwards, it has been rising. It is still rising today. But salaries have not risen in tandem.”

If it works out as expected, brighter days are ahead of us after the storm. Our advise to all real estate professionals on what to do during the COVID19 situation is to hang on tight and ride it out.

The Star Report source:
 https://www.thestar.com.my/business/business-news/2014/07/16/measures-hamper-speculators-number-of-transactions-down-but-prices-on-uptrend

____

TheRooftalks.com
is a lifestyle and property blog to get the latest news and coverage about the property scene in Malaysia.

If you’re looking for the best picks of subsale homes by trusted Agents in the Klang Valley, visit
bumbung.co
 to look for the best homes in TTDI, Bangsar, Bandar Utama, Ara Damansara, Damansara Uptown, Saujana, Tropicana and Petaling Jaya.

If you haven’t read our previous article about
“John, the Agent – If Mak Cik Kiah was a realtor”
 to see what help can you get during this difficult time. Head on here to read the full story:
http://therooftalks.com/2020/04/03/real-estate-fraternity-remain-resilient-to-ride-out-this-covid-19-economic-fallout/

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Kelly Matchoffice

on 22 May, 2020 at 17:15

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I don’t think the consequences will be severe – it is hard to predict. Maybe prices will rise up to the sky and maybe they will drop down. Interest rate in real estate dropped drastically the other month but for now as may be seen it is starting to grow gradually to the previous levels (as before the Coronavirus).

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SME Stimulus Package in Malaysia, a Knee-Jerk Reaction?

Malaysia’s Prime Minister Tan Sri Muhyiddin Yassin recently announced an enhanced SME Stimulus Package of RM 10 billion for small and medium enterprises (SMEs) to weather the storm caused by the Coronavirus Pandemic.

RM260Bil Stimulus Package Breakdown

Breakdown of Malaysia’s 260 billion SME Stimulus Package

Source: Prime Minister Text Speech, NST & CIMB

An overview on the latest SME Stimulus Package :

 Larger provision for wage subsidies.

 Micro Business Grant of RM 2.1 billion to be awarded to over 700,000 businesses.

 To reduce existing 2% interest rate to 0% under the Micro Credit Scheme provided by Bank Simpanan Nasional (BSN) and also extend to TEKUN national with a maximum loan limit of RM 10,000. All applicants is limited to one selection only.

 Leases & Tenancies under Government-Linked Companies (GLCs), are eligible to apply for waiver or discounts.

 A reduction in foreign worker levy by 25% for work permits due to expire by 1st of April to 31st December 2020.

Is my business entitled for wage subsidy?

Under the latest wage subsidy program it is now totalled RM13.8 billion instead of RM5.9 billion that was announced over 27th march.
This applies to all companies with local employees earning a monthly salary of RM4,000 and below.

For business under the below mentioned categories, the entitlement cover over a span of 3 months :

SMEs scale

Micro

Mid-Size

Large

Definition

< 75 Employees

< 76-200 employees

201 employees and above

Entitlement

 RM1,200 per employee

RM800 per employee

RM600 per employee

But in order to be entitled for the above programme;

 Your business must be registered before 1st of January 2020;

Business owners must contribute PERKESO for each employee entitled for wage subsidies programme;

All business must experience a 50% decline in sales except for micro SME;

Mandatory to be registered with Companies Commissions of Malaysia (SSM) before 1st January 2020;

 Applies to local employees with
RM4,000 salaries and below only.

Entity enrolled in the programme are not allow to retrench employees within the next 6 months.

Registration is open for application on
prihatin.perkeso.gov.my
 from 9th April 2020.

Giving recognition to the SME Stimulus where it is due

To begin with, loan moratorium is perhaps the game-changer for many small to medium enterprise (SMEs). Through an extension of loan maturity date, this allows relevant stakeholders to recoup their cash flow and prepare ahead.

Additionally, with the package many small to medium enterprises (SMEs) will enjoy immediate savings in payroll deductions, with some form of right-sizing, businesses may have a higher rate of survival as a whole.

Needless to say Micro-SME seems to be the largest beneficiary from the package. Businesses who are entitled will be eligible for a grant of RM3,000 and credit scheme of RM10,000 at no interest. For Micro-SME this is an appropriate measure to stimulate aggregate demand.

Even though national reserve is running low, is a blanket consideration for all businesses that experience a decline in sales over 50%, fair to all small to medium enterprises (SMEs)?

Is this the end? Or what is next?

From my point of view, this SME Stimulus Package is unlikely to help small to medium enterprises (SMEs) to weather through the Post-Pandemic storm. Being mindful that the majority of the global economy is brought to a halt, there is just no place for short-sighted moves to shine.

 Back in The Great Depression, it began in 1929 and lasted until 1939.

 Meanwhile, The Great Recession in the US started in December 2007 and lasted until June 2009.

Although, the sheer size of the above mentioned statistic GDP dwarf the kind Malaysia holds. But policy of such scale should be long-term and not limited to during and post MCO period.

Also back in 2009, our fiscal deficit stood at 6.7% of our Gross Domestic Product (GDP). However in an interview with Bernama, our finance minister Tengku Datuk Seri Zhafarul Tengku Abdul Aziz is assuming a stretch of only 4%.

Being optimistic should be a layman’s duty.

The Final Say

Frankly, Malaysia government is trying to create the best multiplier effect through this fiscal policy (optimism inserted here). However just like all other taxpayers in Malaysia, we cannot help but wonder if the government has tried hard enough to maintain peoples confidence while undertaking such a large scale spending in the economy.

Also, at times like this effective automatic stabilisers in the economy such as Employee Insurance System (EIS) should be prioritised as it will serve as an effective measure in future.

Even though tax cuts and rebates has not been a widely supported measure in this fiscal policy. Studies
 have shown that if targeted at the lower income household it will be more likely to reflect on aggregate demand especially true for M40 & B40 group. Tax cut can also come in form of property related taxes such as Quit Rent & Assessment Rates.

