Leisure Farm Properties

From a property agent friend of mine:

A good place for retirement. Peaceful and cozy environment. There are a few downsides such as no direct access from 2nd link and no nearby commercial center. Occupancy rate is also quite low about 30-40% but same thing happen in Ledang Heights and East Ledang. Investment wise the price for a private bungalow there is quite expensive. Average is RM4 mil. The lowest is selling for RM2.5 mil but the condition is quite bad. So in terms of yield return it is about 3%. In terms of capital appreciation there is still a chance the price will double in 10 years time. But it depends on few factors including how well the competitors perform during that time. The developer also has a plan to connect the coastal hiway which ends at medini to LF entrance. If this plan goes through LF will be the nearest checkpoint from tuas. As you can see the potential is there

If you are open to other properties, I can always refer you to my agent. Let me
Know. The property market is very hot right now.

HH is definitely a better place than LF. For one there is a large commercial and residential hub. I believe its also managed and developed much larger developer that has the funds to carry out the long term plans. In that sense, the longer term prospect is better but generally, MY property markets is slightly overheated much like Sg.

So when the property market is hot, stay by the sidelines until it cools down. Is that right? I would think so.

I wouldnt never think JB is a good Investments. I think many SGrean have been burnt bef. So, do think twice.

Batman wrote:

Just curious bro DM, from your property friend, how is LF as compared to Horizon Hills, in terms of investment returns?

Again, quoting from Zaini, my property agent:

We have to analyze HH and LF from different perspective. HH is better compare to LF in terms of locality and amenities. Occupancy rate is also higher in HH. If you compare terrace/semi d segment in HH and LF you'll notice that the price is cheaper and the house is bigger in HH. This is true especially for subsale units. The yield return and demand for these 2 segments are a little higher in HH. Whereas, for bungalow segment, the return rate is about the same in HH and LF but LF has better demand. In terms of capital appreciation is a bit tricky for terrace and semi d segments because the current price is a bit over inflated in both HH and LF. In my personal opinion the price will become stagnant after 2 years time and will be so for a few years. Meanwhile, for bungalow segment LF is better atm. Anyway, both have their strentghs and weaknesse. Most importantly both are good for investment

TDO wrote:

Thanks bro. For the feedback. I was thinking since it is part of the IDR, it would be a good investment. However, I think much would depend on the political stability in Malaysia. A bit scary though.

Zaini responded:

Of course the development in IDR will be dependant on political stability but we must also remember that the project is too big to be abandoned. In fact the main developer for IDR is UEM Bhd a Government Link Company (GLC). As long as there is no riots or civil wars, chances for IDR to be abandoned is very small

Now for my take on the JB property market.

My profession is a Landscaper and I started getting very busy since October onwards. My clientele is a mixture of private house owners, property investors and developers.

I am still extremely busy with the Developers' projects and all of them are extremely aggressive about the property market. If you think that a bubble may be bursting soon, developers are totally on a different page. High value condos are in the pipeline, upscale semi d and bungalows are also the main focus.

As for investors, they are exploring the auction markets now. They are still finding great deals amidst "overly inflated" prices. Some bought abandoned houses in prime locations and I am tasked to clear the garden area and make it look cleaner. After some needed repairs and renovations, they are looking a lot more appealing and ready to fetch the investor some profits again. These guys are extremely shrewd bargain hunters. Mind you, majority of them are Singaporeans.

I also have SG customers who have rented out their flats and moved in to JB. I understand from them that rental rates are extremely good now and they are able to get extra income just by renting out and staying in JB in an apartment or condo of the same or bigger size but paying about 1/3 the rent.

So if u think that the JB market is over priced, you are right.
If u think that it is still a steal, u are also right.

Those that are not buying believe that it is not a good investment.

Those that are buying, think otherwise.

If u want to know more, let me know and I will get Zaini to get in touch with you.

Again.... I don't know about the property but in term of golf, I have to compare Poresia and Horizon Hill..... Don't need me to say, anyone that play both courses know which is better.

Well i live at East Ledang and what's really great is easy access to almost 30 golf clubs in less than 1 hours drive and oh so cheap to play )

JB property is booming, you need a good property agent for advice though.

bmccann wrote:

Well i live at East Ledang and what's really great is easy access to almost 30 golf clubs in less than 1 hours drive and oh so cheap to play )

Well I live in Singapore and what really great is easy acces to ALL the golf clubs in Singapore in less than 1 hour drive and oh so EXPENSIVE to play