The Status Quo Remains!
We repeat from Year 2017 Greetings with Additional comments:
Another year has passed. Thus we have witnessed a spectacular decade of amazing progress in Iskandar. 2017 begins today for the next decade 2017 – 2027.
By then will house prices in Iskandar overtake that of Affluent Singapore? It remains to be seen. But the gap will definitely narrow year after progressive year from here!
Now for the latest updates for Iskandar’s Growth Momentum
- HSR STATION IN GERBANG NUSAJAYA
All the Lands Around Iskandar Puteri (formerly called Nusajaya) & Medini will continue to appreciate due to its proximity to Growth here! And tens of thousands commute to Singapore for work daily. As of now prices of real estate are still 10% of that in expensive Singapore. (Note: From Japan’s experience. All real estates surrounding Shinkansen HSR Station will rise up by 64% in value when Bullet Train Stations are in place.)
2. MRT FROM THOMPSON, SINGAPORE TO BUKIT CHAGAR
This will be connected by a 25 meter high bridge across the sea. Will the old causeway bridge be finally removed one day? So that small ships, ferries & recreational crafts could sail pass this waterway.
If so then Singapore can plan for Round Island Cruise as an added Tourist Itinerary Attraction. And fishes will thrive here leading to Fishing competition in the far future? All things are possible. Singapore might even get an opportunity to start a Sea World Resort here like that of San Diego with “Killer Whale Shows” to attract tourists from all of Asia!!
3. OPENING OF IKEA IN TEBRAU CITY
By End 2017 Malaysia’s Biggest IKEA at over 1.8 MILLION Sq Ft of Shopping space will be open for business. This will be the BIGGEST IKEA STORE in Malaysia. Expect many Singaporeans bypassing Queenstown & Tampanies Ikea store for a beeline to IKEA TEBRAU CITY Every Weekend from then on.
Now is the best time to buy up single storey, double storey, cluster houses, semi dees and bungalows in Tebrau Austin area all the way to Ulu Tiram. Just like houses in Bandar Utama, KL house prices Shot Up after IKEA Damansara was opened. (Before One Utama & Ikea opened in Damansara area prices of Bandar Utama 2 storey houses were priced at only Rm160,000 a unit. After IKEA Damansara was opened Prices of Bandar Utama 2 storey houses Shot Past Rm1 Million Mark!
And for IKEA Queenstown, Singapore’s opening the 5 room HDB Flats in Singapore’s Queenstown were among the first ones to cross the S$1 million mark (That’ s Rm3.1 Millions for a HDB Flat! One without 24 hour security or swimming pool!!)
(Again please remember to avoid buying any high rise condos in Iskandar as the glut is getting from bad to worst)
4. PASIR GUDANG HIGHWAY (2ND PHASE COMMENCED IN EARNEST)
Unlike First Phase with much delay the progress of 2nd Phase is truly impressive. Soon the PASIR GUDANG HIGHWAY Upgrade from 4 to 6 lanes will be completed – bringing access to Bandar Sri Alam, Taman Megah Ria, Masai, Taman Kota Masai, Taman Nusa Damai, Taman Scientex, Taman Kota Masai, Taman Pasir Putih & Taman Air Biru. All the landed properties here expected to appreciate by another 20% to 30%
5. FOUR MEGA SHOPPING COMPLEX TAKING SHAPE
SOUTH KEY MEGAMALL
CAPITAL CITY 21
IKEA TEBRAU CITY
These will draw in more shoppers from Singapore and other parts of Johor
6. LANDED PROPERTY PRICES HOLDING FIRM WHILE HIGH RISE CONDOS FACE HEADWINDS
Since all are building high rise condos to the neglect of landed houses there is now a glut of condos resulting in weaker sale prices or rental prices for this class of building. As lower end landed properties are in short supply (especially single/double storey houses below Rm500,000) prices are holding firm and still moving upward.
7. FOREST CITY IN FULL BOOM
Thousands of China Nationals were among the first to snap up condos here in an exclusive Free Trade Zone. The reason was due to local banks were not yet ready to provide loans. So these China nationals have bought up block after block of these Highrise condos by the million, few millions and even ten million IN CASH! Truly amazing purchasing power!