Lastly, to those who are not entitled for the SME Stimulus Package. Brace yourself. Unfortunately you are on your own on this one and you should look into leaner approach to operate your business.

Perhaps when push comes to shove, for the survivability of our people we will thrive.

I keep my fingers crossed, i hope you do too.

TheRooftalks.com
 is a lifestyle and property blog to get the latest news and coverage about the property scene in Malaysia.

If you are keen to find out more about the team behind
Bumbung.co
, drop us a message below or email founders@bumbung.co with your questions.

Bumbung.co Team (Picture taken in Nov 2019)

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Should you buy a home now, post-MCO or wait after COVID19?

Buy now or wait?

In the past few weeks, our team and Agents at Bumbung have been asked by friends and clients if they should continue to buy their home now (right after MCO) or wait until the market further drops? Seeing that many buyers and sellers are worried about transacting now, which puts us in the question of asking if the market has come to a complete halt or slowed down in a huge way?

The TLDR answer to this is yes, you should buy a home now- if you can afford it, but it depends on what you’re buying. You should know that buying a home/property should fit your purpose whether be it for own stay or for investment. Read on to find out how you can benefit the most during these recessionary times and what lies ahead after MCO and COVID 19.

All about timing

Buying a property especially for investors, they know that timing is everything. For long term investors and short-medium term investors, buying a home now during this period may be interesting for you especially if have the financial means. The results from the past economical impact show us fascinating trends that made a lot of people very rich during similar recessional times with a similar pandemic/virus outbreak.

Data sourced from
http://napic.jpph.gov.my/portal

In the 1990s, we’ve seen how the Asian Financial Crisis and the Nipah virus have caused the massive drop that you see between 1997-1998 period that affected the market trends. As a result, people were afraid to spend as there were a lot of uncertainties, some even had to let go of their real estate assets at a weaker price to consolidate funds. If you look closely at both charts, there’s a silver lining here.

The 1998 crash has reversed property prices back by a few years to 1993-1994 prices.
The truth is whether you may agree with it or disagree, the fear and climate have set the perfect window of opportunity for investors to swoop in and fiercely negotiate a better deal. This is where we believe it would be one of the most important points to decide if you’re able to ride the opportunity post COVID19. As the famous Warren Buffet investment saying goes;

“
Widespread fear is your friend
 as an investor because it serves up
bargain
 purchases.”

“We should be
fearful
 when others are greedy and be
greedy
 only when others are fearful.”

        – Warren Buffet

Lowered Bank Rates

The current pandemic has set a massive opportunity for buyers; Bank Negara Malaysia (BNM) has lowered their Overnight Policy Rates (OPRs) allowing lenders to adjust their rates and tariffs, making room for lower interest rates borrowing that serves as a major catalyst for buyers to borrow more while keeping repayments lower than it was.

Read about
BNM’s announcement here regarding the OPR change

So, we are looking to buy a home now, but which one?

Another interesting debate that goes on for buyers, as advised to our friends and clients, I sincerely believe that there may be gold on either side of the pot, in this scenario, how much gold would your property be worth over a period of time post COVID19?

This being said, if you’re buying-to-stay, then you should prioritise convenience and accessibility while considering what the place has to offer. If you’re looking at a short-mid term exit or if you plan to keep the property for long term, making clear of your financial goals as a short-mid term investor or long term would help you decide better. Once you’re certain, let’s look at both New Projects and Subsale Properties to help you decide on what to buy after COVID 19.

New Projects (Primary Market)

If you’re thinking of buying a new home now (Sell-then-build), many developers are desperately marketing their latest concepts, so you’re in the best position to be selective. Selecting the right property highly depends on a good developer with a sound record, in an area that they are familiar with, building products that compliments one another, that organically brings in good foot traffic, and if the end product would be delivered with the quality and fittings they promised.

Read more:
New vs Old homes – Decide which to buy

After checking through all of those items, of course, the main things like the location and price would matter a lot, because it ties back to your Rental yields. And as far as rental yields go, new projects, which are often condominiums or mixed developments, would come with hundreds or if not thousands of other owners who will be competing with you once you have received vacant possession. A rush to get the first few good tenants may drive the rental yield down further, and to wait for new tenants may take months, if not, slightly longer than a year. Making this not a viable choice for investors who are looking for short-mid term holding.

The long term strategy is to select a place that you know would have a high potential for foot traffic or a building/area of interest, school/university, office centres or a mall nearby. Places with this strategic organic mix of the community will increase in its value over time as people would always value convenience when it comes to projects.

Our recommendation is that if you’re unsure of the potential of new projects, and that you’re making this your main investment vehicle, it’s best to hold off first unless you’re absolutely sure or if there are some special features that would pre-determined its demand, eg. the only condo apartment with a golf course access, or a confirmed development of a new university building in the next town. Our advice is to buy your home within an area that you are already familiar with to be safe.

Subsale (Secondary Market)

Buying a Subsale (existing home) in a matured neighbourhood would make a better house purchase choice for the post-MCO COVID19 market.

There’re a few reasons for this conclusion. When you buy a Subsale home:

These neighbourhoods are working efficiently, where demand is healthy. Meaning there are always transactions as people are upgrading from a smaller home, downsizing from a bigger home, or holding on for investment.

Subsale homes make better, stable Rental yield as you can control the prices in the area especially when supply is limited.

We are predicting a small slide in prices (10-15% change) as we expect more Owners to enter the market as Sellers. Their needs and priorities would have changed especially if jobs were affected amidst COVID19 recession.

Unfortunately, those who have succumbed to the Coronavirus would have their wealth passed on to the next of kin, and without any inheritance tax, the property may be put on the market and would like to be sold quick especially if there are more than a few recipients.

Apart from the reasons above, the Subsale market would make complete sense for those who have money and are looking for a short-term 4-5 years\ investment play and also for their own stay.

These secondary houses come in all shapes and sizes, with extensions built-in together with bells and whistles or as basic as it gets. The latter being the more appealing factor for the 4-5 year investment play as many see it as an adventurous project to make it work for them as either a BnB (Bed and Breakfast – short stay), flipping the house or for own stay.

