Price of houses and household debts

1. In 2010, Malaysian households paid RM478 for their loans from every RM1,000 they earned! What is left for other expenses like food, education and medical?

2. Price of houses are at the level of 15 times the annual income and it is still inching up!

3.You are not earning more this year as compared to last year. Everything goes up in price. You are buying lesser things with your income this year. Some ended up with smaller saving. Some have to pull through with credits / loans.

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4. When price of everything go up and people are not earning more and but they must eat and live, naturally the savings go down or the debts go up.

5. Price of houses went up every year. What is so surprising about this? The price of teh tarik is RM1.40 a glass and not RM0.80 like not too many months ago!

6. The solution to live through this phenomena of rising cost of living is not from JUST the talk of controlling prices and laws against profiteering.

7. We cannot escape from this fact of life where price of teh tarik will not go back to RM0.80 a glass again. We have to learn or be helped to be able to earn more to cope with this! From education to productivity upgrading and enhancement, do we have it? Will we have it?

Property development - sharing of thoughts

Writing it down to share......things that I concur and believe in, insofar as property development is concerned.

1. Developers should not just build houses to sell but also enrich the lives of people who buy the house and live there.

2. What are the features of the house and the whole housing development project that over the time will increase the value of the property? This is a very important question to be asked during the planning stage of the development. In fact it is not just to be answered but also adopted as the guide for the company's overall developments.

3. If there is no value being planned and created in the planning stage, from where comes the capital appreciation on the property over the time? Value creation as a seed will lead to capital appreciation  as the fruit.

Land cost in a new housing development

1. Land cost and price of property are correlated. Meaning? The cost of the land will be reflected in the price of the house. As the cost of the land goes up, the price of the house must also goes up.

2. On the average in Klang Valley, Selangor, Malaysia, land would usually cost 30% of the total cost of a new housing development project.

3. How much has the price of land in surrounding Johan Setia, Kampung Jalan Kebun and around Jalan Kampung Lombong, Jalan Kebun Baru Batu Sembilan and Batu Sepuluh have increased over the past five years? Some may argue that it was caused by speculation and not by actual demand. But the facts are in front of the face...the price did increase tremendously!

4. That being the case, how could the price of the new houses that were developed in these areas over these few years not be higher than the preceding years?

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Kos tanah dalam satu projek pembangunan rumah

1. Kos tanah adalah 30% ( purata ) kos keseluruhan satu projek pembangunan perumahan baru di Klang Valley, Selangor, Malaysia.

2. Jikalau harga tanah di persekitaran bandar Klang, sempadan Klang Shah Alam seperti di kawasan Jalan Kebun dan Kampung Kebun Baru dan Johan Setia meningkat dari setahun ke setahun dalam jangkamasa lima tahun ini, mana boleh pembeli rumah baru dan juga mereka yang bakal, mengharapkan harga rumah tahun depan akan jadi lebih murah dari tahun ini?