Category: Property Investment (38)

With the coming implementation of Goods & Service Tax (GST) in April 2015, many Malaysians are concerned with what this bodes for prices in general. It is inevitable that home prices will also be affected. In this article, we explain how home and property prices will be affected moving forward.

To properly appreciate how GST will affect home prices, it is necessary to first understand how GST works. (Click here for a detailed but simple-to-understand explanation of how GST in Malaysia works).

Aside from GST, one must also have an understanding of the Sales Tax, which is the existing tax scheme affecting the property sector. GST will supplant the Sales Tax come April 2015.

Tax Scheme on Residential Property – The Similarities

In comparing both tax schemes, we have to first identify their similarities.

One similarity between GST and the existing Sales Tax scheme is that no taxes are charged or will be charged to the consumer on the purchase of a home / residential property. For GST, residential properties fall under the “Exempt Rated” basket of goods. (But do take note that GST will be charged to the consumer for commercial property purchases as commercial properties are “Standard Rated”).

However, during the creation of the final product (also known as the input stage in tax parlance), under both tax schemes, developers would incur taxes during procurement of their inputs and materials. And this is where the differences start to become apparent between both tax schemes. The tax rate for inputs and materials vary between GST and Sales Tax.

Sales Tax VS GST for Residential Properties – The Differences

Based on the Sales Tax Act of 1972, basic building materials such as bricks, cement and floor tiles fall inside First Schedule Goods, in which all the goods in this category will not be subjected to sales tax. Meanwhile, other building materials fall inside Second Schedule Goods, in which all the goods in this category will only be charged sales tax of 5%.

Under the new GST implementation, all building materials and services (E.g. Contractors, engineers) will be subject to GST with a standard rate of 6%. This will invariably raise the production cost for developers.

If you understand how GST works, you will notice that in most cases, the additional tax cost is simply passed on to the final consumer (Standard-Rated goods), or is claimed back from the government (Zero-Rated goods). But in this case (Exempt-Rated), the additional tax cost is borne by the party before the final consumer – The developer.
The developer does not have a next “victim” in the supply chain.

This seems like good news for home buyers as they do not have to pay GST when purchasing a home. However, one should not be too happy about this. It is no stretch of the imagination to think that developers would try to build in the additional tax costs into the final sale price implicitly.

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A look at why the Kajang-Semenyih area has become one of the hottest spots for property buyers in the Klang Valley.

在马来西亚,购买房产或为房贷再融资时,这些房产或许都拥有不同的特质,例如:租赁或永久地契、地契的划分和土地的种类等。在物业转名的过程,不同的房产特质都需要用特殊的方法来处理,而这甚至会影响到房屋贷款。这篇文章将为你揭开及总结马来西亚的房产特质,以及让你知道这些特质如何影响你对房产的购买或再融资的决定。

 

永久与租赁
租赁地契(租赁持有)的土地是属于州政府的,以出租给“业主”某个年限。当租赁期限届满时,业主需支付所规定的费用,才可延长使用期。永久地契(freehold)的土地则属于业主(房产买家),拥有权是无期限或永久的。此外,租赁土地的买卖交易,皆需寻求州政府当局(州土地局)的批准;值得一提的是,州政府很多时候会有各式各样的理由来拒绝这些交易。也因为这额外的手续或程序,租赁土地的交易往往需要较长的时间。因此,永久契约房产往往会比同类型,但只有租赁地契的单位更昂贵。

 

地契划分和转让
所有房产都拥有一张能够代表房产业主的地契;当房产在建设和发展的阶段时,那一大片的土地(用来建设房产的土地)很有可能只有一张总地契(master标题) 。这种情形非常普遍:多间房屋或公寓单位建在同一片土地上,但个别出售。在理想的情况下,该土地的总地契将会划分为多张较小的地契,然后再销售给买家;这小地契被称为个人地契(individual标题) 。

 