Of course, this requires a further influx of cash injection for the renovations and interior works, but with the mortgage and loan refinancing options becoming more appealing to borrowers, this may work out as a viable option. As the market tries to recover back to where it last was in the next few years, your property would’ve already made a good chunk of cash plus change, thanks to better margins when you bought it at a dilapidated state.

_____

TheRooftalks.com
 is a media arm of Bumbung, covering all the local news in the property space and so much more.

If you are in the market to buy or sell a home, you may check out
bumbung.co
 to find the finest real estate collection in the Klang Valley, we cover areas such as Tropicana, Ara Damansara, TTDI, Damansara Utama, Petaling Jaya, Bangsar, Bandar Utama and Subang Jaya.

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Author

Gadiy Lim

Co-founder of Bumbung.co.
A tech enthusiast seeking beautiful homes. Sometimes I write.

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New Billionaire Rankings – Who Was Hit The Hardest When COVID-19 Pandemic Halted The Stock Market?

Many of the billionaires that we see and know of today have made their riches from opening successful businesses, whether fortune 500 companies or tech conglomerates that originated from their home garage. We know that the COVID-19 pandemic has hit everyone from all walks of life, but in the case here, we will take a closer look into whose ranking has been affected since the widespread of the virus.

Unlike the scene in the US, where it’s home to most of the publicly listed billionaires, we had a look at some high net worth profiles here on our shores.

“Widespread fear is your friend as an investor because it serves up bargain purchases.” – Warren Buffet

Covid-19 took the world by surprise. It happens so fast and we were not prepared for it. Like a tornado that hit the Mississippi, swept out the infrastructure, people and all the things in the way, Covid-19 also did the same except on the bigger scale: 7 billion people.

Forbes (
Real-Time Billionaires
) announced the list of billionaires for the year of 2020. With a prediction of US$700 billion depreciation, 51% of this year billionaires actually became poorer overnight.

This year’s public billionaire list recorded a total of 2,095 individuals with a total net worth of US$8 trillion. Compared to the last year’s, the number of billionaires recorded was 2,153 individuals. Out of all of them, we learned that 12 of them are Malaysians.

The pandemic had caused 53 people to lose the Billionaire title. One of them is a Malaysian tycoon himself, Tan Sri Syed Al Bukhary.

Tan Sri Syed Mokhtar Al Bukhary fell out of the billionaire list this year.

He runs The Albukhary Group of Companies, which is a diversified business group consisting of DRB-HICOM, MMC and Tradewinds Plantation. A big drop of his fortunes, last year he ranked 1,349th with a net worth of US$1.7 billion. He fell out of the billionaire list this year.

A look at the 2020 Malaysian Billionaire list while in the pandemic

1. Tan Sri Robert Kuok

Leading the chart is Tan Sri Robert Kuok

Tan Sri Robert Kuok
 leading the chart, still ranked the highest among other Malaysian billionaires. However, his market fortune was showing a lower valuation to US$10.1 billion this year, still his global ranking would place him at 141st place as compared to last year, where he was ranked 104th with a net worth of US$12.8 billion.

Robert Kuok famously recognized as a Sugar King of Asia. He has a diversified source of wealth. His business interests range from sugarcane plantations, sugar refineries, flour milling, animal feed, oil, mining, finance, hotels, properties, trading, freight, and publishing.

2. Tan Sri Quek Leng Chan

Malaysian Billionaire 2020 Tan Sri Quek Leng Chan

Next in place is Hong Leong Group’s
Tan Sri Quek Leng Chan
. His fate is quite different as he climbed two places to the 147th spot in the list, from 149th in 2019. However, his net worth came in slightly lower at US$9.3 billion, versus US$9.4 billion last year. Quek Leng Chan is the executive chairman of a privately held conglomerate,  Hong Leong Co. (Malaysia), which has businesses in financial space, property, and food.

3. Tan Sri Ananda Krishnan

Malaysian Billionaires 2020 Tan Sri Ananda Krishnan

Telecommunication tycoon
Tan Sri Ananda Krishnan
, is the single largest shareholder in Maxis
Bhd and Astro Malaysia Holdings Bhd. Globally, his ranking fell to 361 from 261 last year, with a total net worth of US$4.7 billion (his current position puts him at US$5.2 billion) versus US$6.2 billion in 2019.

4. Tan Sri Dr Chen Lip Keong

Malaysian Billionaire 2020 Malaysian Billionaire 2020 Tan Sri Dr Chen Lip Keong
(Img Source: TheEdge)

A large Malaysian Casino mogul,
Tan Sri Dr Chen Lip Keong
 is the a chief executive and majority shareholder of NagaCorp, a casino-resort complex in the capital Phnom Penh that boasts 1,700 guest rooms, 600 gaming tables, and more than 5,000 gaming machines. His current rank has moved behind to 437th place, with a total net worth of US$4.1 billion. His 2019 ranking puts him at 355th with a net worth of US$5 billion last year.

Read also:
Should you buy a home now, post-MCO or wait after COVID19?

5. Tan Sri Teh Hong Piow

Malaysian Billionaire 2020 Tan Sri Teh Hong Piow

No stranger to the banking industry and ranked in at sixth is
Tan Sri Teh Hong Piow
, founder and the Chairman of Public Bank Berhad in Malaysia. Recently joined the ranks of a Nonagenarian,  his currently net worth has increased to US$4.2 billion, ranking him at 482nd place of his previously US$3.5 billion worth, ranked 538th place globally.

6. Mr Lee Yeow Chor and Mr. Lee Yeow Sen

Next in the ranks are brothers from IOI Group.
Mr Lee Yeow Chor and Mr. Lee Yeow Seng
. As both of them inherited the reigns left behind by the late Lee Shin Cheng, who passed away recently in June 2019. IOI Group is a conglomerate that holds stakes in the palm oil and real estate business which was established by their late father. The brothers have currently moved up in the ranking from 514th place with a net worth of US$3.6 billion, to 523rd place with a net worth of US$4 billion.

