These days, in my talks, people no longer ask me about the potential of property bubble bursting. Maybe they have forgotten a viral Whatsapp just a few months back about an imminent property bubble bursting. Maybe they are ow very confident with the new government? Anyway, every time anyone asked, I would point out to … Read moreFIABCI Malaysia: No property bubble bursting soon
When stocks are overvalued, stop buying them as if we are in a ‘never ending’ best-seller movie. When properties are overpriced, stop buying as if they are an asset. An asset is also defined as “an item of property owned by a person or company, regarded as having value and available to meet debts, commitments, … Read moreIMF’s warnings: ‘risk of a sharp tightening of financial conditions’
Remember subprime-mortgage crisis in 2008? In brief, the banks were lending to borrowers who SHOULD NOT have gotten the loan in the first place. Then, everything collapsed when the borrowers really could not pay. This is the reason why I would not want the banks to lower their lending standards here in Malaysia. Buyers just … Read moreWhen borrowers need not even qualify for it, better be fearful!
It is not a good sign if property prices keep moving up much faster than the salary increments we receive every year. Of course if we get a promotion, the typical increments may be 15-20 percent and this is faster than the typical increment in property prices. However, not everyone gets a promotion every year. … Read moreHigh property prices is never a good sign, regardless of country.
I read an interesting and easy to understand article in South China Morning Post (SCMP) about the state of property market in Hong Kong. Here’s that article. Hong Kong is an advanced property market and usually, they will experience whatever is to happen first, way before Kuala Lumpur. According to the writer of the article, the … Read moreProperty bubble bursting? Two things to watch out for.
It’s a popular topic these days. In fact I have been asked no less than 3 times by a few different Whatsapp group. Only one of those three groups are related to property investment. Haha. Well, we have another prediction, just a few days ago. This time from one of the top three international rating … Read moreOversupply to last 5 years. That’s until 2022…. ?
On one side of the ring, we have a veteran real estate expert, Ernest Cheong who sees 2018 as the year that the property market may crash. The panic may start right after Chinese New Year in February. He also shared that developers are in desperate situation and that this was why they allow buyers … Read moreCrash, No, Crash, No, debate continues. Action is similar.
According to an interview by FreeMalaysiaToday (FMT) with the Institute for Democracy and Economic Affairs’ (IDEAS) senior fellow, Carmelo Ferlito, the Malaysian property market is close to crashing because of the high unsold properties in the market. He explained that two economic dynamics will cause this. They include the prices of most homes beyond the … Read moreIDEAS: Property bubble Malaysia set to burst
Reported in many different medias few days ago was about Fitch Rating’s affirmation of Malaysia’s long-term foreign- and local-currency issuer default ratings (IDRs) at ‘A-’ with stable outlook, reflecting the country’s strong net external creditor position. Nope, this was definitely not widely shared. Perhaps it’s because of Malaysia’s badminton team in Olympics. (Great performances by the … Read moreFitch on Malaysia: Stable outlook, still at A- (Investment Grade)
A few friends who have followed me for some time asked me why have I stopped writing about Ringgit these days. It’s already recovering, right? Well, last year, I did write a few articles about Ringgit. Read one here: Summary Q2 2015:Malaysian economy, Ringgit and Zeti or this: 1998 vs 2015, just numbers no rhetorics In fact … Read moreRinggit recovering, I stopped writing