Posted by speakup > 2018-11-08 17:03 | Report Abuse

anybody who bought a house within last 3 years, all see negative equity.

Posted by henly > 2018-11-08 17:06 | Report Abuse

The problem is developer only want to build high end and luxury houses with high margin. Affordable houses mana cukup ? Those are developer problem not government problem.

Posted by qqq3 > 2018-11-08 17:11 | Report Abuse

y speakup > Nov 8, 2018 05:03 PM | Report Abuse

anybody who bought a house within last 3 years, all see negative equity.
======================

in that case those in 20% p2p is better off than those in traditional mortgage.......

Posted by relaks > 2018-11-08 17:12 | Report Abuse

@henly, re: >5% FD, got. U cek. Fresh fund. Esp. During promo. Must looong term ya.

This funnyhome ( lol ) no guarantee u dpt 5% ya. Can earn telur juga ya. ( Fr investor POV).

Posted by Muarmali > 2018-11-08 17:14 | Report Abuse

@qqq3, they don't own the property. the title is not registered under their name. if the title is under their name, they have to fork out more money to transfer it back to the financier if they fail to pay the balance after 5 years.

Posted by qqq3 > 2018-11-08 17:16 | Report Abuse

muarmali....just look at it as bridging facility.......5 years woh....sure get promotion after 5 years la........

Posted by qqq3 > 2018-11-08 17:18 | Report Abuse

CIMB and Maybank are the main investors......surely CIMB and Maybank will not go bankrupt........

Posted by Muarmali > 2018-11-08 17:21 | Report Abuse

for young people, better don't buy property. renting is better. thanks to all the great developers who flood the market with so many unsold property to make renting an option. :)))

Posted by relaks > 2018-11-08 17:30 | Report Abuse

Gomen oso can change. DUN say bank cannot go bankrupt. Or a normal co cannot go under. Heheh...

But if banks also in, for sure bank get the fattest, juiciest meat. The rest, reserve for high risk taker lol ? For sure they’ll luv your investment. ;)

Posted by qqq3 > Nov 8, 2018 05:18 PM | Report Abuse

CIMB and Maybank are the main investors......surely CIMB and Maybank will not go bankrupt........

Posted by KLCI Going Heaven > 2018-11-08 17:36 | Report Abuse

Finally some people who makes sense!

Posted by KLCI Going Heaven > 2018-11-08 18:05 | Report Abuse

maybe 5 years later they also go Holland already

Posted by qqq3 > 2018-11-08 18:10 | Report Abuse

A lot of maybes....but it is people who do the right things at the right time who makes the money.........

Posted by relaks > 2018-11-08 18:19 | Report Abuse

This 1 fr experts. Many good points.


FundMyHome scheme a risk for house buyers, experts say
Syauqi Jamil - November 7, 2018 7:44 AM
1.6k Shares 1.4k 60 52 10

Several property experts have questioned if the FundMyHome scheme will really benefit house buyers. (Bernama pic)
PETALING JAYA: Property experts have expressed scepticism and concern over the recently launched FundMyHome scheme for house buyers, saying it is too good to be true.

Chartered property surveyor Ernest Cheong said the scheme, which was launched last Sunday, was misconceived and would not benefit the people.

On the contrary, he said, it would only get them in trouble in five years’ time.

Under the scheme by EdgeProp, there is no monthly repayment. Instead, after a commitment period of five years, buyers can either sell the home, buy out the remaining portion of the property not owned by them at market price, or refinance the home, either via FundMyHome or a normal bank mortgage.



The scheme requires homebuyers to come up with 20% of the property price which will be placed in a trust account and used to pay off the 5% annual investment return to the participating institutions for a five-year period.

The balance of 80% will be contributed by participating financial institutions such as Maybank and CIMB.

Cheong equated the scheme to that of a typical sale and purchase agreement (SPA) but with more dire consequences if the buyer fails to pay up the remaining portion at the end of the five-year period.

“SPAs have a condition that the agreement can be cancelled if you fail to obtain a bank loan and you can get your money back. But with the FundMyHome scheme, buyers risk losing their 20% and the house if they cannot deliver the balance after five years.

“You have occupational right but not ownership right. Like paying advance rent. There is no recourse because it is a risk that you have to take. It’s a very dangerous scheme,” he told FMT.

He added that this was even more risky given the economic situation in the country as he feared the arrival of a recession.

He voiced surprise that Finance Minister Lim Guan Eng was supporting the scheme in view of the risk it posed to the public.

He also suggested an alternative to the government if the main reason behind the FundMyHome scheme was to honour Pakatan Harapan’s election promise of building one million affordable housing units.

“If you release all the reserve land or repossess abandoned houses through the Land Acquisition Act 1960, developers can save on land costs as all they need to incur is the building cost.

“Build high-rises, not terraces. For 500 sq ft per unit, they can sell for between RM150,000 and RM200,000. I am sure the people can afford it. Don’t ask them to pay RM500,000 and say it’s affordable.”

Are properties really worth their price tags?

