1. “Real estate cannot be lost or stolen, nor can it be carried away. Purchased with common sense, paid for in full, and managed with reasonable care, it is about the safest investment in the world.” -- Franklin D. Roosevelt, U.S. president
2. “Ninety percent of all millionaires become so through owning real estate. More money has been made in real estate than in all industrial investments combined. The wise young man or wage earner of today invests his money in real estate.” -- Andrew Carnegie, billionaire industrialist
3. “In the real estate business, you learn more about people, and you learn more about community issues, you learn more about life, you learn more about the impact of government, probably than any other profession that I know of.” -- Johnny Isakson, U.S. senator
4. “Buy on the fringe and wait. Buy land near a growing city! Buy real estate when other people want to sell. Hold what you buy!” -- John Jacob Astor, real estate and business mogul
5. “Buy land, they’re not making it anymore.” -- Mark Twain, writer and humorist
6. “Landlords grow rich in their sleep without working, risking or economizing.” -- John Stuart Mill, political economist
7. “Some people look for a beautiful place. Others make a place beautiful.” -- Hazrat Inayat Khan, spiritualist
8. “Don’t wait to buy real estate. Buy real estate and wait.” -- Will Rogers, actor
9. “I still think buying a home is the best investment any individual can make.” -- John Paulson, billionaire
10. “Every person who invests in well-selected real estate in a growing section of a prosperous community adopts the surest and safest method of becoming independent, for real estate is the basis of wealth.” -- Theodore Roosevelt, U.S. president
11. “If you’re not going to put money in real estate, where else?” -- Tamir Sapir, business mogul
12. “Buying real estate is not only the best way, the quickest way, the safest way, but the only way to become wealthy.” -- Marshall Field, entrepreneur
13. “A funny thing happens in real estate. When it comes back, it comes back up like gangbusters.” -- Barbara Corcoran, real estate investor
14. “To be successful in real estate, you must always and consistently put your clients’ best interests first. When you do, your personal needs will be realized beyond your greatest expectations.” -- Anthony Hitt, real estate professional
15. “Games are won by players who focus on the playing field—not by those whose eyes are glued to the scoreboard. If you instead focus on the prospective price change of a contemplated purchase, you are speculating. There is nothing improper about that. I know, however, that I am unable to speculate successfully, and I am skeptical of those who claim sustained success at doing so.” -- Warren Buffett, billionaire investor
16. “It is a comfortable feeling to know that you stand on your own ground. Land is about the only thing that can’t fly away.” -- Anthony Trollope, novelist
17. “The best investment on Earth is earth.” -- Louis Glickman, real estate investor
18. “In my experience, in the real-estate business past success stories are generally not applicable to new situations. We must continually reinvent ourselves, responding to changing times with innovative new business models.” -- Akira Mori, real estate developer
19. “I have always liked real estate; farm land, pasture land, timber land and city property. I have had experience with all of them. I guess I just naturally like ‘the good Earth,’ the foundation of all our wealth.” -- Jesse Jones, entrepreneur
20. “Now, one thing I tell everyone is learn about real estate. Repeat after me: real estate provides the highest returns, the greatest values and the least risk.” -- Armstrong Williams, entrepreneur

 

Now the Preacher continues to say although the Earth is permanent the weather is not. They are Cyclicals. In fact 3 Cyclicals

 

1) TIME (24 HOURS DAY AND NIGHT CYCLE) 5 The sun also ariseth, and the sun goeth down, and hasteth to his place where he arose.

 

So there is time. We should do the right thing at the right time.

 

Or you hear about, "NOTHING IS SO POWERFUL ON EARTH AS AN IDEA WHOSE TIME HAS COME?"

 

 

2) THE WIND CYCLE

For Malaysia we have the North-East Monsoon which blows from November to March yearly. 6 The wind goeth toward the south, and turneth about unto the north; it whirleth about continually, and the wind returneth again according to his circuits.

 

So from November to March try not to go fishing in Pulau Tioman or South China Sea. Also avoid tours to Kelantan, Trengganu or Pahang as there will be floods.

 

And why do you want to live there if you could migrate to States of better climate like Penang, Selangor, Perak or the Very Best of All - ISKANDAR IN JOHOR!

 

And Certainly you must avoid visiting places where there are Typhoons, Cyclones or Hurricanes! Malaysia is Safe!!   So is Singapore!!

 

3) THE WATER CYCLE 7 All the rivers run into the sea; yet the sea is not full; unto the place from whence the rivers come, thither they return again.

