Living in JB

[Coolsaint77]

Hey pple,

I went for a medical checkup yesterday at a place called Jalan Harimau, near custom. Wanted to put coupon when the nurse advised me to put but I got no coupon.

Then I saw one warden walking around.

In singapore, I would have dashed out to stop him from fining me and cutting my points.. Somemore the fine is Sing dollar $100 on average

Over there, I calmly watch the warden go to my car ( parked at the side and not in parking lot ) and he inserted a pink slip onto my windscreen.

Surprisingly, I dint feel shocked. Cos I know the penalty is "only" RM ( S$13 ). I have parked thousands of time in mudland for FREE and over the past decades, I have saved at last S$10,000 in parking fees.

Life is really good in mudland. Even tio summon one can smile and keep calm. In Singapore I would have thrown my shoes at the FT warden!

Wah you never put parking coupon one ah!

I have a MYR30 pink slip with me still not paid for 6 months, but i have changed my car. I hope Nusajaya / Nusa Bestari side will have its free parking for the next 30 years

 

[Coolsaint77]

Without diverting too far from 'living in JB', may I enlighten fellow forum readers that property prices in new Johor/iskandar/ nusajaya are in fact comparable to other cities in Malaysia like Kota Kinabalu (Sabah). Both Johor and sabah states are major palm oil producers. In the last 10 years, these landowners and planters were quietly growing 'money' on trees (palms of course ). It used to be that those sabahan palm oil wealth goes to Australia/UK/HK, but recently these wealth was being retained back home causing housing costs and land value to surge. A property of similar calibre to EL or HH cost RM500 per sq ft (although quality no way close to EL/HH). The trend in Johor could be only slightly different; confidence and sentiments have improved. I only hope for a gradual and steady rise in value ; I still want to enjoy the best Singapore and malaysian have to offer in this lifetime. cheers

Dint know East Malaysia is experiencing a boom? Yes, imagine if your property price steadily appreciates 10% a year (which is possible if the township is in growth phase), in 10 years the price is doubled.

Those guys who bought bungalow plots from Ledang Heights and Leisure Farm few years back at MYR30 psf must be smiling now. No wonder they don't mind leaving the land to rot... while waiting for development in Nusajaya to materialise phase after phase.

But do be careful if you are using prices of high end development in KL as benchmark... it has gone up quite a lot in the last 3 years

 

[Investor]

Hi Coolsaint,
Have you paid your second 10% down payment for your EL unit? I saw those phase 2 Type A and B Semi-ds being built up to roof top already but those around the park are just starting. Maybe that's why they haven't request for my 2nd 10%.

 

[Investor]

Dint know East Malaysia is experiencing a boom? Yes, imagine if your property price steadily appreciates 10% a year (which is possible if the township is in growth phase), in 10 years the price is doubled.

Those guys who bought bungalow plots from Ledang Heights and Leisure Farm few years back at MYR30 psf must be smiling now. No wonder they don't mind leaving the land to rot... while waiting for development in Nusajaya to materialise phase after phase.

But do be careful if you are using prices of high end development in KL as benchmark... it has gone up quite a lot in the last 3 years

Using KL's price as benchmark might even under rate Nusajaya's potential. KL don't have Singapore right next door. Let's say Nusajaya is very successful in the near future, main buyers will be Singaporeans who will judge Nusajaya's price based on Singapore's price. If Singaporeans are willing to buy at half of Singapore's price, that's higher than KL's :p

 

[Investor]

Sorry double reply - Deleted.

 

[Investor]

hi investor, how much are the bungalows going at EL? Are there any left? And do u happen to know the rental rate for this bungalows? I was guessing maybe RM 7k-9k per momth in order to yield a 6-7%, which is quite likely.

