Everyone have their own reason on picking the properties that they wish to buy. The same block of property might be close to work for you, but far for others. Determine the considerations well before deciding on which location to buy. For me, I will look for properties near to my parent's house. I would rather travel a longer distance everyday to work so that I can enjoy the great foods by my mum. So, what are the general considerations to make before buying a property then? Do remember that those are just part of it and you may have more considerations to make!
1) Convenience.
Buying a property that is cheap but far away from the facilities needed are actually quite problematic. Imagine you have to travel 1 hour everyday to work, driving 30 minutes just to find a convenience store and buy some drinks, no foods nearby when you are hungry. By convenience, it would actually meant a location which has the most of all that you need within 15 minutes. Foods,schools,hospitals,supermarkets, government workplace (my place has the immigration office and KWSP nearby), banks will also be an added advantage when you try to sell the property later on. The convenience of getting to your workplace shall be a last consideration as you might be changing jobs later on, buying a new property whenever you change a new job is kinda..... well you know what I meant.
Buying a property that is cheap but far away from the facilities needed are actually quite problematic. Imagine you have to travel 1 hour everyday to work, driving 30 minutes just to find a convenience store and buy some drinks, no foods nearby when you are hungry. By convenience, it would actually meant a location which has the most of all that you need within 15 minutes. Foods,schools,hospitals,supermarkets, government workplace (my place has the immigration office and KWSP nearby), banks will also be an added advantage when you try to sell the property later on. The convenience of getting to your workplace shall be a last consideration as you might be changing jobs later on, buying a new property whenever you change a new job is kinda..... well you know what I meant.
2) Neighbourhood.
*A good reminder from kopiandproperty.com , check the drains! make sure its not clogged or the area will be full of mosquitoes! (aedes might be included!)
Landed or not, drive around that area first and survey before you buy the property. Usually Malaysians will label certain area as "Malay Kampung" , " Cina tempat" or "Indian area" ( not to be a racist , its just that certain ethnics love to stay together, they feel closer) so check well or else you might be awkward joining in their group ( but of course they can be lovely neighbours too! )
If you can see some suspicious motorcyclists moving around or the housing area is too creepy (broken streetlamps, bad shape of playgrounds, no police patrols the area) then don't consider the house. It is important as you might have to live here with your families for the next 30 years. Protect your family members. Cheaper does not mean everything.
3) Connectivity.
Buying a house in some "ulu-ulu" places will be a headache. Butterworth is really a good place to stay in. Move out of the area and you'll be on the expressway 5 minutes away from the Penang Bridge. That is really convenience to go and forth between island and mainland. For now, you can even look for property with future MRT/LRT/Monorail routes nearby as their prices would definitely appreciate further. To see what I mean, you can search online for the prices of property next to a public transport station. They usually have a premium of 10-20% higher than common houses.
4) Condition of the property
If the seller is giving you the price tag, check out whether the house is worth the price. Are the house new? renovated? or unfurnished? Does it have problems of water leakage before? Are the external paints peeling out? Do you have to renovate it again once you bought it?
Although sometimes the property is not worth price , but there is no need to argue with the seller over it. Just do the calculation for him/her. Painting the wall, changing the window panels, old fans, floortiles , kitchen sinks can easily reach out to RM20K and above. Ask for a discount politely.
If the seller is giving you the price tag, check out whether the house is worth the price. Are the house new? renovated? or unfurnished? Does it have problems of water leakage before? Are the external paints peeling out? Do you have to renovate it again once you bought it?
Although sometimes the property is not worth price , but there is no need to argue with the seller over it. Just do the calculation for him/her. Painting the wall, changing the window panels, old fans, floortiles , kitchen sinks can easily reach out to RM20K and above. Ask for a discount politely.
5) Property price.
If you are not sure whether the seller is giving you a market price, premium price or discounted price, ask for a professional help. Look for registered property valuer and determine whether the property is worth the price. Of course they will take a certain fees but it will definitely worth it if you are buying a 500k worth house with a price of 450k right? The professional can also tell more easily whether the seller are in desperate need of financial aid so that you can pick up the "durian runtuh"
Find professional valuers at iproperty.com.my
If you are not sure whether the seller is giving you a market price, premium price or discounted price, ask for a professional help. Look for registered property valuer and determine whether the property is worth the price. Of course they will take a certain fees but it will definitely worth it if you are buying a 500k worth house with a price of 450k right? The professional can also tell more easily whether the seller are in desperate need of financial aid so that you can pick up the "durian runtuh"
Find professional valuers at iproperty.com.my
6) Developments nearby
If you are buying a seaview condos for the beautiful sunset, you don;t want a high-rise building to block your view after 2 years right? You paid a premium for the sunsets! Ask the real estate agent whether there are any other land developments nearby. Ask what will be built around here if its a vacant land.
But thinking at the brightside, if it doesnt affect you much, the development of nearby area would possibly bring up the prices of your property as well. As the area develop, more people will move in , causing house demand to rise. This is also a good consideration to make before buying a house. Move in an area before it becomes fully developed and price is on the climax. Imagine buying a house around KLCC now. It can easily cost more than double for the same type of property in Penang mainland.
If you are buying a seaview condos for the beautiful sunset, you don;t want a high-rise building to block your view after 2 years right? You paid a premium for the sunsets! Ask the real estate agent whether there are any other land developments nearby. Ask what will be built around here if its a vacant land.
But thinking at the brightside, if it doesnt affect you much, the development of nearby area would possibly bring up the prices of your property as well. As the area develop, more people will move in , causing house demand to rise. This is also a good consideration to make before buying a house. Move in an area before it becomes fully developed and price is on the climax. Imagine buying a house around KLCC now. It can easily cost more than double for the same type of property in Penang mainland.
There are a lot more considerations to make when everyone is buying their own properties. If you are a first-time buyers, it is of utmost importance for you to know all of those before you buy one. If your first buy is not good, you might be scared to get your second house in the future. And that is bad if you want to increase your net worth and investing well for financial freedom. Continue to read this blog and let us learn to invest together!
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