04
OCT
2017 WEDNESDAY
PROPERTY WISHLIST FOR
BUDGET 2018 > P08 & 09
INSIDE THIS ISSUE www.starproperty.my
SELLING YOUR HOUSE? AVOID THESE PITFALLS
DON'T MAKE THESE MISTAKES IF YOU WANT TO CLOSE THE DEAL QUICKLY > P06 StarProperty.my
StarProperty
SPRUCE UP YOUR ABODE FOR RENT
SIMPLE WAYS TO ATTRACT POTENTIAL TENANTS TO YOUR PROPERTY > P10
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developments
STARPROPERTY.MY WEDNESDAY 04 OCTOBER 2017
02 township By VIKNESH ASHLEY
vikneshashley@thestar.com.my
BRINGING ENGLAND’S LAKE DISTRICT TO YOU Setia Eco Glades' Jewels of Grasmere offers a touch of heritage
T
HINK rustic English dwellings amid lakes, forests and mountains and England's Lake District comes to mind. This picture-perfect view is recreated inside the Setia Eco Glades collection. S P Setia Group Bhd’s latest parcel of homes is set within manmade islands called the “Jewels of Grasmere” – named after a village and tourist destination in the Lake District. This masterpiece of architecture is painted by colourful flora and wild fauna, with chirping birds and streaky butterflies populating the lakeside. Each homebuyer is offered a terraced home that has an essence of heritage displayed in its stone walls. Covering 12.48 acres, “Jewels of Grasmere” offers 117 freehold linked villas of between 2,118 sq ft and 2,470 sq ft. This parcel is split into two designs dubbed Greendale (24' x 80') and Langdale (22' x 80'). Each Greendale home comes with three spacious rooms, five bathrooms and a 2ft wide frontage. Unique to the homes within this parcel is the 11ft high ceilings in the living area as well as having the option of an extra guest room on the ground floor. Residents of the “Jewels of Grasmere” are afforded views of vast gardens or lake that includes a nostalgic water wheel. Accessible to residents by way of a pedestrian bridge is The Bund where
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1 Residents are greeted by views of vast gardens or a waterway that includes a nostalgic water wheel.
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they will find a stretch of sandy beach. And within 100m is the Hammock Clubhouse as well as the township's neighbourhood commercial hub. The clubhouse is a 20,000-sq-ft structure built on 0.93-acre plinth of 2 The stretch of sandy land and offers an array of condo-like beach at The Bund facilities including a lap pool, jacuzzi, is accessible via a pedestrian bridge. playground, BBQ pits, an outdoor pool deck, a multipurpose hall, lobby, coffee 3 The charming lounge and gym. Nusantara-style The clubhouse also has a dance or Hammock Clubhouse. yoga room, meeting room, changing 4 The Jewels of Grasmere in the Setia Eco Glades collection offers beautiful homes that centre on natural elements.
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rooms, a management office, kid’s room, and a prayer room. Those who choose to call Setia Eco Glades home can be assured of uninterrupted slumber at night because residences are guarded by the Agilfence Security System, which is implemented at Singapore's Changi Airport. Getting to Setia Eco Glades is a breeze; the township holds an interchange with a direct connection to the Putrajaya Link and onto the Maju Expressway & Elite highway.
“We are targeting upgraders and young families to grow their family in a green and safe gated-and-guarded community. – Setia Eco Glades general manager Goh Tzen Sernz
WEDNESDAY 4 OCTOBER 2017
STARPROPERTY.MY
3
events
STARPROPERTY.MY WEDNESDAY 04 OCTOBER 2017
04highlights STARPROPERTY.MY EVENT HIGHLIGHTS
05 THURSDAY IOI MALL, PUCHONG
5 - 8 Oct 2017 10am - 10pm
StarProperty.my Fair at IOI Mall Puchong Visit the property exhibition to explore some of the most prestigious housing offerings in the market. Prizes await the early fair registrants. Log on to fair.starproperty.my for more details.
StarProperty.my StarProperty In this month's Property Shot, two worldclass developments are featured, namely Rimba Villa by S P Setia and Riana South by IJM Land. Visit bit.ly/RimbaVillaRianaSouth for a closer look.
StarPropertyTV
EDITORIAL
editor@starproperty.my
Assistant General Manager ERNEST TOWLE ernest@thestar.com.my
Content Coordinator LEE YAN LI
scan to watch
lylee@thestar.com.my
Video Producer JONATHAN ROBERTS Video Editor PAMELA FONG PEI LE Designers KWONG CHEE OON QUEENY YONG
MARKETING & SALES Head of Customer Engagement & Support IVY LEONG 03 7967 1347 ivyleong@thestar.com.my
Property Business Head of Sales JAMES OOI jamesooi@thestar.com.my
12 - 15 Oct 2017 10am - 10pm
The StarProperty.my Fair featuring the Win A Home (WAH) contest has finally reached the east coast! Homebuyers at the fair will stand a chance to win a serviced suite worth over half a million ringgit. For details on the contest, see wah.starproperty.my .