7. Mr Kuan Kam Hon & Family

Mr
Kuan Kam Hon & family
 run Hartalega Holdings, one of the world’s largest producers of nitrile rubber, and since the Coronavirus his company has been doing exceptionally well and increased their current net worth to US$3.3 billion now, from previously estimated by Forbes to be US$2.6 billion.

8. Tan Sri Lim Kok Thay

Tan Sri Lim Kok Thay
 comes in 9th place with net worth US$2.3 billion, a turnout of 11% higher than previously estimated by Forbes at US$2bil. He is currently the Chairman and board executive of Genting Group, a casino, resorts and palm oil conglomerate.

9. Tan Sri Lau Cho Kun

Ranked in 10th place is
Tan Sri Lau Cho Kun
, his net worth was at US$2.3 billion as of early
March 2020
, his net worth has since dropped to a current of US$1.7 billion. He has interests in several companies listed on Bursa Malaysia, led by Hap Seng Consolidated Bhd.

10. Tan Sri Dr Lim Wee Chai

Malaysian Billionaire 2020 Tan Sri Dr Lim Wee Chai

The next billionaire on the list is
Tan Sri Dr Lim Wee Chai
. His company, Top Glove, plays a huge role in fighting against the Covid-19 pandemic. He is the founder of Top Glove company and they control 26% of the world market for rubber gloves and the number is predicted to grow further. sure rose up due to demand and needs to control the infection. His current net worth today is at US$1.5 billion, surpassing the prior US$1.3 billion net worth valuation. Top Glove currently has 43 factory locations producing 70.5 billion gloves for the global market.

11. Tan Sri Paul Koon Poh Keong

Next on the is
Tan Sri Paul Koon Poh Keong
with an updated net worth of US$1.7 billion. Poh Keong is the group CEO of aluminum company Press Metal, Southeast Asia’s largest integrated aluminum producer. His net worth was previously estimated at US$1.3 bil early this year.

12. Tan Sri Dr Jeffrey Cheah

Lastly, the billionaire who came in 12th place is Tan Sri Dr Jeffrey Cheah with a current net worth of US$1.2 billion. Jeffrey Cheah Fook Ling is the founder and current chairman of the Sunway Group, a Malaysian conglomerate operating in 12 industries with core businesses in property and construction. Forbes estimated his earlier net worth at US$1.1 billion.

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Bumbung Team

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Rise of E-commerce in Malaysia and their incredible demand for industrial warehousing real estate.

Warehousing needs and E-commerce shorter waiting times and growth are a reflective result of each other as it is a synonymous relationship. As E-commerce site Lazada hit the 1 million item sales mark within the first hour of its 11.11 Sale, with its first order being delivered as early as 1.20 am, according to Lazada, it took only 13 hours to surpass the previous year’s 11.11 sales record, a staggering statistic that shows the relentless growth of e-commerce in Malaysia.

Meanwhile, Shopee recorded three times more orders in the first hour of 11.11 compared to the same period of time last year. The country’s second-largest online shopping platform sold 1 million items by 2 pm and its most popular categories included Home & Appliances, Groceries & Pets, Baby & Toys, and Mobile & Accessories.

 Lazada Warehouse at Subang Jaya. Photo by Allan Lee

So how are these record-breaking sales year after year being managed by the e-commerce giants in Malaysia? The simple answer is to design strategic supply-chain management apart from just finding strategic venues to house the millions of inventories.

We looked at Alibaba’s and Amazon’s playbook, the secret to growth and fast shipping was in the first and last mile, which meant that they needed to have huge warehousing space to pre-empt the orders to be ready for shipping partners when the orders are in. In Lazada’s case, they took cues from their parent company, Alibaba and got directly involved with the shipping and warehousing operations itself, apart from just working with their partners to save on precious shipping times.

Cainiao, the logistics arm of Chinese e-commerce giant Alibaba, has announced the official launch of operations at its new smart warehouse in Huiyang, Guongdong province.

In 2017, Cainiao launched its first robotic smart warehouse in Guangdong, south China province and employs more than 700 robotic workers to fulfil orders. Their mission is to provide same-day delivery within China and up to 3 days of delivery for international orders.

It’s quite a tall order, but looking at how synchronised the robotic warehouses can be, it can be made very efficient with its space to house more items and have less human interaction. Which is why in the near future, Cainiao is working with Malaysia Airport Holdings Berhad (MAHB) to develop a 60-acre plot of land for their first robotic warehouse extension outside of China under the Digital Free Trade Zone (DFTZ) initiative by the previous government, championed together with Patrick Grove of Catcha and Alibaba’s Jack Ma.

Malaysia is still behind Alibaba and Amazon in its effectiveness of e-commerce, we’re slowly but surely we’re moving to a more automated system as time goes on.

 Lazada Warehouse at Subang Jaya . Photo by Mohd Izwan Mohd Nazam

In the mean-time, as we continue to see growth in e-commerce, let’s look into what is needed for a warehouse setup. And why one cannot simply just rent or use an empty building and use it for warehousing purposes?

Especially if there is machinery involved, it is mandatory to make sure that the building has got it’s CCC that is designated for its purpose.

You can read more about understanding what a CCC is and what’s important about it here.
https://asklegal.my/p/how-does-malaysia-ensure-that-its-buildings-are-safe-to-live-in

With regards to the industrial real estate market movement, in a recent interview with The Star, Real Estate company, Rahim & Co’s CEO, Siva Shanker shared that
there are virtually no speculators within the industrial sector. As he feels confident that it’s mainly because the sector is close to equilibrium. By that, he means that the demand and supply are as close, so the industry sector is seen to be resilient even as during these pandemic times.

Rahim & Co’s CEO Siva Shanker expects the industrial sub-sector to see the quickest recovery post COVID19. Photo by Sam Fong.

