Are properties very expensive these days? It must be expensive since everyone I know say properties are expensive. In fact, whenever I write about how prices have risen, the clicks to that article increases. What about affordable properties? The new ones which are planned by both the federal as well as the state governments? Most of the time, the prices of these properties are very much cheaper. Some are so cheap you can hardly believe. Most important question, what are your thoughts about these affordable properties? Do you see them as potentially your new home? Or do you equate these affordable homes with low quality? Oh yeah, if you do need to know where some of these properties are, please do visit PRIMA or for Penang, try penangpropertytalk.com
Actually these affordable homes are supposed to have the same quality but the prices are cheaper because the land cost may be much lower, the density may be higher and other concessions from the government. These are reasons why the prices are cheaper and it has no concern with lower quality. If the prices are lowered by 30% but the quality dropped by the same percentage, I think this is the end of the road for the affordable property plans. As soon as the first batch of buyers get their keys and found out the quality is unacceptable and spreads the news online, all other future launches of these affordable properties would fail. Be reminded, today, bad news can reach the whole country within minutes with Facebook alone.
From the conversations with some friends, it is clear that they think these affordable homes are of lower quality compared to the current ones. After speaking to Ken of penangpropertytalk.com, he gave me another important point. Sometimes, it may not be the developers. It may just be unscrupulous contractors. Cutting corners through cheaper materials or even sloppy job. The reason is as usual, due to lower margins for these affordable projects. I seriously hope the quality of these first few projects to be completed would be good enough to give confidence for later ones. Otherwise, it may not be such a wise decision to buy these units because it may not be possible for the property to increase in price if there are lots of quality issues. Just look at some of the secondary properties which has stayed almost stagnant in prices. Of course if you qualify, my advice is still to register / apply for one soonest.
written on 6 Feb 2015
Next suggested article: 9,999 units promised? Sure, build only affordable and low cost please.