Meanwhile, a developer who declined to be named said it was unlikely that developers would settle for collecting just 80% of the price for a home and not knowing if they would receive the remaining 20% after five years.

He said there was no guarantee that the property would increase in value in that time.

In a conventional loan, developers receive the full amount of the selling price with the buyer instead of owing the bank.

“Which developer is happy to collect only 80% of the money they should get? I will only be willing to collect 80% of the price of a home if I am ready to disregard the remaining 20%.

“If the developers are happy to just collect 80% then I guess it’s all good, but I don’t think developers are so generous. Let’s not kid ourselves,” he said.

He also questioned if properties listed under the FundMyHome scheme were really worth their price tags as the price of a property could have been increased up to RM1 million when its actual worth is only RM800,000.

He said if this was the case, even if the developer received 80% of the price of the home, they would be “safe”.

“So was it worth RM1 million to begin with? If it’s worth RM800,000 then the buyer has overpaid for the false comfort of not having to pay any instalments for five years,” he said.

When asked if the reason behind such initiatives was to help developers sell off unsold homes, he said it was unlikely that the developers listed under the FundMyHome scheme were cash-strapped.

He said the FundMyHome scheme could be a good scheme as more money would be drawn from outside of banking resources but added that this would only work if the properties were not overpriced.

Posted by ks55 > 2018-11-08 18:46 | Report Abuse

You think the 'buyers' need to pay 20% price on S&P?
They will have to pay additional 10%, make it 30% for a B40.
Ah Long will have brisk business.
More will jump into Klang River.

Whose fault?

Posted by KLCI Going Heaven > 2018-11-08 18:48 | Report Abuse

we will have our own mortgage crisis in 2023 like what happened in US in 2008... Same thing just that we are 15 years later wakakakakaka

Posted by calvintaneng > 2018-11-08 19:01 | Report Abuse

Look at the Overall macro picture

PH GOVT GAVE ITS BLESSINGS ON THIS NEW INNOVATION

BANK NEGARA ALREADY MAINTAINED LOW INT RATE OF 3.25%

LGE BUDGET IS EXPANSIONARY WITH MORE DEFICIT

RINGGIT IS EXPECTED TO BE WEAK

INFLATION WILL SPIRAL

ALL THESE POINT TO MORE EXPENSIVE MATERIAL AS RINGGIT CONTINUES TO WEAKEN

SO 20% UPSIDE IN 5 YEARS?

IN TURKEY INFLATION IS 25% PER YEAR (NOT 5 YEAR)

USE YOUR BRAIN LAH!

Posted by KLCI Going Heaven > 2018-11-08 19:15 | Report Abuse

wah so smart so smart

Posted by qqq3 > 2018-11-08 19:23 | Report Abuse

critics never make any money.....

only those willing and able to pay for the risk ever makes any money.....

Posted by lizi > 2018-11-08 19:35 | Report Abuse

if this scheme work, secondary market and rental market KO?

Posted by qqq3 > 2018-11-08 19:37 | Report Abuse

lizi...every product got its clientele......

Posted by Miz Raya Bloom > 2018-11-08 19:38 | Report Abuse

ku rasa property ini tengok area, tengok tanah, leasehold ka freehold ka

Posted by lizi > 2018-11-08 19:49 | Report Abuse

qqq3, who want to pay if u can get it for "free"...so good woh

qqq3 lizi...every product got its clientele......
08/11/2018 19:37

Posted by lizi > 2018-11-08 19:52 | Report Abuse

btw this scheme applicable to secondary market or not? or just houses own by developers? aiyo pity secondary market...no wan help...makan sendiri...thought invest can break away from B40, now makan sendiri...

Posted by feimah > 2018-11-08 19:54 | Report Abuse

This scheme only talk the good side but keep quite on the bad side plus nothing mwntion about the buyer cost after 5yr end

Posted by trulyinvest > 2018-11-08 19:58 | Report Abuse

Rental rates wil drop sharply

Posted by trulyinvest > 2018-11-08 19:59 | Report Abuse

Those earlier bought a lot of units thinking of rental out, habis!!!#

Posted by hollandking > 2018-11-08 20:19 | Report Abuse

i'm still of the opinion to let market force determined the supply and demand, not create something artificial

Posted by hollandking > 2018-11-08 20:20 | Report Abuse

these group of ppl they sure will give thumbs up

1. property developers
2. speculators
3. property sellers.

If you belong to any 3 of them, u sure give thumbs up, I'm very sure.

Posted by hollandking > 2018-11-08 20:22 | Report Abuse

I'm talking about good governance, not from the point of these ppl who want to make money

Posted by hollandking > 2018-11-08 20:23 | Report Abuse

My opinion is need to reset the market, through soft landing approach.

Posted by hollandking > 2018-11-08 20:25 | Report Abuse

definitely there will be ppl who will get burnt but it can't be helped. But long run it will make things better for the common folks

Posted by hollandking > 2018-11-08 20:25 | Report Abuse

and of course the future generation

Posted by hollandking > 2018-11-08 20:26 | Report Abuse

as for the developers, can't be help. They created the mess themselves.