在高层物业,例如高楼或公寓,这小地契被称为分层地契(契业权) 。一旦地契被划分后,如果想要转让房产的拥有权,必须向州土地局提交转让备忘录(MoT)备案。由此,买家的名字将会出现在房产地契上,这将使他成为该所房产的合法业主。然而,在现实生活中,普遍的情形将会是:发展商先会将还未划分为小地契,也就是只拥有张总地契的房产销售给买家,然后才在几年后划分为较小的个人地契/分层地契。
在这种情形下,如果某人想要购买或出售房产,就不能简单的只向州土地局提交转让备忘录(MoT)了,而是必须提交名为转让契约(DoA)的文件到高级法庭。
基于总地契的存在,发展商依然是房产的合法业主;但通过转让契约,发展商已将地段上的房屋单位拥有权划分给每个买家手上。请注意,当总地契分割为个人地契或分层地契后,仍需遵照正式的物业或房产转移手续(就如同上述所提及的手续)。

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MRT construction

The Klang Valley Mass Rapid Transit (MRT) project involves the construction of a rail-based public transport network. Together with the existing Light Rail Transit (LRT), monorail, KTM Komuter, KLIA Ekspres and KLIA Transit systems, it will form the backbone of the Greater Kuala Lumpur/Klang Valley region. This integration will likely enhance property prices as it is expected to improve inner city connectivity. The first MRT line to be implemented will be the 51km Sungai Buloh-Kajang line. The line will have 35 stations and is expected to have a ridership of over 400,000 passengers per day when completed in 2017.

 

MRT Klang Valley Map

 

When the MRT-SBK(Sungai Buloh-Kajang) Line is completed, commercial property in the vicinity of MRT stations will be in great demand. This has proven true in Singapore, Hong Kong and Taiwan, where commercial and retail premises located near MRT stations enjoy good occupancy rates and high rental yields. The same scenario will likely take place in Malaysia as well.

 

Advantages of being near a MRT station Disadvantages of being near a MRT station
1. Capital appreciation is expected to be the highest for properties within a 500-metre radius of stations. A report by HwangDBS Vickers Research says that it expects land prices in key hotspots to surge 100% to 500% over the next five years, especially where potential interchange stations will be located. Noise factor if stations are too close to properties.
2. Higher rental yields, as long as they are located within close proximity of properties. Traffic congestion, especially during peak hours.
3. Convenience, for both owners and renters who rely on public transportation to get around. Aesthetically unappealing for units facing the stations.

 

 

 

property-search

Like everything in life, there is a process. Whether we realize it or not, our whole life is based on a process. Before we embark on anything, let it be in deciding on where to go for a holiday, which new school/college/university to enroll in to even deciding which car to purchase, there is a process we follow.

It begins with a dream, followed by planning and research before the execution can take place.

Such is the case when it comes to making a decision on which property to purchase. It is after all the biggest investment one will ever make.

To understand this process and how property buyers and investors go about this decision process, iProperty.com Malaysia, conducted a short survey on the site. Gathering close to 800 respondents, the survey revealed that:
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house renovation must know

每一个人开始买房置产一定要注意以下的一些事项,记住了啊!房子千万不要这样装​​修!

 

  1. 后悔有开放式厨房,有油烟问题
  2. 后悔电源插座装少了,家里到处都是拖线板。能装多少应该装多少.
  3. 后悔马桶边上没有预留电源插座,卫洗丽没法装
  4. 浴缸PK淋浴,二选一的话,还是建议淋浴,浴缸装好,从来也没泡过澡的不是少数。淋浴不是指淋浴房,淋浴房的玻璃擦起来还是很累的,也可以选择挂根浴帘
  5. 如果有2个卫生间,装一个浴缸还是有必要的,泡泡大件衣物,帮小宝宝洗澡都是不错的选择,按摩浴缸就不必了,泡不了几回,还特别贵.
  6. 后悔厨房没有装空调
  7. 如果喜欢上网,每个房间的每面墙上,都预留至少2个网口和2个以上的插座。无线路由的确可以解决问题,但是据说有时候还是不稳定
  8. 后悔厨房烟道没有打出去,现在只要楼里有人烧菜,自家的脱排油烟机就必须同时打开,不然满屋子的油烟味
  9. 房内各种插座的位置,与后来买的家具尺寸有偏差,浪费了很多插座
  10. 如果在商场里能买到的,就千万不要叫木工做!!!!!除非这个木工手艺相当的好 Continue reading ..