WIN A HOME
LATEST HAPPENINGS
Getting to know you
StarProperty.my recently gathered top property developers from across the nation for a mingling session, as well as to highlight the progress of StarProperty.my in line with its digital transformation. Among the VIPs at the event were (main photo, from left) TAHPS Group Bhd chief executive officer Eugene Khoo, United Malayan Land Bhd director Datuk Charlie Chia Lui Meng, Trinity Group Sdn Bhd managing director Neoh Soo Keat, Malaysian Resources Corporation Bhd group managing director Tan Sri Mohamad Salim Fateh Din, Star Media Group Bhd chief executive officer and managing director Datuk Seri Wong Chun Wai and IJM Land Bhd managing director Edward Chong Sin Kiat.
Acting Head, Sales (Agent Business) KENT THEW
Eco World upbeat about its five new projects
03 7967 1388 (ext 1861) kentthew@thestar.com.my
Gamuda Gardens launches second phase link homes Download E-mag at: STARPROPERTY.MY(English) PROPERTY TRENDS (Chinese)
EAST COAST MALL, KUANTAN
StarProperty.my Fair at East Coast Mall
www.starproperty.my
Content Writers LEE YAN LI VIKNESH ASHLEY MUHAMMAD HAKIM HASSAN NG PAU LING SITI AISYAH NABILAH SUWARDI THARMINI KENAS SITI NURHIDAYAH SARUDIN VIKTOR CHONG
12 THURSDAY
Gamuda Gardens launched 134 units of double-storey link homes in its second phase on last Saturday at the Gamuda Gardens Sales Gallery. Phase two is located next to the village square by the waterfront. The homes feature built-up areas ranging from 2,114 to 2,800 sq ft and are expected to be completed by 2019. The units will have four bedrooms and three bathrooms, and four bedrooms with en-suite bathrooms at the starting selling price of RM750,000.
Eco World Group Development Bhd is upbeat about its new launches as the company introduced five developments located across the country to the public under the EcoWorld Design-Nature-Art (DNA) campaign. Three of the projects showcased are maiden launches – Eco Horizon in Penang; Eco Business Park V in Northern Klang Valley and Eco Forest in Southern Klang Valley – while the other two are new phases within the group’s existing townships, namely Dremien@Eco Ardence in Shah Alam and Whitten@Eco Majestic City in Semenyih.
Rehda to hold Mapex 2017 in October
Real Estate and Housing Developers’ Association (Rehda) will be holding the Malaysia Property Expo (Mapex) 2017 from Oct 13 to 15, 10am to 9pm. The expo, organised at the Mid Valley Exhibition Centre at Mid Valley Megamall, will feature over 33 developers. Admission is free.
events
STARPROPERTY.MY WEDNESDAY 04 OCTOBER 2017
latest happenings 05
Ascott Star KLCC takes off at the heart of Kuala Lumpur
IJM Land celebrates Mid-Autumn Festival
Bandar Rimbayu by IJM Land will host home owners and the public at an Asian-themed gathering on Saturday Oct 7. The event will be held at the show gallery The ARC from 6pm to 9pm. The theme is discovering how our Asian neighbours from Japan, Korea, China and Vietnam celebrate the Mid-Autumn Festival. The celebration is open to property owners of Bandar Rimbayu and the public. Visitors will be able to discover how the festival is celebrated in each country at its designated stall, along with interesting information and fun games to play at each spot.
Ascott Star KLCC Kuala Lumpur, the city’s newest landmark for luxury living, was introduced recently at the signing and launching ceremony between developer Alpine Return Sdn Bhd and leading international serviced residence operator The Ascott Ltd. The 58-storey Ascott Star KLCC Kuala Lumpur, formerly known as Star Residences Tower 3, is part of Alpine’s star development project of mixed residential and retail units along Jalan Yap Kwan Seng in the city's Central Business District. Ascott Star KLCC Kuala Lumpur comprises 471 fully-fitted units from one-bedroom studios of 700 sq ft to four-bedroom 2,972 sq ft apartments, of which 353 units or 387 keys will be managed by Ascott.
Pavilion project to offer 10 office blocks
Property developer Pavilion Group and the Canada Pension Plan Investment Board unveiled one of Kuala Lumpur’s mixed integrated developments, Pavilion Damansara Heights. The 16-acre project will have a total of 10 office blocks, of which eight are en bloc sales and two on strata basis. Seven of the en bloc sales have already been acquired. Pavilion Damansara Heights will have about 1.5 million sq ft of office space, a third of which will be in the last and highest block. All eight blocks will be acquired by corporate companies or corporate figures. The smallest is an 11-storey block with a net lettable area of 75,000 sq ft. The development is part of the larger Pusat Bandar Damansara, which has a 46-acre footprint the Pavilion Group shares with a couple of other developers.
Magna City reveals luxury apartment
Two show units at Mah Sing's M Centura sales gallery in Sentul
Magna City Shah Alam Sdn Bhd, a wholly owned subsidiary of Magna Prima Bhd, recently launched their latest project at the golfing territory of Sultan Abdul Aziz Golf Club. The development sits on 5.25 acres with a gross development value of RM271mil comprising 315 residential units. The View Residence offers three-bedroom units ranging from 980 to 1,281 sq ft with a starting price of RM 730,800. Each unit comes with a garden and a private outdoor area.
