I am guessing many of them already own investment properties in SG or elsewhere. They probably also have made tidy profits from some of these properties so have spare cash lying around. When the cooling measures were introduced in SG, they were pushed out of the market. So with cash lying around not doing anything, their hands got itchy and decided to plunge it into Iskandar.
However, I feel if one has to throw money away, also not like dat mah, right? I dunno. Maybe cos I haven't reached that stage in my financial wealth. I made rash purchases of electronic gadgets in the past which I hardly use. But those are a few hundred $ and I can move on. For properties, we are talking about a few hundred thousand SGD or a million RM. That's a good amount that can help one retire a couple of years early or provide college education for their kids.
Yes, Singaporeans generally are not investing or considering moving to Iskandar. I've asked my colleagues and friends, some of whom are even Malaysians from JB and other cities, none of them are attracted to invest or live there. They give a whole lot of reasons which most of us already know so I won't list here.
For some who work in SG but choose to commute every day in and out of Iskandar, like Frodo, I'm sure several important things have to be sacrificed -- the lifestyle, less time with loved ones, children or spouse stuck in JB, etc. It does not suit the majority of the population.
Actually, living in SG is not all that bad. People label inappropriately apartments here as "pigeon holes". What do you expect? SG is a small country with a dense population. It's the same everywhere else in the world. I think we are very far from the worst compared to many other places like HK, Tokyo or Taiwan.
The standard size 95 sq m HDB flat is comfortable enough for a small family. I wonder what people want inside. A huge garden? A large chandelier hanging from your ceiling? Bigger the house, more cleaning there is, more security to take care of, more furniture to buy and higher maintenance costs to pay. How big is enough?
The SG government is already making plans all the way for SG100! SG will continue to thrive. But for Iskandar, I really don't know. Their government is corrupted, plans are not properly and systematically laid out (I can't even find the sales figures on homes there), developments get cancelled or shelved aside at the last minute, etc.
If there are no immigration checkpoints and part of Iskandar is owned by SG, I say go for it! But it's not. Anyway, I think all the properties there after 2011 have been highly inflated. If a 3-bedroom condo is sold at RM300k or about S$100k in Medini, you can consider buying so that you have some buffer on all the risks involved. But at an average of RM900k or so, I think it's highly over-priced.
Most don't realize with the huge oversupply, they are not going to be able to cover their monthly mortgage. Rental is so cheap in JB anyway. It will get worse. I've said this many times. Then there is also the problem of depreciating cost. Who's going to buy your 5-year old condo when there are thousands of brand new ones coming up any time at the same price or possibly even cheaper?
I went down to Medini again last month and all I see is a huge stretch of condos being built. There are no amenities surrounding it. Someone here once mentioned it's a misconception that Iskandar is filled with palm oil plantations. What I really saw in Medini are lots of trees! Don't know if they are palm oil tress. Doesn't matter, right? I'm thinking how long will it take for all this huge damn place to develop? And the condos will be ready in merely 1-2 years' time? I mean, no offence but good luck to the buyers/investors.
By the way, I also went to Legoland. In almost every Medini property advert I read, this name always pops up. I think it's overhyped. It's as if they depend on it to tell you your condo will boom next time because of it. Tickets are overpriced and meant more for foreigners and tourists. The place is also rather boring and can be covered in less than a day.
If one chooses to buy say a RM900k condo in Iskandar while keeping his HDB flat in SG, I'm not sure if this is a solution for a better lifestyle. If after 10 years, you are not able to sell your Iskandar condo, you are already considered to have lost that RM900k upfront. Whatever rental you gain from your SG flat does not translate to any profits at all. It goes to service your monthly bank loan and at the end, you are left with a JB property that depreciates in value, has to be sold at loss or in the worst case, nobody wants it.
These people all in denial, very very hard to convince, they keep on going on and on praising themselves for buying property in Johor so that they can have good retirement, like as if they are the smartest people in Singapore, I don't see why the average sinkie who did not buy property in Johor cannot also retire in Johor by simply renting out their hdb and stay there too. No need to tie up money.
The fact that a large majority of Singaporeans still stay put and retire here speaks volumes. I am sure they know Johor offers cheap living but Singapore is still the safest and most efficiently run country, and they rather stay here.
My parents are simply one of those, I tell them street food is cheap, they say the hygiene is questionable and generally food is of a lower standard. Grocery is only slightly cheaper. Cars is not really cheap when they compare with Oz. Houses? Well you know lah. Cheap and no good.
