Seeing how the base lending rate (BLR) have come down to between 5.5% to 5.6% in local and foreign banks, interest rates for loans have been significantly lowered as a result of the lowering of the overnight policy rate. Since interest rates are low, do you think this will be a good time to invest and buy properties?
Many of our reputable developers have been aggressively selling their developments lately, and their partnering banks are also on board to offer good packages in terms of percentage of loan available, tenure, rates and many other beneficial features like paying no interests during construction period, giving cash back on interests incurred, etc.
I can’t say if the prices of homes have come down significantly in times when we are hit by recession. My guess and feel about the property market is that it has not come down by much. It has remained rather stable up until now.
If you flip through the daily newspapers and personal finances magazines, people are still talking about properties like they are the next best investments for now. Developers are taking on a different approach to advertise their properties to make them more interesting investment haven for investors. More and more people are thinking about taking advantage of the better loan rates to invest in properties they feel were too expensive and out of their league before.
Be it buying a home to stay in or buying a property to invest in, are you thinking along the same line? Do you think now or the near future is a good time to invest into properties?
{ 3 comments… read them below or add one }
Yes, today is as good as any other day when it comes to investing in properties. The key thing I think is location, find it and you are set to make money!!
For people who are thinking about investing in Malaysia residential or commercial properties, the main rule is still “location, location and location”. You must have local knowledge and aware of future development plans. Another piece of personal information is a few of my 20-year-old cousins are no longer in Malaysia. Think about sources of future buyers.
Financial Fool, the thing with finding the location also has to do with having the money to buy into them. Money makes money, I guess.
Encikwan, good thinking and thanks for sharing this tip about thinking of the demographics of future buyers. I didn’t think of it from that angle before.