WTF? 23 Properties By 30 by Faizul Ridzuan

I attended a brief property investment seminar at Bandar Baru Bangi two years ago to have a clue or two about the topic. The talk was good, I learn a lot and initially I had intention to sign up for a second class to learn deeper about property investment. My objective was only to find out a way to be able to afford buying a house for living at early age. Unfortunately, that was the last time I had free time to attend any seminar or class. Preparing for wedding in Malaysian culture was a super time constraint period, and the first three months after it is not a honeymoon time either.

I came to this book at a MPH store at Kuala Lumpur while on casual shopping. It was published three months earlier and a best seller at that time. The author was one of the early successful property investors in Malaysia, sharing his experience, technique and trick that he used that made him owner of 23 unit of properties before his 30th birthday.

The way the author elaborate the content will not boring you. He explained to you all the A to Z of property investment - where to start, how to find and select the right property for you, how to fund it, the do's and dont's, the procedures, and how will you get your investment back from it. Although the book is already 2 years old now, but most of the main principles and technique that it taught you maintain relevant no matter at what age are you living in. For anybody who wish to dive into property investment or any person who just want to buy a house like me but has no time to dedicate for attending property class, get this book for kickstart. It is sufficient enough.

The book can easily be found at any MPH or bookstores, or you can also ordered it online at Faizul Ridzuan website:
http://www.faizulridzuan.com/
As a former civil engineering students I know how printed word can sour your eyes, but take your time. You don't have to finish it in a day. I guarantee that the knowledges that you will earn from it are worth reading.

Idaman PKNS, Selangor Dream House Ownership Program

Selangor Dream House Ownership Program or IDAMAN PKNS is an affordable housing development program initiated by the state of Selangor under Housing and Properties Board (LPHS) through her subsidiary, Selangor State Development Corporation (PKNS). The program is executed in phases at selected area in Selangor. By the end of 2031, Selangor is expecting to complete at least 31 thousands unit of affordable houses.


The nature of the property offered is mixed and depends to the development cost at the area. There are terrace houses but located at rural or remote area like Bernam Jaya, Serendah and Sungai Buloh. The nearest landed house to Kuala Lumpur is Bukit Botak, Selayang. Other houses at urban and populated area are usually apartment. Please refer to the official website for exact location, type of house, and size. Don't forget to make your own study on the market value at the house location, unless if you don't mind ending up buying a government scheme house at equal or higher price than the non-scheme development.

Up until the end of 2013, 2 projects has successfully completed, 2 in progress, and another 2 is at planning process and will commence by this year. The completed projects are Bukit Botak, Selayang and Seksyen 3, Bandar Baru Bangi.  Seksyen 1D, Antara Gapi, located at the remote Serendah town is near completion while according to Media Selangorku Seksyen U12, Desa Alam near Bukit Jelutong Shah Alam are scheduled to completed by the end of this year.


Application and Eligibility

Interested individual and prospective buyer may apply for the project at Selangor Housing and Properties Board (LPHS) website.
"ehartanah.lphs.gov.my"
Also, check for your qualification before applying for the program.

1. Applicant must be a Malaysia citizen and registered with Selangor Housing and Properties Board (LPHS). Registration can also be made online at LPHS website.
2. Applicant must be at least 18 years old when the application is made.
3. The average of combined monthly income of the applicant must fall between MYR2000 to MYR5000 per month.
4. Applicant and spouse cannot have more than one property. 

For more information on this development, please contact the Selangor State Development Corporation. The address is:

Perbadanan Kemajuan Negeri Selangor (PKNS)
Kompleks PKNS Shah Alam,
Persiaran Tasik,
40505,Selangor Darul Ehsan

Tel: 1-800-88-PKNS(7567)
Website: www.idaman-pkns.com

Good luck.

PPR, DBKL Housing Project for Kuala Lumpur Citizen

I know lot of young family in Kuala Lumpur who are living below the national urban poverty line of RM3000 per month. To be frank, I doesn't have a good kickstart for my career like many of you. After graduated, I only earned a little less than RM2000 for the first three months of my first job at an international company who had developed many prestigious building in the middle east. I actually earned a lot more before I get my degree certificate but I didn't complaint much seeing my other colleague earned less than mine, and realizing that my objective as a fresh graduate at that time is to learn more rather than earn more. My colleague and I "graduated" from that company a year later and he became a manager at a well known construction company with greater and worthier pay while I become a Food Tester at a McDonald near Aeon Shopping Mall at Nusajaya whose is now charging 50 cent for refilling beverage. Nevertheless, I still remember those old days as one of the best period in my life before as a bachelor.