Mah Sing Group Bhd kicked off its M Centura Sales Gallery in Sentul last week. The sales gallery has two fully furnished show units featuring a 650sq-ft residential home with two bedrooms and an 854sq-ft residential unit with three bedrooms. M Centura is a 100% freehold residential development with net pricing from RM328,000 or approximately RM505 per sq ft with built-up areas starting from 650 sq ft and up to 1,000 sq ft.
High take-up rate for Phase 2 of Andira Park
Binastra presents second phase of Citizen@Old Klang Road
LBS Skylake Residence matches demand for affordable homes
LBS recently launched the LBS SkyLake Residence, its latest affordable lakeside residential development located in Puchong. Built on a five-acre piece of land, LBS SkyLake Residence comprises two blocks of serviced apartments that house 746 units. Available in several built-up options, the units range from 545 sq ft to 1,063 sq ft and cater to different target markets, be it for single professionals, young families or savvy investors. The units are priced from RM250,000 each. LBS SkyLake Residence – with its stylish designs, wellplanned landscapes and value-added features – raises the bar for homes in the affordable segment.
Binastra Land Sdn Bhd launched Citizen 2 last Saturday following the success of the first phase of Citizen@Old Klang Road. The development is built on 3.32 acres of freehold land and located next to its first phase. It features three residential towers with a total of 837 units of serviced apartments. Citizen 2 offers builtups ranging between 725 sq ft consisting of two bedrooms and 883 sq ft that comes with three bedrooms. Each unit is fitted with two bathrooms.
TAHPS Group Bhd recently launched Phase 2 of the Andira Park landed homes at Bukit Puchong, achieving over 60% take-up rate within three hours. Located at the developer’s township of Bukit Puchong, Andira Park sits on an 8.33-acre freehold site with a gross development value of about RM100mil. The gated and guarded development is a low-density landed residential project. Phase 2 consists of 59 units of two and three-storey link villas and five three-storey terraced homes.
Tropicana Metropark Fitness Fest
The Tropicana Metropark Fitness Fest, to be held at one of Subang Jaya's largest parks, promises to be an active weekend not to be missed. The urban park experience is for all ages, with workout sessions from yoga and Zumba to Body Combat. Registration for a day's all-access pass is RM29. Participants will go home with goodie bags worth up to RM300. Visit bit.ly/ TMFit17 for more information.
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STARPROPERTY.MY WEDNESDAY 04 OCTOBER 2017
06home
Possible problems in getting a mortgage And how to tackle them
By SITI NURHIDAYAH SARUDIN
E
hidayah@mystar.com.my
VERYONE dreams of owning a home or a piece of land. However, this dream often fades with the reality of rising property prices and the uncertain economic situation, which is made worse by the high loan rejection rate. Here are some factors that could hinder your loan approval:
SELLING YOUR HOUSE?
AVOID THESE PITFALLS Don't make these mistakes if you want to close the deal quickly
S
ELLING your house takes more than putting up an ad or finding a property agent. If you want the quickest and best way to close a deal, don't make the following mistakes.
Mistake 1 Neglecting to clean the house for viewing First impression matters, especially when presenting your house to potential buyers. While it is reasonable to assume that most buyers will eventually do some renovation and cleaning up, you are not doing yourself any favours by “letting yourself go” – in this particular instance, "letting your house go”. Remember, all the houses put up for sale in the market are competing with one another. Some of these houses have been renovated and cleaned up for viewing; those not tidied up will look less attractive in comparison. Buyers may not consider a "dirty" house because it would take too much work to clean it up. For house owners who keep pets, remember to clean the house and the compound. It would be a deal breaker if the potential buyer were to step on some droppings.
Mistake 2 Overdoing it when creating an atmosphere A more diligent property agent may ask you to clean up the house and set up the surroundings to present a more attractive option for potential buyers. But don't overdo it. While scented candles may create a calm and serene atmosphere, buyers with sensitive noses may be turned off by the strong smell – and not all visitors will share your taste of music. Just keep it clean and simple. Draw the curtains and make sure there is ample natural light.
Mistake 3 Putting up an outrageous price tag Many sellers think that marking up the price
will leave more room for bargaining when the buyer asks for a discount. But a price tag that is too high may be a mistake. House hunters may not even bother to approach the seller for inquiries if the price is way out of their budget. Your house would then be on the market for a long time. The longer your house carries the "for sale" sign, the easier for buyers to have doubts about the saleability of the property. In the end, you may have to sell at a much lower price.
Mistake 4: Bad picture quality when posting online In the age of the Internet, most buyers will either look for a house online or at least do quick research at property websites. If the house looks run down or unattractive, they may not even bother to drive to the location to take a second look. Don't take pictures in low resolution, dim lighting or awkward angles. Such photos may put off the buyer. Use a good camera or hire a professional photographer.
Mistake 5 Inconveniences in house hunting House hunting can be a complicated and tiring process, and hence it is in the interest of both parties that visiting the house should be as hassle-free as possible. Most homebuyers, especially those who are seriously interested, would like to see the property as soon as possible. If the owner is always unavailable or keeps postponing the visit, the number of potential buyers will dwindle and the sale of the house will be delayed.
Mistake 6 Presenting the house while still renovating
Working on the presentation of the house is a good thing, but a half-hearted effort could do more harm than good. Seeing an empty room after viewing two or three well-kept rooms is off-putting to any buyer.
Mind your budget and go with simple renovations for each room if you don't have the budget to “do it big”.