For example the hotel service suites were totally SOLD OUT DUE TO OVERWHELMING DEMAND.
This exceptional tropical paradise called FOREST CITY is now the hottest spot in Malaysia – all due to China’s hot monies!!
8. PENGERANG RAPID COMMAND THE HIGHEST PRICES & RENTAL
Due to the ongoing boom in Pengerang’s Oil & Gas venture there are not enough rental properties here. So the cost of rental for a house is 4 times more than other places in Iskandar. So great is the demand that investors have rented raw lands. Built multiple dwellings and tenanted them out for 2 to 3 years duration. Will their gamble pay off? It remains to be seen. But this is for sure. Pengerang’s RAPID will add manifold to Iskandar’s economic boom for years to come.
9. AMAZING DISCREPANCY IN ISKANDAR’S HOUSE PRICES COMPARED TO THOSE OF KL, SELANGOR AND PENANG
Very amazing indeed! In spite of these few years’ of ever increasing price rises for landed houses in Iskandar the prices compared to KL & Penang are still at 30% to 40% of KL/Penang. Why is it so?
It’s like this:
During the GoGo years before the Asia Financial Crisis house prices in Johor, KL & Penang went up in tandem.
But because people in Johor over leveraged on the boom by over investment & over expansion by over powering optimism & greed when Crisis hit house prices of KL & Penang fell down from the coconut tree top to the ground. For Johor things were exacerbated by its intensity of collapse! So Johor fell from coconut tree top to the ground and from the ground it fell all the way to the bottom of the well. It was a double whammy for Johor!
So after KL & Penang prices recovered from the crisis they have climbed back up the coconut tree top from the ground level.
As for Johor/Iskandar prices have recovered from the bottom of the well to ground level only. So there is STILL VAST ROOM FOR PRICES TO RISE FROM GROUND LEVEL TO THE TREE TOP (While KL & Penang are now toppish with little more upside)
A single storey house in Penang Island now is worth Rm1 million while a similar house in KL is worth Rm700,000 (In Bangsar Baru a single storey house is now priced at Rm1 million)
By comparison a single storey house in Iskandar can still be found for only Rm300,000
See this single storey house below just sold for Rm255,000 only.
3-room, 2-bath, 1540 sq ft. 22 feet wide frontage.
Close to amenities. KIP Mart. Today Mart. KFC & McDonald. Public Bank & MayBank.
Located within 3 minutes walk to MASAI BUS INTERCHANGE & TAXI STAND. Buses going to all parts on Malaysia including JB CBD, Plentong Giant & All the way to KL, Ipoh, Penang & the border of Thailand.
Whole house Terrazo & The Hall is Marble.
Great Bargain Value: Price was Rm268,000 (Finally sold for Rm255,000)
So this is the Best of Times to Sell Those Single Storey Houses over Rm1 millions in Penang & Move to Iskandar. You can buy 3 similar houses (3 x Rm300k) plus extra Rm100k surplus cash to buy a spare car. You can opt to stay in one house and rent out 2
For the next decade prices of houses in Johor will rise up to match those of KL & Penang just like Shenzhen in China.
10. FOR ALL SINGAPOREANS WITH JUST ANY HDB FLATS
IF YOU MAKE THIS DRASTIC MOVE YOU CAN ALREADY RETIRE COMFORTABLY FOR THE REST OF YOUR LIFE!
One Sing Dollar is now worth Rm3.10
So an HDB flat if sold is worth S350,000
Now convert to ringgit
S$350,000 x 3.10 = Rm1.08 MILLION!
WHOA! EVERY SINGAPOREAN WHO OWNS A HDB FLAT INTENDING TO RETIRE IN WORLD CLASS MEDINI HAS HIT MILLION RINGGIT JACKPOT IF THEY SELL NOW AND MOVE TO ISKANDAR!!
With the very low cost of rental among Highrise condos now (these are far better than any old HDB flats) and many food items being under price control anyone can retire with a VERY COMFORTABLE LIFESTYLE IN ISKANDAR.