Hi Dapbest,
The Bungalows of phase 2 are fully sold, you have to wait for future launches but prices will be high. The prices of the bungalows of phase 1 were from RM1.9xM to RM2.xxM. I dunno about the rental for bungalows. But for:
Phase one Terraces(RM460K) - Rental RM3400 achieved by our fellow forummer
Phase one Semi-Ds - Rental RM6XXX

 

[cathylmg]

Hi Dapbest,
The Bungalows of phase 2 are fully sold, you have to wait for future launches but prices will be high. The prices of the bungalows of phase 1 were from RM1.9xM to RM2.xxM. I dunno about the rental for bungalows. But for:
Phase one Terraces(RM460K) - Rental RM3400 achieved by our fellow forummer
Phase one Semi-Ds - Rental RM6XXX

Don't think can get the same size of terrace with that kind of rental for that kind of price anymore right?:o

 

[Investor]

Don't think can get the same size of terrace with that kind of rental for that kind of price anymore right?:o

Yah man, only brave ones who bought at phase 1 can enjoy such profit and rental yield. One of our fellow forumer was one of those brave and lucky ones, moreover, he bought 2 units Congratulations my friend.

 

[cathylmg]

Do you all think that rental increase is proportional to the price increase? Any thought welcome?

 

[toyohon]

Do you all think that rental increase is proportional to the price increase? Any thought welcome?

Seriously, rental increases notwithstanding, where will the expected tenants come from. Can the numbers really be sustained with the abundance of houses all over JB?

 

[iamapseudoneem]

Diverting from the topic of returns on rental and such for a moment, I came across a new development nestled amongst Bukit Indah, Nusa Idaman and Horizon Hills. A newly launched condo project called Horizon Residence.
I saw the piling works and what I think is the sales office all set up as I was driving along the long winding Nusa Idaman road. Will check it out when next I head up.
Looks like that road from Bukit Indah into Nusa Idaman may not remain so dark and eerie in the future with two tall blocks of condos facing it
Of course the previously wide open sky and landscape will soon be slightly 'blocked' by those towers :(

 

[cathylmg]

HDB flat has much better investment return compared to condos, provided you can get approval to rent them out. A S$500k 4-rm HDB flat probably fetches S$2.5k a month? That's 6% returns. Does resale flat have any income ceiling requirement?

If you purchase an MYR500k terrace, i think you probably fetch MYR2k p/mth for partially furnished. So the HDB returns are better isn't it? But from what i know if you purchase the more high end HH or EL, say a semi-D at MYR1.2m, you probably fetch MYR5-6k per month. This is due to the different group of tenant whose rental are paid by company.

So on the face of it HDB is a comparable investment with good JB properties, but condos in S'pore will have a lower return.

But don't forget your landed properties are freehold whereas HDB is 99 year leased, and the obvious fact that SG properties be it HDB or private are already very highly priced, whereas your EL or HH are still not far from infancy.

Its the same:-

HDB 500k -------> Rental $2500 (6%Return)
Malaysia Terrace House RM$500k------->Rental RM$2500(6%Return)

Malaysia Semi-D RM$1.2M------------>Rental RM$6K(Still 6%Return)


Advantages:

-Malaysia Property Freehold, Singapore HDB 99year lease

-Singapore property can use CPF to pay so no worry about installment. Malaysia property cash payment for Singaporean.

-HDB low upkeep, landed property more upkeep on maintenance.

Verdict:

I would still buy a Singapore property first using my CPF, then rent it out and use the rent to pay for the Malaysia property.

 

[cathylmg]

Its the same:-

HDB 500k -------> Rental $2500 (6%Return)
Malaysia Terrace House RM$500k------->Rental RM$2500(6%Return)

Malaysia Semi-D RM$1.2M------------>Rental RM$6K(Still 6%Return)

Hi for the semi D the market rate for rentals of Rm6k - RM 8k is about RM 800K on average when they bought it..