Mistake 7 Overlooking the pet factor We love our pets. But sadly not everyone will think they are adorable. You may be used to the fur and smell of your pets, but it is prudent to assume that your visitors are not like you. Some of them may even be allergic to your pets. While having a pet is not necessarily a deal breaker, you should clean up and limit the presence of your pets while the “guests” are checking out the house.
Mistake 8 Showing a house that's too 'homey' You are still living in the house, but that doesn't mean you need to let the visitors know the exact details of your daily life. A clean bathroom, toilet and kitchen are just the basics. You should avoid leaving your clothes all over the house, more so your underwear. A tidy house will go a long way when trying to impress the buyer.
Mistake 9 Too many unnecessary 'guests' No one likes to be distracted when making an important life decision. Buying a house is a huge investment, and most interested buyers would like to take their time in viewing the house and scouting the neighbourhood. If you have tenants or family members in the house, potential buyers may feel uncomfortable about taking their time during the visit and disrupting other people's daily routine.
The article was first published in Chinese in Property Trends. Download at bit.ly/StarProperty_Emag to read more.
1 You are a self-employed worker
Self-employed borrowers often face problems in getting a mortgage because they do not have a payroll statement that shows their ability to repay the loan at the designated time. To overcome this issue, a selfemployed worker should always keep a consistent financial record that adheres to accounting standards. Make a regular contribution to the EPF to convince the bank of your ability to repay the loan.
2 An inexperienced bank officer
The bank officer who manages your application is key to determining your loan application. It is essential for loan applicants to select bank officers who understand the processes and requirements of each case. It is hard for someone to get a loan if the loan officer is not well versed with the loan application process.
3 The borrower's credit history
Credit reports have a variety of relevant information, including the borrower’s credit history and the debts under the borrower's name. The bank will carefully examine the borrower's credit history to ensure that borrowers are able to repay their loans. Therefore, it is necessary for a loan applicant to make sure that they he has a good credit score and a consistent payment history. A bad credit record will result in failure to get a loan application approved.
4 Restrictions on loan amounts
The bank will set a minimum amount of revenue for a qualified borrower to get a loan, as the lender does not want to take the risk of the borrower not being able to repay the loan. A loan applicant must have at least three to six months of work experience to be eligible to borrow. One way to overcome this hurdle is to get a surety. However, you should let the guarantor know your ability to repay the loan as he or she will be liable if you fail to make the payments. The guarantor must have a strong employment background and sound financial record. The qualification of the guarantor will be assessed the same way as a loan applicant. In conclusion, it is critical to have sound financial management to get your loan approved.
WEDNESDAY 4 OCTOBER 2017
STARPROPERTY.MY
7
Cover Story
08budget
2018
By THARMINI KENAS tharmini@thestar.com.my
LOOKING BACK AT
BUDGET 2017 Govt promoted lower-price housing projects, say industry players
B
UDGET 2018 is almost here and expectations are soaring high, more so in the property sector where developers and the rakyat are hoping to get support for housing in the form of tax incentives, subsidies, policies and more. StarProperty.my recently organised a roundtable session titled “Wishlist for Malaysia’s Property Industry in Budget 2018” that involved business magnates of the property sector. The event, moderated by StarProperty Sdn Bhd assistant general manager Ernest Towle, was held on Sept 20 at Menara Star in Petaling Jaya. Guests included LBS Bina Group Bhd managing director Tan Sri Lim Hock San, JKG Land Bhd managing director Datuk Teh Kean Ming, Mah Sing Group Bhd chief executive officer Datuk Ho Hon Sang, IJM Land Bhd managing director Edward Chong and Malaysian Institute of Estate Agents (MIEA) deputy president Kelvin Yip. The event began with a recap of Budget 2017 and its impact on the real estate market, as well as a discussion on current issues faced by the industry and homebuyers.
Budget 2017 and affordable housing
Lim said that Budget 2017 had promoted housing projects with lower prices – such as “Step-up” End Financing Scheme for the PR1MA Programme, Rumah Selangorku and People’s Housing Programme – and which were designed to address the issue of affordability. The mass construction of affordable housing projects has benefitted the building industry. Lim mentioned that LBS Bina is set to develop more affordable housing in the next two to three years. Teh, however, commented that the current approach of affordable housing may only be a short-term solution for the rakyat. “The Government should look at sustainability by creating wealth for the rakyat,” he said. Teh added that the MRT infrastructure implemented by the Government was fantastic, and there should be a sustainable way to create a network of opportunities through the MRT outside of Greater Kuala Lumpur, including the creation of community and affordable housing. Ho mentioned that the Government’s announcement on the exemption of stamp
duty for properties worth RM300,000 and below is a good initiative for the people, although the effectiveness is hard to gauge without an official report or statistics. Ho said the term “affordable housing” is still not clearly defined, and hence there should be one regulatory body handling the matter, including its definition and the demarcation of the scope and boundary as well as the legal aspects. However, he conceded that this proposal may meet with difficulties because land is under the jurisdiction of the state government. Chong said that as far as the property sector is concerned, there is no significant push in Budget 2017. He added that the market has been subdued for some time for properties priced at over a million. When the stamp duty increase comes into effect in 2018, the property market is expected to be even more subdued. Chong said the Government had been trying to subdue the demand for housing to control property prices. However, the price of property has been relatively stable even when demand has lessened. This is partly because the cost of raw materials has been increasing. He said that before taking the next step to deal with this issue, it is necessary to analyse whether market demand or cost has driven property prices up. Yip said the industry expected an increase in activity in the second half of this year but many are still waiting to see what happens. He pointed out that the Government had done a lot to reduce the effective demand for houses. From the tenancy point of view, Yip said estate agents had seen a reduction in demand or request to reduce rentals because expats are facing situations in which their housing allowance had been cut by 15% to 20%.