property finance

There are hundreds of different home loan products on the market that fit into each of the types of loans explained below. With so many loan packages offered by Banks and Financial Institutions, how do you know which one suits you best? We have provided some pro’s and con’s to help you understand each loan type.

 

Refinance

Refinancing your home loan to save on your current interest rate and reduce monthly repayments and/or loan tenure and to tap into your home equity for additional funds for emergency and other ventures if your home has increased substantially in value. If your home loan is more than 5 years old, it is likely that you are servicing your loan at a higher interest rate than what is on offer by financial institutions today.

However, with the many competitive home loans products on offer especially ones that will cover any refinancing costs including the exit penalty fee exploring refinancing is a worthwhile for loan which is still under lock-in period. Refinancing is to reduce your current interest rate, monthly repayments and/or loan tenure and also consolidate your debts and deposits for better cash flow management

 

Longest Loan Tenure

Ability to redraw all that you have paid into your loan. Revolving credit limit increases as your property appreciates. Older borrowers. Those with insufficient retirement savings.Revolving credit that increases as home value increases. Re-use all sums paid into loan.Penalty for prepayment fees.

 

Zero Payment (During Construction)

Allow you to pay nothing during the whole contruction period. Construction property. Borrowers who are low on deposits but still want that dream house. Also those who may have money in high interest yielding investments and prefer not to cash-out to raise the deposit for the new house. Pay nothing during construction period.

 

Fully Revolving Credit Loan

Fully revolving credit term loan. Prepay and redraw as much as you like. Free personal accident insurance. Any home buyer.Flexible repayment. Full revolving term loanSlightly higher rates.

 

100% Margin of Finance (SPA Price)

Enjoy up to 100% of loan financing. Suitable for those who are strapped for cash at the beginning of the home loan.0 or low outlay from your ownA high margin, which is rarely disclosed, can result in a substantially higher interest rate than you were expecting.

 

Deposit Linked Flexi Home Loan

A home loan and Checking Account combined into 1. The more money you have in deposit, the lower interest you pay on the loan. Allows pre-payments and withdrawals of pre-paid amounts anytime. Suits business / self-employed people. Those who sometimes have excess cash and who are cash-strapped at other times.You can achieve cost savings if you have a windfall, while having the flexibility to redraw on the money should you need it.Require discipline in managing funds. Interest rates may be higher than loans without such features.

 

Fixed Rate Loan

Enjoy a peace of mind knowing that your repayment will never fluctuate with the economy. Enjoy the lowest fixed rate in history. Anyone who values certainty in his monthly payments.Ease in budgeting and assurance that you won’t be paying more, allows you to hedge against future interest-rate hikes.For insurance lenders, insurance is compulsory.

 

Islamic Home Financing

Syariah compliant Home Financings. Those wishing to have syariah compliant financing.”Halal” and rates are fixed. No penalties chargedMay appear more expensive, however, some lenders offer “rabates”.

 

Floating Rate Loan Packages

with rates that fluctuate with Base Lending Rate or BLR less a spread. Any home buyerUsually have a low interest rate. Repayments are also lower.May not offer the features or flexibility of other home loans. Plus installments will increase as rates increase.

 

Investors’ Home Loan / Low or 0 Lock In

Buy and sell, then turn in a quick profit. Check out home loans with zero or low ‘Lock-In’ periods. These home loans allows you to sell the property and pay off the loan early without penalties. Suitable for those who buy and sell, then turn in a quick profit. Allows you to sell the property and pay off the home loan early without penalties.This home loan normally is higher in interest rates.