 

The Bible also mention seasons

King James Bible (Genesis 8:22)

While the earth remaineth, seedtime and harvest, and cold and heat, and summer and winter, and day and night shall not cease.

West Malaysia, Sabah & Sarawak are blessed with abundant rainfall. That's why rubber trees and oil palms thrive. And with that Malaysia has many listed Oil Palm Stocks

Now coming back to the subject of Real Estates.

Like every Cyclical things like iron ore, Crude Oil, Stock Market, Real Estate is also Cyclical due to good times and bad times.

However, Iron ore and Crude Oil could be depleted and used up. Remember Malaysia has Vast Amount of Tin last time? Now not much left.  But the Earth remains. So over time although there is Ups & Downs the Price of Real Estate will always move up, up and up.

 

2 MORE VERY IMPORTANT REASONS WHY REAL ESTATE PROCES WILL CONTINUE TO MOVE UP

 

1) SCARCITY

GOD HAS CREATED THE EARTH AS IT IS.

Mark Twain said, “Buy land, they’re not making it anymore.” 

Only cutting down hills or reclaim lands from the Sea are possible - but very costly.

Last time 40 over years ago when durian was in abundance My Brother would drive his car to Gombak and bought a Basket Load of Durians for Rm25

Inside got 25 to 30 Nice Good Durians. All for only Rm25

Today one Durian alone cost more than Rm25 each!!

Why? Scarcity!! Scarcity in comparison to Huge Demand. Demand from Singapore? From China teeming Millions? So we move to the Second Reason

 

2) POPULATION EXPLOSION

Jesus said, AS IT WAS IN THE DAYS OF NOAH SO SHALL IT BE IN THE DAYS OF THE SON OF MAN" In the days before the flood they were eating and drinking; marrying and given in marriage"

What happened in the Time of NOAH

Let's see

Genesis 6 King James Version (KJV)

6 And it came to pass, when men began to multiply on the face of the earth, and daughters were born unto them,

 

It says, "WHEN MEN BEGAN TO MULTIPLY ON THE FACE OF THE EARTH"

 

There was a population explosion in Noah's time! So the world's population will continue to grow & grow & grow!

 

THAT IS THE REASON WHY REAL ESTATES WILL CONTINUE TO DO VERY WELL LONGER TERM.

 

Of course there will be Boom Bust Cycles. But ultimately if you have holding power the prices of Well Located, Ideal Real Estates will still move up.

Think of Lands in Bangsar, KL. Tanjung Bungah in Penang; or Mount Austin & Tmn Perling or Taman Pelangi in Johor? There are more & more people looking for scarce Real Estate for sale there.

 

Now I got 2 Indonesia workers who are very smart, one called Jarwo & one called Beno

 

Jarwo told me he bought a piece of land in Surabaya back home

On the land he planted trees. After 8 years his trees have grew to more than 1 meter thick trunk. And One Paper Manufactuer offered to buy his trees to make them into paper.

They offered Jarwo a good price. Got them cut & removed.

I asked Jarwo, "After 8 years your land must also have appreciated in value?"

He said, "Yes, it has gone up more than double in price. But I am not selling the Land. I will be planting more trees. This time the trees will be kept for 12 years"

 

I asked in surprise, "Why first time is 8 years. Now 12 years?"

 

Jarwo replied, "Those trees planted 8 years could only be used as paper pulp" But these 12 year ones are more hardy. They could be used as Door Frame. So can command a higher price"

 

Oh! He already waited 8 years for first harvest. The second harvest now 12 years?"

And for most of the time he didn't see the Land or his trees.

 

WoW! That will be 20 years long investment!!

How come my Indonesian Workers got such long patience? How rare?

 

Now what about Beno. Beno also got lands. 

Every ringgit Beno saved he sent back to Surabaya for his mother to buy another calf. A calf costs Rm350. When grown up into a Cow it is worth Rm3,000

 

That is how they both work. Work then invest in trees or cows. Both made productive use of their precious Lands.

 

The Lands are permanent holding of wealth. And will appreciate for a very long time to come.

 

Beno told me after more than 40 years there will soon be an air port planned near his lands.

 

SO ALL LIFE, THINGS, BUSINESSES, TIMES, SEASONS MAY ALL CHANGE

 

THE EARTH ALONE REMAINS FOR EVER

 

Warm regards

 

Calvin Tan

Singapore