The IBS way to reduce costs
The Industrialised Building System (IBS) was a topic for the roundtable discussion because more and more projects in Malaysia have adopted the on-site assembly of manufactured building components. Lim believes that despite the cost of IBS being similar to the conventional system at the moment, the precast system will be the best method in the long run especially when labour and construction costs are bound to increase. Teh said that it is crucial to standardise IBS construction in order to reduce wastage
and cost while trying to enhance production efficiency. According to Ho, Malaysia’s construction players need to learn from other countries where systems such Prefabricated Volumetric Construction (PPVC) and the Internet of Things (IoT) have been adopted to expedite construction and reduce the wastage of time and resources. The use of technology will shorten construction time, and contractors will spend less during the preliminaries, developers will turn sales into revenue in a shorter period, and buyers end up paying lower interest. Chong said the key thing in adopting IBS is multi-stakeholder engagement and participation. The involvement of the entire industry from consultants to buyers will result in the increased possibility for advancements in the property sector. Most buyers may think that the precast method is used only in low-end property, but some high-end developments have been constructed using IBS without any issues.
Budget 2018 roundtable panellists: (from left) Mah Sing Group Bhd chief executive officer Datuk Ho Hon Sang, JKG Land Bhd managing director Datuk Teh Kean Ming, StarProperty Sdn Bhd assistant general manager Ernest Towle, LBS Bina Group Bhd managing director Tan Sri Lim Hock San, IJM Land Bhd managing director Edward Chong and Malaysian Institute of Estate Agents (MIEA) deputy president Kelvin Yip.
Applying for housing loans
While developers such as Mah Sing and LBS Bina have echoed the Government's call in pursuing the affordable home agenda, the panellists said many buyers are not able to apply for loans. However, the developers said that loan rejection in the first quarter of 2017 for firsttime homebuyers had dropped to 41.7% – which was a positive sign for the industry. While it is tempting to blame property developers for the high prices, Lim pointed out that other costs contribute to the higher property prices such as land cost, materials cost and labour cost.
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STARPROPERTY.MY WEDNESDAY 04 OCTOBER 2017
Hoping for budget support By ERNEST TOWLE
FOR those who use the calendar to mark significant events or reminders, October tells you that only a quarter of the year is left. This means you only have three months to achieve all the goals set nine months earlier. October is also the month in which the Malaysian Budget for the following year is prepared and presented in Parliament. During this time, businesses wait with bated breath for details of new policies or tax structures in order to plan their operations for the coming year. Talk in the industry is that the property market for the past nine months has been soft and it is now a buyers’ market. Despite this perception, properties in the affordable category still enjoy robust demand; buyers throng sales galleries at launches of units below RM500,000. Many voices have also lamented
HAKIM HASSAN hakim@thestar.com.my
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09
Overcoming the housing problem
JKG Land Bhd managing director Datuk Teh Kean Ming said that although the affordable housing effort by the Government is beneficial to the rakyat, he suggests that the authorities should create a sustainable model for affordable homes. He cited Housing and Development Board (HDB) model as an example to mitigate the issue. By allowing the rakyat to rent, with the possibility of purchasing the home in the future, the problem could be alleviated and the livelihood of the rakyat could be improved as well.
Reintroduce DIBS to help buyers
One of the problems facing first-time home buyers is the inability to acquire funding to purchase property. The roundtable participants called for the Developer Interest Bearing Scheme (DIBS) to be reintroduced to help buyers. Under the DIBS, a property developer absorbs the home loan interest of the buyers during the construction period. The speakers also recommended the DIBS for first-
about how difficult it is to obtain a housing loan. According to the latest report by Bank Negara on mortgage application and approval rates (as reported in The Star on July 15, 2017), the housing loan approval rate remains high. A total of 72% of all loans approved are for firsttime homebuyers to purchase properties priced at RM500,000 and below. Perhaps the main reason for the loud voices on the difficulty in securing a mortgage lies with borrower ability for higher priced properties. StarProperty.my recently held a roundtable session to glean insights from key developers on their wishes for the upcoming budget. These ideas represent the unrelenting persistence of these developers to continue building what the market is asking for now and, indeed, in the near future.
time buyers especially for the properties below RM600,000. MIEA deputy president Kelvin Yip said: “There are many first-time buyers in the primary market. DIBS increases the affordability for buyers. "The profiling on potential income of buyers will also help because their earnings should increase alongside their career growth. "The bank can impose a higher instalment based on income growth,” said Yip.
exemption for IBS property buyers.
Elevating stamp duty exemption
GST incentive for affordable housing
The developers also suggest that the exemption of stamp duty for houses priced below RM300,000 – which was introduced in last year’s budget – should be extended to houses priced up to RM700,000. The speakers say this is because the midrange or affordable properties are usually priced between RM500,000 and RM700,000, which is above the threshold set by the Government.