A quick look into iProperty and Property guru search, you’ll find that the sizes and types are still largely fragmented, and hard to navigate to find what you’re looking for. You will need to find a specialised Real Estate agent who is focused on Industrial Properties and is able to find the type of property that will suit your needs, from load-bearing, to power supply, access roads, large vehicle loading and especially finding one that is flexible for companies in the E-commerce space for growth.

There are also other factors to include, for example, if you have heavy machinery involved, you’ll need to make sure you have the information to the maximum floor load rating for heavy machine operations.

Keeping in mind the static weight of the machine, and also the operational loads and vibrational loads imposed when the machine is running. To determine if the factory floor strength is adequate, you need to have the installation of the machine reviewed by a competent building engineer.

Align with Siva Shanker’s view, we certainly hope that this demand will play out as it increases growth in the industrial sector, as well as placing more jobs for the public to get involved in, overall improving Malaysia’s economy.

______

This post is in collaboration with
Industrial Malaysia
, to look for comprehensive real estate services for Industrial Properties such as warehouses and factories in Klang, Shah Alam, and Subang areas, you may check their site
here
.

If you’re thinking if it’s the right time to buy or if you should wait to purchase your property especially during the Coronavirus / Covid19 period, you should read our previous post
here
 before you decide.

Visit
Bumbung.co
 for the best residential listings in PJ, Bangsar, TTDI, Damansara Utama/Jaya, Tropicana, Ara Damansara and Bandar Utama.

Categories

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Market News

Tagged

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Author

Gadiy Lim

Co-founder of Bumbung.co.
A tech enthusiast seeking beautiful homes. Sometimes I write.

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5 Features in Tropicana Bungalows Every Buyer Looks Out For

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5 Features in Tropicana Bungalows Every Buyer Looks Out For

Considered to be the crème de la crème of private gated and guarded housing with access to superior facilities including a clubhouse, restaurants and a golf course, Tropicana is considered synonymous with those who have reached a status symbol in their life and would like to own a part of this luxurious neighbourhood.

Home to many of the elites and high profiles in Malaysia, the creation of a premier golf and country club has since become the leisure and pleasure domain situated amidst the lush and prestigious suburb of Damansara in Petaling Jaya, boasting the pleasure of resort living, amidst city conveniences. Tropicana Golf & Country Club was officially opened on 13th January 1996 by Tun Dr Mahathir bin Mohamad and was developed and founded by Tan Sri Dato’ Danny Tan’s Dijaya Corporation Berhad (now known as Tropicana Corporation Berhad).

Today, there are about 365 bungalows in Tropicana Golf & Country Club, with approximately 10% bungalow lands being vacant. Neighbouring close by is Tropicana Indah that was subsequently introduced as a joint venture development with PKNS, with approximately 168 bungalows with approximately 20%  vacant plots.

The Prestige Aspect

 The Grand entrance of Tropicana Golf & Country Resort itself with its club house amenities has an unique prestige appeal.

In terms of amenities, the Tropicana neighbourhood has maintained its values by introducing well-appreciated amenities to the community, such as St Joseph International School which significantly reduce travel time for many families, also a mixture of up market retail options (primarily for groceries) such as Tropicana Avenue strip mall and Tropicana Garden Mall. Residents of Tropicana also benefited from two healthcare options, being strategically located in between Thompson Hospital at Kota Damansara and Ramsay Sime Darby at Ara Damansara.

One-third of our life is spent at work, which made this location more appealing due to its accessibility to major highways and having the Subang airport close by which routes Singapore, Indonesia and Malaysia, it has convenience for many outbound business goers. Also, next to Kota Damansara is home to high technology large manufacturing, factories and assembly plants. All this little factor contributes to a better lifestyle for ‘business’ peoples.

Golf Course Views.

When it comes to golf course views, Tropicana immediately stands out as one of the best-landed options near the city that is located in a 5-star golf course. This is likely the only place that has it if you want to live in Petaling Jaya. The best part is that Tropicana has two choices to offer as there is Tropicana Golf & Country Resort and PKNS Golf Course.

Obviously the best golf course views overlook the fairway,
just like this home below;

The bungalow has a west-facing orientation with the back looking towards the beautiful golf course. View the house here on
b
umbung.co/listings/4767

Meanwhile, right in the corner, there are the Tropicana Indah houses, with a larger cluster of modern designed homes which definitely lives up to the “Indah” (beautiful) name. Amongst the Indah neighbours, some homeowners are proud to own the view fronting Tropicana Garden Mall striking grey facade.

For the best unique experience to see which bungalows have great views, you’ll need to be there to feel and see for yourself.

Purposeful land use

With regards to how the building is built and when the layout is a concern, most of Tropicana bungalows are built from scratch with a unique design plan. The purpose in shape and size has different appeals to the individual families that occupy the space.

You can typically find two types of homes that are either fully utilising the land space – covered up and extended to house more rooms or smaller homes but provisioned for a better outdoor space. The latter is preferred by families who like to spend time outdoors,
just like this one with a slightly elevated view overlooking the golf course.

The 2nd floor has a balcony attached to the room that looks out at the golf course. If you’re wondering, balls rarely fall in, but if safety is a concern, other neighbours have set up a protective net.

Clever use of a building and land space, it gives you a private garden and a patio that will be great for outdoor activities and hosting parties. View this listing on
bumbung.co/listings/5057

Not forgetting, space to include your car collections indoor or outdoor will also influence your build-up. It is rare to own both great outdoors and a large house while maintaining a great car park privilege (No in-tandem parking) because most plots in Tropicana are about 10,000 square feet.

Security Features.

Tropicana Golf is a well-known place in the community, especially among golfers. The shared entrance is open to both club members, guests & residents, although there are security checkpoints from the main arch to the clubhouse, access to the trunk roads that would lead to your home can be accessible by all.

For Tropicana Indah, the security feature is tighter there because of its smaller density, this setup permits security guards to tail visitors up to their visiting premises, to ensure safety and that they arrived at the right house, in-kind promoting better security.