Unlike my old friend, there are a lot of peoples who arent so lucky to get out from the proverty trap and might stuck for a long time with the other 7 millions working Malaysian who barely earn RM2000 per months. The national mean wage for 2010 is RM1804.43. For you peeps who fall in this tier, it is mathematically impossible to afford or rent a property in the capital city.

Realizing this problem, Kuala Lumpur City Hall (DBKL) had been offering low cost and affordable houses scheme for quite sometime already. Application can be made online via DBKL webprotal for affordable and low cost housing, http://eperumahan.dbkl.gov.my/


While some of you might be cynical for this scheme, please take a look at the property market now and please contact me at any time should you know any similar property in the capital city that sells at the same price. For interested personal, make sure that you meet all the requirement before applying. The requirement are:

1. Applicant must be married
2. Both applicant and spouse are Malaysian citizen
3. Applicant and spouse monthly income must not more than RM2500 for Low Cost Housing and RM4000 for Affordable Housing.
4. Applicant must be working or living in Kuala Lumpur
5. Applicant and spouse does not own any property (land or houses) within 35KM from Kuala Lumpur city
6. Applicant must be eligible for housing loan from financial institution

For more information on this development, please contact the DBKL's Department of Housing Management. The address is:

Jabatan Pengurusan Perumahan
Pembangunan komuniti,
Dewan Bandaraya Kuala Lumpur,
Tkt 4 - 9 Menara DBKL III,
Bandar Wawasan,
Jalan Raja Abdullah,
50300 Kuala Lumpur.

Tel : +06 03-26176000
Faks: +06 03-26983722

e-mel: jpp@dbkl.gov.my

The Cost of Owning a House

I met my other half on a rainy day of July, 2012 at Tebrau City, Johore Bahru. We immediately fell in love and I married her last year on the second week after Eidul Fitr festival. I was working at my hometown at Kuala Lumpur while she had to stay at Johore Bahru as her application to transfer to my place was not entertained. We had to live separately for a period before I finally decided to apply for a job at Johore Bahru so we can start living together.

Like many other Johore Bahru citizens especially the young couples like me and my wife, the greatest challenge that we had to face to start a family are the unreasonable high cost for property ownership. When I first met my wife, the price of a medium cost comfortable terrace house at Skudai is around MYR70k more or less. I came back after two years only to find out the same type of house cost three times the former price. Place nearer to Nusajaya like Lim Kit Siang's Gelang Patah and Bukit Indah would be 500% increase. Even my company, which are fully owned by government sells no unit less than MYR million.

The same calculation applied for rental. Back then, with MYR300 you get a two storey terrace house. Now that price can only cover to rent a common room. Some landlord who still leasing their property at the old price slowly getting rid of their tenant with lame excuses like, "I have sold the house" or "I want to move in." Those were true stories, happened to my wife's former housemates, and two of my friends.

It is no secret the reason for the price hike. When I roam from Bukit Indah to Skudai, many billboards, advertisement showed non citizen telephone number. Since 2008, the starting year of the 2nd World Great Recession that saw US economy crumbles, while the government of ours had to start cutting down all subsidy program, introducing new type of taxes, and raising all the existing, many middle income citizen saw property investment as a way out from the financial depression. These humble "ROI cash-flow" player actually gave no or very little threat to the properties market. The problem came when more and more high income greedier citizen - both existing millionaires and the newly riches of property investors, join the game with "Capital Gain" technique in large scale. They buy all new properties using proxies even before the launching date, denying common citizen opportunity to buy it except from them, after they had greedily speculate the price as much higher than actual market value. Now with more player from the outside, who comes with greater capital, there is no way we would expect the situation will be better.

On developer part, the only thing they care about is the selling of their properties. The country's loose policy for property ownership allows the developer to target their market to the investors. Very few developers are willing to perform their moral duty to the society by developing affordable houses for the middle and lower income. When the government finally decided to be stricter in their policy, it was already too late. Medium terrace house now is selling at MYR900k.

Now according to the latest salaries report by Jobstreet.com portal, the average salaries for a junior executive is only MYR2900 or maximum is MYR3500. Immediately, we would realize that the current property market today is totally out of their league. With stricter facilities application introduce by National Bank since 2012, 2013 and 2014, can their salary meet the requirement? The last resort for my generation might only be the very limited government funded affordable houses.