Deferring the 4% stamp duty
Yip also suggested postponing the increase of stamp duty in January 2018 from 3% to 4% for houses priced at RM1mil and above to ease the pressure on the housing market. The increase in stamp duty could be a deterring element that hinders potential buyers searching for homes within that price range.
Championing the IBS cause
The property players expressed the positive impact of IBS to developers, to home buyers and the property industry. Ho suggested that the Government could provide a wider range of incentives for IBS, including fast-track approvals, higher plot-ratio for IBS projects, tax incentives in the form of GST exemption for developers, and stamp duty
Lowering compliance charges
The industry players recommended a reduction of compliance charges and the developer’s contribution for utilities as well as a review of the basics of cross-subsidy elements because the costs incurred could affect housing prices.
To encourage developers to build more affordable houses, the corporate chiefs have asked the Government to provide GST returns for the affordable housing project. Lim said that the Government should review the GST scheme for developers so that developers can claim back GST for affordable housing.
Review 24-month defect period
Lim also suggested money held back by the 24-month defect period be used by developers. He reasoned that the developers could reinvest the money and reduce the overall cost which could potentially reduce house prices.
Attract more foreign investments
Foreign investment is vital in stimulating the national economy. Encouraging the influx of expats and high net-worth individuals will increase the demand for local housing and help the property industry. The property leaders suggested lowering restrictions on foreign ownership of properties from RM1mil to RM500,000, with the provision of a tighter standard on financing options. The developers think that fewer restrictions will encourage more expats to own a home and increase the demand for properties.
feature
STARPROPERTY.MY WEDNESDAY 04 OCTOBER 2017
10 tenancy By VIKTOR CHONG viktor@mystar.com.my
I
NVESTING in property with the intention of earning rental income is an appealing prospect, except for the fact that landlords have to sit and wait for tenants during a dry period. Here are eight simple ways to improve the odds of renting out your property.
1
Clean up the front and back
A house with a messy yard full of weeds sprouting out in every direction looks like a veritable haunted house. The front of the house should be kept clean and tidy for presentation purposes. Tenants do not like the idea of cleaning the yard themselves. As a landlord, you can DIY and trim the grass or hire someone to do the work.
2
Maximise online traffic
Agents are not the only ones to reach out to prospective tenants. Register yourself with various online websites that function as intermediaries between landlords and tenants. One such website is www.ibilik.com,
SPRUCE UP YOUR ABODE FOR RENT Simple ways to attract potential tenants to your property which will boost the viewing traffic to your property.
3
Hand your agent a set of keys
Most tenants prefer to view a property before making a commitment to rent. To enable your agent to conduct short-notice viewing, it is in your best interest to provide the agent with a set of keys. Without the keys to your property, the agent may have to turn away an interested tenant. Turning away any prospective tenant is a wasted opportunity. Prospective tenants should be allowed to view the property at any time unless it is
currently occupied. Before handing over your keys to an agent, make sure you clear out precious belongings for your own sake as well as for the sake of the agent.
4
Understand the economic climate
Charging a reasonable rental amount is key to getting your tenant. If the rent is significantly lower when compared with other properties, prospective tenants will look for you. Adjust your rental amount accordingly by finding out the average in the surrounding area. While rent is usually based on the size, location and condition of a property, it also involves the subjective decision of the property owner. Just because some properties can command a high rent does not mean you should follow suit. As a landlord, you should consider charging a lower rent instead of bearing the opportunity cost of waiting for a tenant who is willing to pay high rent. If the landlord holds many properties that are tied to loan financing from banks and monthly instalments, it might be prudent to be less demanding in terms of rental.
5
Use some feng shui
Ensure good lighting in your property when prospective tenants come a-calling. The ambience should be calm and relaxing. An inviting atmosphere will encourage tenants to move in. Most superstitious tenants will judge a property based on the atmosphere alone.
6
Give notice of viewing
Most property owners adopt a boss-andemployee relationship with their current tenants. However, a little courtesy will go a long way toward smoothening out the transition process. If you’re advertising a property while the current tenant is still living there, make sure you give at least a 24-hour notice of a viewing.
Encourage them to be flexible with viewings, as well as keeping the place clean and tidy.
7
Mind your manners
The customer always wins. This adage is the universal language employed by all successful businesses. All the other rental properties out there are your competitors and the tenants are the customers. With a little humility and consideration, you can win a person over.
Distinguish yourself from the other landlords by calling back prospective tenants to ask if they are still interested in renting. However, don't overdo it as this will signify desperation.
8
Woo the
pet people
Most rented properties do not allow pets. It is understandable that people may be concerned about health issues and property damage. However, many people have pets which they consider as part of the family. They go to great lengths to look for a suitable home. Putting up the “Pets allowed� sign next to your house details will bring pet owners to your side quickly. Most pet owners with expensive dogs and cats also have higher purchasing power and hence are more reliable as tenants.