Mindful details – Architecture features

Between Tropicana Golf and Country Resort, and Tropicana Indah, both have several unique features that could be a trade-off for some, and for others, it may not compel as much. We look at the fact that Tropicana Indah’s building layout is more modern, though the entrance is not via the Grand Arch and it has a separated entrance, the newer building features and architecture layout carries some outstanding designs.

This is one fine example, being one of the few in the market that has been recently completed with top-notch building materials.

The beautiful home located at Tropicana Indah. Its modern architecture & state of the art set-up dovetails harmoniously with its luxurious compound which includes a pool, patio & a basketball court. View the listing on
bumbung.co/listings/4796

As many local Malaysians are open to renovating their own property, there are a few things to note that can be difficult to change (e.g the façade). Some homes being next to a golf course also pose a challenge as construction works have to be executed manually.

Classic and Elegant

Modern architecture is not everyone’s cup of tea. There are some who appreciate finer culture and art which is pleased to have their home resembling their taste.

A good find for those who aspire and love British cultural heritage.

A Tudor style bungalow with a spacious front, with the dining and the back of the house facing the beautiful golf course. View the listing here
bumbung.co/listings/5040

The listings from the article here are provided from the marvellous sales team at Bumbung.

For more of the best listings in all of Tropicana and its surrounding neighbourhood, you can find it on
Bumbung.co
 as we have local experts to find you a home to suit you and your family needs.

______

If you haven’t read our previous article on the latest updated
Malaysian Billionaires list
 who were recently impacted by the COVID19 impact towards their net worth, you can do so
here
.

Categories

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Tagged

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Tropicana
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Author

Gadiy Lim

Co-founder of Bumbung.co.
A tech enthusiast seeking beautiful homes. Sometimes I write.

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3 Factors that make Country Heights Damansara appealing to the Ultrarich

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3 Factors that make Country Heights Damansara appealing to the Ultrarich

Where do all the equivalent of
Crazy Rich Asians
 live in Malaysia? The answer to the question is actually all over the most prominent neighbourhoods. But today we’ll unravel likely what is pick number #1 of the prominent neighbourhoods where the top 2% of Malaysians build their real estate dreams and the
 3 Factors that make Country Heights Damansara appealing to the ultrarich

The Location

As many value convenience as the new luxury, who says you can’t have both? Country Heights Damansara is a fine example with its location being a few minutes away by car to prime areas of TTDI, Desa Park City and Mutiara Damansara.

This 200 acre land nestled on a green hill in Kuala Lumpur and possesses the 60000 postcode, which shares the same with its affluent TTDI neighbourhood.

A map view of the Country Heights Damansara surroundings, having access to Penchala Link and the LDP Highway.

Being one of the last few remaining Kuala Lumpur residential freehold land developments, it’s no surprise that Country Heights Damansara was touted as the Beverly Hills of Malaysia. It doesn’t just encompass the ultra-high net worth individuals and their families, it’s also a pull factor among international celebrities and movie production companies to film here.

We’ll dive more into it later, with Country Heights Damansara closely located to One Utama, IPC mall & The Curve, there are several promising new developments that are coming up such as Empire City Mall, and the KPJ Damansara 2 Specialist Hospital (Nadayu).

With easy access to the Penchala link, the top International schools in KL, based in Mont Kiara, MK International & Garden International would be a just a 10-minute drive away.

Wide Range of Land Profiles

Looking at building in Country Heights Damansara will come with its own set of challenges, but it certainly depends on the type of land as your canvas. Certainly, those with more challenging terrains don’t go without its reward of better views or landscape features.

We examined a few of the available land plots and what to expect if you’re looking to build a house from scratch.

1. Flat Land / Flat Terrain

Developing an empty land is like a blank canvas, and if you do find one that is flat, for an area on top of a hill is a rare find in Country Heights Damansara. There are a few limited spaces along the stretch on Jalan Khaya & Jalan Salam.

We learn from our buyers and clients that they naturally would prefer to work with a flat land to build their house. Asking our Local Experts regarding his listings portfolio he mentions that in fact that flat terrain land For Sale are less than a handful.

An example of a flatland terrain type profile.

Building on a flat land would generally cost less to construct your house as compared to house over angled land profiles, such as a slope. Due to the deeper piling, levelling and retaining wall workmanship and material cost which can be more than RM100 per square feet for the experienced contractor.

However, we’ve come across buyers who would want to save precious time and headaches dealing with the contractors, as projects even on flat land can take more than a few years before completion.

There are beautiful modern properties that are ready-built as large corporations have invested in the land and developed a few of those properties at one time. This home has a basement car park and is a multi-generation home located along Jalan Khaya.

An aerial view of the bungalow built on a hilltop in Country Heights Damansara. View the listing
here on Bumbung.co

2. Up-Slope (The land goes up from its entrance)

An example bungalow build on an upward sloping land

This Upward sloping land terrain is said to be an attractive criteria among Chinese buyers as they have astrologically good feng shui properties. However in Country Heights Damansara, we are talking of mainly two interesting type of Up-Slope land terrains you should be wary of;

Up all the way
 – It can be tricky as the building engineers would have to adapt to its upward slope and it would have to be cut and leveled according to tiers to ensure that there’s enough room to construct the internal space. Because of its awkward land profile, the house would naturally come with a wider/larger than usual porch space amongst the other Country Heights Damansara houses.

Upward Bump & Flat on top
 – It would be an ideal plot to build with a basement garage potentially for the front, as the living spaces and rooms start on the floor above giving you a good sense of privacy and great views.

3. Downward Sloping

These types of Downward sloping land terrains would command the best views from Country Heights Damansara as the land entrance would slope downwards towards the rest of the house. These views are always unobstructed, because the land is carved and planned to have an upward slope back to back with a downward slope that may belong to another owner. Hence, you would have quite literally the best views in the house and would enjoy the top spot (no pun intended).

A Bungalow example built on a downward sloping land.

Hollywood Factor

Apart from well-established business owners, Country Heights Damansara has been on some of the top picks for movie producers even in Hollywood. As many of the homes here have been adventurously built to great extents and fitted with the best materials and tech while enjoying the best views of the forest and/or the city.