Posted by joetay7 > 2018-11-08 20:30 | Report Abuse

u tell it to the forrest city development.

a condo for myr5m in the middle of nowhere.

i m waiting to see how the new old state govn going to save the iskandar region.

Posted by hollandking > Nov 8, 2018 08:26 PM | Report Abuse

as for the developers, can't be help. They created the mess themselves.

Posted by smalltimer > 2018-11-08 23:02 | Report Abuse

Who u know, still helps in getting approval, especially after helping with 1mdb stolen documents, justo

Posted by speakup > 2018-11-09 09:08 | Report Abuse

https://sg.news.yahoo.com/najib-apos-congratulates-apos-govt-155428432.html
WHO CARES? Petronas money is rakyat money, so we can rob as much from Petronas as see fit!

Posted by speakup > 2018-11-09 09:12 | Report Abuse

hope this FundMyHome creates a Malaysia subprime crisis. Cant wait to buy a bungalow at Damansara Heights for rm500k.

Posted by Mynihar Nihar > 2018-11-09 11:06 | Report Abuse

How much Fees that edgeprop will get for each transaction? can other company will come with this concept also... why used your co ?why not direct to the bank ? why need a middle man?

Posted by stockraider > 2018-11-09 13:41 | Report Abuse

WTF the buyer own 20% of the property equity whereas the financer own 80% equity loh....!!

If lose monies....the 1st losses cover by the buyer 1st 20% downpayment.
Above 20% losses the financer cover loh...!!

What if the property gain ???
The financer need to take 1st 20% gain based on 5% pa guaranteed....balance gain share 80% financer and 20% buyer loh...!!

The buyer is a sucker here loh...pay for legal fees, valuation fees etc...also guarantee financer 20% or 5% pa for their gain at the end only have 20% of the equity of the house loh...!!
On the downside need to guarantee the financer, pay expenses and lose and lose the 1st homeownership tax exemption rights when he decide to dispose his 20% equity loh.....!!

I thought the scheme is suppose to help n protect the poor buyer loh ??
But end up taking advantage of the poor buyer loh....!!

The PH govt very stupid loh.....!!

Posted by speakup > 2018-11-09 13:46 | Report Abuse

Cronyism is alive in malaysia baru: https://www.malaysiakini.com/news/451068

Posted by speakup > 2018-11-09 13:50 | Report Abuse

https://www.nst.com.my/business/2018/11/429345/country-heights-edges-closer-issuing-1b-horse-currency
SC rejected Dr Vida cryptocurrency but OK Tan Sri Lee's cryptocurrency. SC practice double standard. Crony boleh, non-crony tak-boleh

Posted by stockraider > 2018-11-09 13:53 |

Post removed.Why?

Posted by stockraider > 2018-11-09 14:00 | Report Abuse

Posted by stockraider > Nov 9, 2018 01:59 PM | Report Abuse X

very stupid for the house buyer loh....but u only own 20% of the house loh....but u guarantee 100% of the downside mah...!!

Don be a sucker loh....!!

Ask yourself what is ur objective to own a house that u ill afford leh ??

Posted by qqq3 > Nov 9, 2018 01:55 PM | Report Abuse

stock raider....the terms are fair to all stake holders....everybody gets what is most important from their point of view........oh..and in a bad property market, the traditional mortgage guy loses more than his deposits.....the guy owes the bankers a lot of money besides......this is because in traditional mortgages, the bankers do not share in any losses.......

Posted by paperplane > 2018-11-09 16:23 | Report Abuse

Those company just want to offload their inventory, so obvious....

Posted by paperplane > 2018-11-09 16:24 | Report Abuse

And 打落水狗也不见得很厉害，虽然他勇敢揭发丑闻，我觉得不错。overall, neutral. I think he still a good guy....

Posted by speakup > 2018-11-09 17:35 | Report Abuse

https://klse.i3investor.com/blogs/savemalaysia/181772.jsp

Posted by stockraider > 2018-11-09 17:53 | Report Abuse

Think logically....what cronysism fundmyhome ??

The PH govt endorse it without forcing anyone to join and without coming up even a single sen mah...!!

Although raider see it is a stupid scheme....but it is not cronynism, why leh ???

Ans; If tomorrow another another alexlac can come with a smarter & better product...nothing can stop PH govt endorsing it loh...!!

Raider say if govt do not force people to buy and do not come up with money to support the product.....what cronynism raider ask loh ??

Posted by probability > 2018-11-10 18:05 | Report Abuse

In the future..probably very near future..population growth will be negative like in Japan.

Houses will be dirt cheap...its worthless.

Robots will built one for you free...

Posted by qqq3 > 2018-11-10 18:07 | Report Abuse

https://klse.i3investor.com/blogs/qqq3/181848.jsp

Posted by qqq3 > 2018-11-10 19:52 | Report Abuse

probability...who objects? the objectors think it is very cool...make themselves look intelligent to object.....I like about Tong says.....

All innovations go through stages of perception — from “ridicule” to “debate” and finally, to “it was obvious