WEDNESDAY 4 OCTOBER 2017
STARPROPERTY.MY
11
developments
STARPROPERTY.MY WEDNESDAY 04 OCTOBER 2017
12 advertorial
NORTHERN SANCTUARY
Runnymede offers three distinctive housing types for Penangites to savour
The Sanctuary@ Batu Uban
Located at the exclusive and affluent hillside neighbourhood of Batu Uban, The Sanctuary is the Runnymede Group’s flagship development on Penang Island. The gated and guarded 27.8-acre development is home to the Sanctuary bungalows which were completed in 2010, The Vilaris Courtyard Homes completed in 2016 and the Triuni Residences (construction in progress).
Vilaris Homes@ The Sanctuary
Embracing Penang’s rich heritage, the Vilaris Courtyard Homes – with their internal courtyards, wide windows and large exterior sliding doors – showcase an elegant modern rendition of the Peranakan design over 5.3 acres. With just 56 three-storey courtyard homes within an exclusive gated and guarded site, the Vilaris is the last phase of landed development at The Sanctuary. Each unit has a generous footprint of 24ft by 80ft and a built-up ranging from 3,940 sq ft to 5,264 sq ft. Premium units are fitted with Mitsubishi home lifts imported from Japan. The ground floor has a separate entrance while the private garden is a self-contained suite comprising an ensuite bedroom and an adjoining living area. This can be converted into a home
1 1 Triuni Residences, a low-density gated and guarded development equipped with three-tier security access. 2 Vermillion gateways dot the linear garden landscape in between the Vilaris units. 3 The use of space and light enables visitors to feel the vitality of the Sales Gallery in Batu Uban. 4 A view of The Sanctuary development, an exclusive gated and guarded residential enclave located on elevated land between both Penang bridges.
As an urban resort, the Triuni Residences will offer an array of amenities including a dramatic 2.95-acre landscaped podium.
4
2
3
office or living quarters for newly-weds or for elderly family members – thus promoting 3-generation living. The living, dining, kitchen and outdoor terraces are all housed on the second floor while the bedrooms are privately confined to the third floor. Visit www.vilaris.com.my for more informative.
Triuni Residences @The Sanctuary The Triuni Residences is an urban resort condominium development within the exclusive neighbourhood of The Sanctuary. Collectively, the
development will feature a trinity of towers set on a 5.36-acre freehold site. As an urban resort, the Triuni Residences will offer an array of amenities including a dramatic 2.95acre landscaped podium. This verdant podium will feature a tapestry of communal facilities. A 40-metre cascading infinity lap pool and indoor gyms will be for residents leading an active lifestyle. For those seeking to relax and recuperate, an ancillary leisure pool, jacuzzi, cabanas and observatory deck will be available. The young ones get to enjoy an outdoor jungle gym, tree-cubbies and wading pools with water spouts. A three-tier security system featuring round-the-clock security measures, a guest-management system, 24-hour CCTV surveillance, card access to lift lobby as well as guard tour system assure residents and guests of safety within the premises. Triuni offers seven layouts – with built-up areas ranging from 1,130 sq ft to 1,302 sq ft – that are designed to suit young professionals, growing families and empty-nesters. Those with extended families or searching for investment opportunities may prefer built-ups ranging from 1,636 sq ft to 1,916 sq ft. These can be converted to dual-key units. Limited duplex penthouses with roof terrace are also available in builtups ranging from 2,594 sq ft to 3,897 sq ft at the uppermost floor. With only eight units per floor and every unit designed with a void in between, privacy will be optimised. All units will have at least 3+1 bedrooms and 2 bathrooms. Designer kitchen cabinets with branded hob and hood, and two carparks are included as part of an introductory offer. Some units will also have storage lockers at parking areas. Construction is under way. Go to www.triuni.com.my for more details or experience the hospitality of the stateof-the-art gallery on Penang Island.
WEDNESDAY 4 OCTOBER 2017
STARPROPERTY.MY
13
events
STARPROPERTY.MY WEDNESDAY 04 OCTOBER 2017
14 forum By MUHAMMAD HAKIM HASSAN hakim@thestar.com.my
Elmina Sales Gallery, Shah Alam 16 Sept 2017 1.00pm - 5.30pm
EPF AND SAVINGS ALONE MAY NOT BE ENOUGH Property investment should be seen as a viable way to earn extra income
W
HILE 68% of middleincome earners depend on the Employees Provident Fund (EPF) as their only source of income after retirement, there are those who look at alternative ways to wealth building besides fixed deposits, personal savings and insurance. According to property investor Ken Teo, property investment should be seen as a viable way to earn extra income. Quoting Department of Statistics figures, he said that workers who earn RM3,800 to RM8,300 may have to work even after retirement due to low amount of savings. Teo said that it is important for young people to invest in something viable such as property rather than indulging
themselves. The number of young people who fell into credit card debt or went bankrupt has been increasing. Property investment may be overwhelming for some people but Teo reckons it is achievable with the right effort. “You need background knowledge of the properties you are looking at. Timing plays a part but you must also analyse reviews before taking the plunge to buy a property,” he said in a talk titled “Real Estate Investment Strategy For Middle Class” at the recently held StarProperty. my Forum 2017. During the event, three persons well-versed in the property business were invited to give their insights to help property owners and first-time buyers to grow their portfolio. Besides Teo, the others were AJC
Ken Teo
Jeevan Sahadevan
Mahani Mohd Yasin
Planning Consultants Sdn Bhd director Mahani Mohd Yasin and Leveragelab Sdn Bhd founder Jeevan Sahadevan. Mahani spoke on “Sustainable planning increases township values". She mentioned that for a township to be much sought after, it has to adhere to certain criteria that attract potential buyers such as the facilities provided. Mahani also said that although older properties situated closer to city centres would be popular with investors and homebuyers due to accessibility, properties that are on the outskirts of the Klang Valley would be a great investment because of the potential for value appreciation. “For example, City of Elmina will be connected via the DamansaraShah Alam Expressway (Dash), which
can raise the value of the property on completion,” she said. Jeevan spoke about protecting the investor’s value in his topic “How does property act as a buffer in your investment portfolio”. The investment coach underlined the key factors that prospective investors could look into to grow their investment portfolio, including changing their behaviour such as being more diligent in order to improve their business acumen. He said that understanding the context of the market is key to avoid blindly embarking on property investment. The forum, sponsored by Sime Darby Property, was held at one of the developer’s latest townships, City of Elmina.