Here we have Crazy Rich Asian’s the movie; though the movie said the location was in Singapore, the actual location of the shoot was in Malaysia, Country Heights Damansara.

Here’s the actual house photos.

You can view the rest of the images on
Malaysia Homie
.

In another Hollywood debut, Fair Game (2010), a political thriller movie was also filmed in one of the bungalow houses in Country Heights Damansara. It was directed by Doug Liman, the same director behind The Bourne Identity and Mr. and Mrs. Smith and featuring Naomi Watts and Sean Penn. See if you could spot where in the movie was the bungalow scene.

Or if you’re looking for something your own but still looks a lot like something from the Hollywood movies, this interesting house along Jalan Mahagony looks very much like something that Tony Stark would build for his own. You could already imagine all his suits flying out from secret chambers located throughout the building and with his
Audi R8 e-tron and Bugatti Veyron Supersport parked in the porch.

An extravagant built up with very adventurous designs. View the Bungalow house on
Bumbung.co here

Looking at Country Heights Damansara, it’s unlike many other townships and developments. As each of the buildings constructed would tell its own story, it’s own creation and masterpiece. We certainly look forward to compiling more of these beautiful listings in the Country Heights Damansara area and sharing them here with you. Let us know in the comments if you think if we missed out on something marvellous that people would enjoy looking at

We recently did a Bungalow coverage on Tropicana Golf and Country Resort too, find out what
Tropicana Bungalow buyers are looking for here

For more of these listings in Country Heights Damansara or if you have a listing to sell, visit
Bumbung.co
 to speak to our Local Expert.

Categories

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City Living
Home and Design
Lifestyle
Market News

Tagged

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Celebrities Real Estate
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Country Heights Damansara
Crazy Rich Asians
Fair Game (2010)
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Gadiy Lim

Co-founder of Bumbung.co.
A tech enthusiast seeking beautiful homes. Sometimes I write.

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CMCO Property Viewing Procedures for Agents and Clients

The recent announcement of the extended Conditional Movement Control Order (CMCO) till 9th June has stopped many from cross border travelling and limited gatherings of people of up to 20 pax at a time especially with the Raya festivals up ahead.  There’s a silver lining, companies are allowed to reopen and resume operations, this also means that Agents and Negotiators are allowed to get back to the field to resume viewing appointments to show properties.

The team at Bumbung, Pepite Real Estate has come up with the guidelines below for planning your appointments to view homes to buy or to rent;

Download the PDF version

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Gadiy Lim

Co-founder of Bumbung.co.
A tech enthusiast seeking beautiful homes. Sometimes I write.

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5 Valuable Lessons From Buying And Renovating A Subsale House

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5 Valuable Lessons From Buying And Renovating A Subsale House

Buying a house to live in is most likely the biggest decision we can make in our lifetime. A mortgage locks you in a financial commitment for 30 or more years. And with inflation and prices of property in Malaysia skyrocketing, we strive to ensure our time and money is used efficiently on our first home purchase.

If your property purchase is a subsale or second-hand purchase, you may need a great deal of renovation done to make it into your dream home.  Chances are, you’ll face a couple of challenges along the way. Anticipating these hiccups can help you prepare for them and succeed in achieving your desired renovation timeline.

Thankfully, we at RoofTalks have been through the process, made the mistakes and learned from them so you don’t have to! Here are 5 valuable lessons we’ve learned from buying and renovating a subsale home.

The Renovation Budget Will Inflate

Budgeting can be tricky when renovating. One lesson we’ve learnt is that the initial amount always goes up. Getting a quote from your contractor before starting renovation on your newly purchased home is necessary. But remember, the end total would usually be higher than the initial price quoted.

Paying more for renovations is not necessarily a bad thing. In most instances, we encounter a smarter way of repairing facets of the home or adding specific features that serve us better in the long run – these increase our costs.

For example, if you decide to put up a wall at the backyard, you may have that cost in your quotation. However, you will also need to add power sockets, a pipeline, and additional drainage – each of which may increase in number as the renovation progresses. Fixtures such as lights, fans, sinks, faucets, and fancy windows may not come under “renovation” costs but certainly add to your expenditure.

To save yourself some stress, plan out the major renovations first, such as structural (walls, floors, ceiling), electrical, and piping. A staggered renovation helps to ease your financial burden.

Add Renovation Costs In Your Mortgage

A little-known secret in the property market is to bump up your mortgage loan amount a little higher to support renovation costs. Of course, if your credit score is low, this will not work. However, when purchasing a property, inquire at the bank if you can add a renovation budget into your loan.

The last thing you want after buying a property to live in is to frantically search for finances for renovation and repairs. Having that additional amount of money to get work done in the home gives you and your family peace of mind.

Don’t Neglect Repairs

So, you’ve purchased a subsale house and are eager to create your dream living space. The first step to succeeding is taking care of repairs. Yes, repairs are a bummer. But they are a necessary factor in understanding how your house works. From our experience, the older the home, the more repairs would be needed.

Essential repairs are structural damage and internal damage – these must be attended to first. Fix walls, pipes, leaks, replace all the wiring. Once that is done, go ahead and choose fixtures, design elements and accessories. You’ll have all the time in the world later to decorate and beautify your home to suite your style and design preferences.

FOMO is Real!

If you watch MTV Cribs or Architectural Digest, please stop right now. What we see drastically influences our decisions in home renovation. The FOMO (Fear Of Missing Out) element is real when we look at other homes in all their glory. Particularly if our home is located in an established, upscale housing area, we may look to our neighbours as a benchmark for renovation design ideas – this is a bad idea. Here’s why…

When purchasing a subsale house, we most likely start renovation from scratch. Our neighbours, however, may have had a headstart in their renovation process. Many of them bought their houses brand new and have performed multiple repairs, modifications, and aesthetic changes over a couple of decades. Comparing our home renovation journey to theirs is not fair to us.