To what I see, 800K is history liao lor....:o

 

[contra]

Using KL's price as benchmark might even under rate Nusajaya's potential. KL don't have Singapore right next door. Let's say Nusajaya is very successful in the near future, main buyers will be Singaporeans who will judge Nusajaya's price based on Singapore's price. If Singaporeans are willing to buy at half of Singapore's price, that's higher than KL's :p

* Just about 10 years back no one believed Air Asia would be able to ply KL-Sin route due to protective measures by MH & SQ. Well, now there are at least 4 budget carriers plying this route daily. Now, there is a plan by the Gov.s to build a high speed train link bw KL & JB (and from there, Singapore) that will cut travel time to 2 hours, within the next 8 years.

I will not bet against it. It will happen. This will bring up the price of Nusajaya properties prices, to be on par with KL...while that will just increase demand from Singaporeans for Nusajaya for retirement, being close enough to Singapore and family and accessible to KL at convenience, while providing better living std (in terms of space, cost of living, etc) than Singapore.

And we have not even talked about the potential success of Medini & SiLC yet and the new expats they will bring into Nusajaya Residences (officially defined by its website as HH, EL, Nusa Idaman and LH and Puteri Harbour condos). It will complement Singapore as Singapore will remain the leader and high-end finance and manufacturing industries while Nusajaya, benefits from the spillover. Both the Govs know this and thus both behind it as success will be mutually beneficial...

 

[Investor]

hmm the prices of bungalows in HH were just RM 2.3 mil on average for 3 storey. I wonder how come EL is cheeper.

Must compare in psf price as all landed properties have different built up(BU) and land area,

Bungalow A can be BU-4,000sqft and Land-5,000sqft.
Bungalow B can be BU-10,000sqft and Land-30,000sqft.

EL bungalows don't come with big land area like LF and HH. From the sales persons of EL, future phases of bungalows will be above RM3m.

 

[ginfreely]

I would still buy a Singapore property first using my CPF, then rent it out and use the rent to pay for the Malaysia property.

Yeah another BIG advantage is buying Singapore property using CPF so as to drawdown our CPF NOW, no need to wait for don't know when. I don't even think about withdrawing my CFF anymore, the age can shift to any age and the minimum sum to retain in CPF can go up to any amount they wish to.

 

[cathylmg]

Yeah another BIG advantage is buying Singapore property using CPF so as to drawdown our CPF NOW, no need to wait for don't know when. I don't even think about withdrawing my CFF anymore, the age can shift to any age and the minimum sum to retain in CPF can go up to any amount they wish to.

Jackpot! Using CPF to buy HDB as a way to withdraw CPF is a briliant idea. I also don't even think of withdrawing or selling my HDB. If you live in a terrace house in JB, The HDB can be your greatest annuity policy.

 

[Coolsaint77]

Hi Coolsaint,
Have you paid your second 10% down payment for your EL unit? I saw those phase 2 Type A and B Semi-ds being built up to roof top already but those around the park are just starting. Maybe that's why they haven't request for my 2nd 10%.

Not yet. Their speed of construction is quite fast, but they seem to be "building to target" ==> units purchased earlier are built first due to the 24 mth rule.

 

[Coolsaint77]

Diverting from the topic of returns on rental and such for a moment, I came across a new development nestled amongst Bukit Indah, Nusa Idaman and Horizon Hills. A newly launched condo project called Horizon Residence.
I saw the piling works and what I think is the sales office all set up as I was driving along the long winding Nusa Idaman road. Will check it out when next I head up.
Looks like that road from Bukit Indah into Nusa Idaman may not remain so dark and eerie in the future with two tall blocks of condos facing it
Of course the previously wide open sky and landscape will soon be slightly 'blocked' by those towers :(

Wuqi mentioned about this condo in an earlier post.

That road from Bukit Indah to Nusa Idaman (Jalan Ceria) is not dark and eerie at all, but with the exit opened for direct access to JB-PG highway, the traffic is a bit too high for that little road.

 

[aangsc]

Anyone with infor where to get fire-crackers around Bk Indah ? Wanted to re-live the good old days of letting off fire-crackers during CNY. Good if price guide available as well. Thks