feature
STARPROPERTY.MY WEDNESDAY 04 OCTOBER 2017
home 15
6 tips
on decorating your home with a small budget By NG PAU LING pauline@thestar.com.my
L
ONGING for a perfectly decorated home but you're on a tight budget? Here are six tips to help you deck the halls without breaking the bank.
1. Plan before you start
First, research and plan. Decide on the style you desire. Limiting the fashion focus could help you budget better – be it classical or contemporary, minimalist or extraordinary. You could take cues from decoration books or blogs. Remember to take your children, family, pet and lifestyle into consideration. Real-life homes are not as perfect as what is shown on those perfectly-crafted brochures.
2. Break it down and survey
Write down your plan in detail, from room to space and ceiling to floor, to determine the top priorities for your home. Then compare your actual financial statements to the projections. Should you splurge on the kitchen or invest in a premium leather sofa for the living room? Next, create a checklist for your decoration plan and start surveying the prices of items to have a clear price point in mind.
DO THESE
5 THINGS
AFTER BUYING A HOUSE Check that everything is in its plce before moving in
Y
OU have just become the proud owner of a house, and it's the first time your name is on the title of a property. Like any other new home owner, you want to shop for furniture and start with the renovation. But owning a home is a heavy responsibility. Before moving into your new home, make sure that everything is in its place. Here is a list of things you should do:
Handle that leakage problem
Read the house inspection report and tackle any leakage problem immediately. If you ignore the early signs, the situation could worsen and become complicated. A leaking toilet bowl may seem trivial, but the water will eventually damage the internal structure. Make sure you check your roof because it is difficult to detect any leakage from the surface. If your ceiling is leaking, chances are the problem has been there for some time.
Close up the small holes
Before you move in and fill your home with furniture and decorations, it is prudent to check and mend all the little holes. Studies have shown that every house has some holes that could gradually lead to water leakage.
Plan your escape route
Malaysia prides itself as a country with few natural disasters. Unfortunately, this also means most Malaysians do not have a sense of urgency and often neglect proper planning when it comes to taking safety precautions. Before bringing in the new furniture, walk around every room and figure out how to escape in case of an emergency such as a fire. Beware of having too many pieces of furniture or putting belongings into a room that could block your escape route. You could make some adjustments early such as taking off the steel bars or opening up some windows. Home is your shelter, don't turn it into a death-trap.
Clean the drainage system
Do not skip this step just because it is a dull task. You do not want a clogged drain when the rainy season comes. Besides, the organic material stuck in the drain will give out an awful stench.
Change your mailing address
You could do it after moving, though most people put it off even long after they have moved in. Considering it takes time for mail to be delivered to your home, it pays to update your residential address as soon as possible to avoid missing important documents. If you do not have a friendly neighbour from your old place, chances are mail sent to the old address will never reach you.
The article was first published in Chinese in Property Trends. Download at bit.ly/StarProperty_Emag to read more.
3. Find great deals at home fairs
Home and living fairs are the best places to hunt for home accessories and decorations. Great deals, exclusive discounts and freebies will be available to fair-goers. Besides, it is also a time-effective solution as you can find all you need for your home under one roof.
4. Quality over quantity
Make sure you get your money’s worth. If you like something, buy ONE, but only the quality one. Given that furniture is an essential part of home décor, allocate a larger portion of your budget towards quality furniture. Choose one that could last for decades. Do not invest heavily in household items that need to be replaced regularly.
5. Used, vintage and pre-loved
There are multiple advantages in buying second-hand home items. Of course, the main reason is that you could have some amazing finds at significantly low prices. Also, buying used items is environment friendly. It is one of the easiest ways you can contribute to sustainability. The most exciting part is that these old stuff offer possibilities for repurposing and could be transformed into a unique piece that is exclusively yours.
6. A clever play on your style
Minimalist is a style that emphasises the essentials and simplicity. It focuses on the things that matter to the daily life and strips away all decorative elements. In other words, it’s an option that puts your home in style while accruing less cost. The cosy, laid-back tropical style is another good choice for Malaysian homes. This style is inspired by tropical rainforest setting, and you can get its décor elements such as wicker and rattan at lower prices. Furthermore, if you are the kind of homeowner who is always fond of new design trends, invest more on soft furnishings and accessories. It is an inexpensive way that can instantly freshen up and change the mood of your home.
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