The best way to combat FOMO is to manage your expectations. Write a list of all the modifications you intend to make and KonMari your way through it – remove the non-essentials. Keep it simple and start off small. Your future self will thank you for it!

Your Home Is a Work-In-Progress

Much like our life’s journey, our home is also a work-in-progress. As each of us is a unique individual, so our house is unique in its make and originality. We must keep in mind that the home is a place to bring us joy, safety, security, calm, and rest. When these feelings are threatened, then, it’s time to work on the home, and possibly, renovate it.

Along your journey, there will be times when change is needed. We suggest reviewing your needs in the home once every five years. Feel free to make some drastic changes. Re-style your home’s theme. Some modern styles we love include Rustic, Minimalist, and Bohemian. Consider some DIY home makeovers too so you can save costs while learning a new skillset.

Ready to take on get started on your home purchase? Let us help you. At Bumbung.co, you’ll find helpful listings for purchase and rentals too!

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Joel Vijay

A writer with a flair for the little things in life and new experiences, Joel is a consistent charmer, not only through his writings but through his admirable personality. He developed a passion for the arts and movies, that inspires him to write things that would possibly change the world.

You may reach Joel personally via email on joel_vijay@hotmail.com.

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Bumbung and Industrial Malaysia new proposition is a secret weapon for top closers especially when iProperty, PropertyGuru and other platforms are not enough.

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Bumbung and Industrial Malaysia new proposition is a secret weapon for top closers especially when iProperty, PropertyGuru and other platforms are not enough.

Why Bumbung and Industrial Malaysia, when there are other platforms?

We’ve tried almost every platform out there, but most heavily advertisement-based models do not generate value if you don’t keep advertising. For many of us agents and negotiators, marketing = spending more $ to refresh our listings… It’s a never-ending cycle!

You try to outbid your competitors, change the price, tweak the details, and still pray for your “leads” to come in. You feel you’re close, but due to uncertainty, you either spend more, or you change your focus, perhaps take on new projects, or from projects, move to subsale/rental. We’ve been Agents for the longest time and honestly, this is more of an open letter from one Agent to another.

The secret behind the best performing Agents is to outspend you in advertising, but there’s a way out of this madness by doing things differently, and we have results…

It seems that no matter how hard you try, and no matter how much cash you throw into advertising, you’ll lose out. We’ve seen this scenario played out a thousand times and it’s time to change the strategy through focus.

The sad truth about marketplaces is that you need it more than anything else, otherwise, how will prospects hear about you or your listings? That’s why Bumbung and Industrial Malaysia have been reintroduced to deliver not just value, but also results.

It’s about branding YOU.

Page header of the Agent Portfolio Platform on Bumbung.co

Often, we are left with little to no time to market ourselves, and No, listing your property on marketplaces is not a guarantee of success either. You wont’ be remembered because you’re flooding listings like the rest. What you want and hope for is for word to go around that you’re good at what you do, perhaps there’s an aunty/uncle who loves your service. But maybe out of 10 of your customers, there’s 1 who actually does. We asked ourselves, is there a way to replicate the word-of-mouth (WOM) model? Seriously, why not? You’re good at what you do, and you always help your buyers and sellers by going the extra mile.

Perhaps instead of just relying on offline marketing, how can I make WOM “online” and thus, we figured out a way around this and how to get all 10 aunties to talk about you, maybe more (figuratively).

With the bulk spent on open houses, curating listings, following up with leads, we neglect the vital step of keeping our portfolio updated and leveraging on our past accomplishments;

THIS happens to all of us, because of lack of time. But this is gold, it’s the is marketing ammo you need. So that’s what we’re offering in a nutshell, Bumbung and IndustrialMalaysia
brands
 your area and listings well enough that your listings work for you even while you’re sleeping without costing you extra money.

The team at Bumbung and IndustrialMalaysia will help you set up you
r account on the platform, which lets you create a an area profile with your listings, that are leveraging on Google’s Search for discovery, not to mention, you’re able to boost your real estate listings webpage with Google Adwords.

A recent finding on Google Search as a result of Bumbung.co’s test listing appeared on Page 1 results.

Exactly like a resume showcasing all your achievements, your profile builds instant credibility when customers are searching for the right property.

Who’s the Specialist? YOU are.

Focus is key to succeeding in a highly competitive and cluttered real estate market. That’s why Bumbung and IndustrialMalaysia are heavily focused on selected residential and industrial areas. We’re not for everyone (yet) as we only want to grow sustainably with value, and we believe you want to create a neighbourhood success for yourself. It’s better to be a big fish in a small pond; ie. if you have all the good listings and the highlight is on you, the customers will eventually come. There’s no guarantee the results will continue to be good if you place yourself in larger marketplaces; you will be drowned, as there are many hungrier fishes (with deeper pockets) than you.

Bumbung and IndustrialMalaysia are exclusive listing portfolios. Our agents on the platform enjoy exclusivity as the
only agent (or agent team) controlling ONE location/area
 of listings. To give you an example, if your farming focus is in Bangsar, and you’ve managed to secure the location on Bumbung, there will be no other Agents on Bumbung that will be marketing in Bangsar except for you. The same applies to any industrial areas, eg, if you’re focused on Cheras warehouses/factories, the whole Cheras area will only be marketed by you and only you on IndustrialMalaysia. If customers come in looking for your specialized location, they come directly to you via your preferred mode of contact. This model is proven to work and you feed off one another’s strength and speciality.

Where do we go from here? Your journey to successfully market your talents and prowess as a premium Real Estate agent starts here.

Get started by going to our websites:

Bumbung.co – For Residential Properties in premium markets

Industrial Malaysia – For properties in the Industrial Market

Selection of Agent and Area are based on the interview process with the founders of Bumbung and IndustrialMalaysia, respectively.

Categories

Agent's Guideline
Commercial Real Estate
Inside Bumbung

Author

Gadiy Lim

Co-founder of Bumbung.co.
A tech enthusiast seeking beautiful homes. Sometimes I write.

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5 Valuable Lessons From Buying And Renovating A Subsale House

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