 

Low Deposit Loans Low on deposit?

Check out home loan that offer high Margin Of Finance or interest servicing only. May benefit 1st Time Owners. Suitable for those who are strapped for cash at the beginning of the home loan.You may be able to take on a bigger home loan, on the assumption that your income will grow.Payments usually increase after few years. May revert to standard.

 

Hybrid Loans (Fixed & Floating)

A home loan to enjoy fixed rates for a few years then revert to floating rates subsequently. Those who value certainty for a fixed period or think that interest rates may drop in the medium term.This type of home loan provide certainty for a fixed period of time. Be prepared for a jump in installments when the rate reverts to floating status, especially if interest rates creep up during the fixed-rate period.

在预算案公布前,市场就已流言四起,短线投资者早已杯弓蛇影,更有市场人士劝请计划购屋者趁预算案公布前提前购屋,期间,Should sell now or buy也有不少人担忧成为“打房”受害者,赶紧在10月前脱售房产套利。

在一片沽售声中,预算案前的房市更显热闹,但随着一切尘埃落定,接下来的房市走势将趋向何方?
短期内,大家该买还是该卖?
这期且看业界人士怎么说。

政府打房虽出狠招 房产不会急降温
和许多商品一样,有需求就有供应,在政府祭出多项房市降温措施后,业界人士均认为,打房措施在开跑前的过渡期,虽会令部分投资者惊慌,但整体而言,不会让市场购兴迅速降温。
有房者一房接一房地买;有壳族则期望为住处升级,无壳族则渴望拥有一个蜗居。
在这个讨论买房卖房子的热门期,2014年预算案的多项房市降温措施,是否已奏效,还是在慢慢酝酿发酵?
我们找来房产界不同的专才,为处于买或卖十字路口的投资者剖析实况。

窥准时机捡便宜货
房地产咨询界人士认为,只要房产投资回酬依然诱人,预算案的打房措施虽然短期内让人止步,但长期而言,拥有充沛现金的投资者仍会选择房产作为投资组合的一部分。
简单来说,投机者,尤其是现金有限的人,可能会急忙在这2个月脱售手上的楼盘,以免在明年成交时承担更多产业盈利税。
但相反的,对房市整体有认识、需要购房自居或有能力的投资者,不但不会离场,可能这时正时等待捡便宜方好机会。

任广财:未来半年房价趋稳
即使政府以多项措施为房市降温,但市场需求才是主宰房价走势的主要因素,市场力量才是决定房市温度的关键。
短期内,房地产价格增幅虽然会放缓,但并不是下跌,而是趋向稳定。我预测房地产价格未来6个月,增幅将持平。
一些短线炒作的买家料将在这2个月内脱售房地产,但对于一些熟悉本地房地产的投资者,或是寻求租金回酬的投资者,房产盈利税对他们不会有太大影响。
因为他们大多计划长期持有房产,直至价格扬升至高水平再套现。

保罗邝:增盈利税影响赚幅
政府祭出的4大措施对不同房产类型都有不同程度的影响,其中,以上调房产盈利税(RPGT)一倍的影响最为全面。
顾名思义,房产盈利税是针对投资者的获利部分征收税务,脱售房产的投资者并非亏钱,只是赚少了。随着赚幅减少,会让投资者重新思考是否要将同一笔资金注入房产,又或者这项长期投资的回酬率是否符合投资者的预期。

符儒仁:冲击休闲型房产
房产盈利税与DIBS对市场影响不大,因真正计划投资房产的人,就已经有心理准备必须持有房产超过3年,以取得更高的投资回酬。
不过,限制外国人只能购买100万令吉以上的房产,将会让度假村类型或退休休闲类型的房产购兴下滑。但距离明年1月份不到2个月,短期内虽会因部分投资者脱售房产,出现微幅调整,但期限太短,预计房价调整幅度不大。
投资者如何应对?
房价涨幅虽进入缓慢期,但将继续攀扬,对于想要拥屋的受薪族来说,若继续抱持观望态度,未来就必须为购屋付出更高的成本。
在政府打房的时刻,投资者如何应对接下来房价停止急升,但持续保温的发展?

