My views were featured on the main page of The Malaysian Reserve last week. “Auctioning homes getting tougher in a tepid market.” Briefly, it tells of how people could find good opportunities in the auction market because the demand for auction properties have also weakened. However, at the same time, the competition for buyers from the primary market (from developers) and the secondary market (owners) have heightened because everyone is doing their best to entice buyers. Developers with their discounts and owners who are willing to consider lowering their price expectations. Image below.
Please read the full Article in themalaysianreserve.com Property auctions are generally sought after my buyers looking for bargains. However, the availability of many unsold units and a muted property market meant that the auction market are not that attractive; buyers have choices.
TEN Auctioneers Sdn Bhd CEO Charles Tan said the market is taking a longer time to sell off the auctioned properties despite the supply of homes not surging in recent years. “At the first auction, the house will be sold at the initial price, but at the second auction, the price will be reduced by another 10%. The price will be cheaper at the third auction.”
He added, “Previously, a home can be sold during the fourth round of auctioning. Today, it may go to the fifth or sixth auction. Buyers can find almost the same price in the subsale and primary markets.
Bank Islam Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said lenders have been prudent in their lending standards due to the robust regulatory requirements demanded by BNM. He said, “By historical standards, the impairment ratio is not too alarming. It is just that the trend of impairment ratio has been gradually on the rise.”
Do read the full article Article in themalaysianreserve.com
Besides writing on a daily basis and speaking on a weekly basis on property investment related stuffs, I am a Licensed Auctioneer (state of Selangor). So, I am one of those people who gets paid for knocking on the table with a hammer. Please do not ask me for the best deals yeah. State clearly what you are really looking for and then I could keep you informed when there are such deals in the near future. Happy buying, regardless from which market.
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