保罗邝:套利仅短暂反应
在这2个月内,购屋者不妨多加留意房屋市场,或许有些短线投资者会趁此时机脱售房产,虽然卖家不会亏本售屋,但购屋者有望以低于市价的价格购屋。
尽管市场会出现一些售屋套利情况,但预计这只是少数现象,不会影响房价继续走扬。

符儒仁:现金充裕可进场
对于房产盈利税的冲击程度,我认为十分有限。房市供需平衡只会维持极短的时间,因我国市场需求不断改变,加上各类经济因素左右,都会影响房市走势。我赞同政府的举措,有助遏制投机行为,及让房价攀升减速。
这样一来,手上有现金又真正有意购屋的人,可趁此时机购屋。

任广财:市场已调整供需
政府在打房的同时,也计划增建可负担房屋,这项措施将可协助更多中等收入受薪族拥屋。
可负担房屋素来都是热门房产,因此,相关计划的发展商较少借由媒体广告进行宣传,也因为这个原因使得人们认为市面上以豪华房产居多。
房产市场已开始自行调整供需,高档房产不断于市场推介,也反映出人们有意从小房换大房,因此不能将这类型购屋者纳为房产投机者。

打房未中要害
综观过去数年的大势,已让我国房市大起,部分地区的房地产价格增幅近乎达顶。
这次的打房焦点着重在退场机制,此举并无法抑制房价继续攀扬。投资者是否因此退场,严重打击房市买气?
任广财:资金有限投机者止步
对于计划拥屋的中等收入受薪族,政府遏制房产投机的举措,将让资金有限的投机者止步,从而让中等收入阶级更容易买到房子。
不过,我国房地产价格只会继续攀扬,并不会因为这一系列的措施而瞬间走跌,因此,有意拥屋者若继续抱持观望态度,未必是最好的策略。
国人对于房屋的需求依然旺盛,在这股需求带动下,势必将支撑房价走势,加上建材价格不断飙升,新推介项目将会以接近市价水平推出。

白文春:应从入场门槛下手
预算案的新宣布,难免冲击市场买气,影响投资者情绪。
不过,这些措施只是针对短线投机者,发展商及真正想要拥屋者并不会受到太大影响。
除非从入场门槛下手,减少市场对房屋的需求,否则很难遏制投机行为。
入场门槛相关的措施包括调高印花税,或者从贷款着手,将第三房的70%贷款限制,进一步调低至60%,借由提高购屋成本,让有意投资房产者三思。

蔡汝光:市场买气仍旺盛
产业盈利税骤增至30%,或许将导致一些短线炒作的投机者,宁可减少赚幅,赶在明年前将房产脱手。但这种情况并不意味着屋价会下降。
在短期内,仍未能感受到预算案对本地房地产市场的影响,发展商依旧继续推出新项目,市场买气依然旺盛。

1. Be calculative
Always look for the potential upside, and always calculate the amount of risk involved in the investment.

 

2. Face the facts
Always refer to facts and figures and not the hype surrounding the property or, especially, your own hopes and emotions. Before you dive in, do your research and work out if you have sufficient funds to hold onto a property for at least a few years.

 

3. Go in at the right price
When it comes to choosing the right property, the architect’s brand name or even the location is not as critical as the right entry price. This means cross-checking a property’s price against surrounding properties; if it is lower than its neighbors, that means you’re taking less of a risk and have the potential to make more of a profit.

 

4. Property’s popularity
Besides the affordability angle, a property’s popularity needs consideration. It has to be sizable enough, 40- to 50-unit developments are considered small. Best that it is located in a reasonably well-known area with a strong publicity push. When the market goes up, these are the properties which prices will double or triple up faster.

 

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