For your information
One elderly Malay Singaporean couple just retired here in Taman Perling. They paid 18 months Cash rental upfront for a corner single storey house for Rm1.1k monthly rental ( About S$350 rental). The house has 2 new aircond & new water heater. Near walking distance to CW6 Bus which will go to Jurong Point, Singapore direct.
THIS IS THEIR HAPPIEST MOVE.
Additional Comments for Year 2018
- IKEA TEBRAU HAS FINALLY OPENED ITS DOORS ON NOVEMBER 16TH 2017 TO VERY OVERWHELMING RESPONSE
This will be good for property prices in Tebrau, Austin, Tmn Johor Jaya, Tmn Desa Jaya, Tmn Puteri Wangsa and up to Bukit Tiram
It was the opening of IKEA Damansa that propelled Damansara Jaya, Damansara Utama, Bandar Utama & Tmn Tun Dr Ismail in its ascending real estate prices. Same goes for IKEA Queenstown in Singapore which propelled Queenstown HDB Flats over the S$1 million mark first in Singapore
2. PARADIGM MALL
Right after IKEA is the opening of Paradigm Mall in Skudai – leading to huge traffic jam along Skudai highway. PARADIGM MALL (ex-Kemayan City) is currently the Largest Shopping Mall in Johor. Property prices in Tmn Tun Aminah, Tmn Perling, Taman Sutera Utama should improve and rise further
3. BANDAR MERIDIN EAST. New Landed houses 18×65 feet houses are now priced at Rm427,000 a unit in Bandar Meridin East by Mahsing in Kota Masai.
For Ecoworld all new 2 storey houses are now priced above Rm500,000 and moving upward. A New Rm50 millions connecting viaduct will be built by Mahsing to connect with the PLUS Highway which link to Tg Langsat & Desaru. ECOWORLD is also building another connecting access to the KULAI-DESARU Highway which leads to RAPID of Pengerang
4. BANDAR SRI ALAM
All terrace houses below Rm600,000 were totally sold out. Only Cluster houses priced above Rm750,000 are available. The access road to Tmn Nusa Damai is now busy with increasing traffic.
BPuri in JV with MP Corp will be launching 2 storey 20×60 houses priced above Rm500,000.
5. PULAI SCIENTEX
Latest phase of 18×65 2 storey houses in Pulai Scientex are launched at Rm404,000 a unit. Up from Rm380,000
So prices of lower end houses are moving upward all the time.
6. TMN MUTIARA RINI
Buyers queued overnight & fully took up all available 2 storey houses priced at Rm550,000
This showed pent up demand for landed property in good location.
7. MELIA RESIDENCES (UEMS)
All 2 storey houses were sold sold in phase one and phase two.
For latest phase only 2 storey houses priced at Rm873,000 are available
Why such amazing hot demand?
HSR STATION is located only 800 meter away from Melia Residences.
Since UEMS has the most prime lands surrounding HSR STATION in Gerbang Nusajaya this stock with landbanks valued at only Rm5.80 psf book value is worth a second look.
7. FOREST GOLD CITY OPENING FOR SALE SOON
Located few km from FOREST CITY – This Golf City is located in a pristine environment. Full of greenery and fresh air.
DANGER SIGNS NOW FLASHING FOR ALL HIGH RISE HIGH END CONDOS IN ISKANDAR & MEDINI
With the impending completion and handover of 9,000 units of Highrise Condos by Country Garden Danga Bay — prices of Condos will continue to be impacted by both selling prices and rental. While lower end Condos in good locations below Rm300,000 and rental below Rm1,000 are still in demand— all High Rise Condos will see price weakness for the next 2 to 3 years before the glut is taken up fully.
With hundreds of thousands of new jobs coming soon due to past years FDI (FOREIGN DIRECT INVESTMENTS) & New Factories all the excess properties will be taken up one day. So those who bought High End Condos with holding power should be ok.
And with real demand for landed houses in ever increasing demand —- better act fast to buy that ideal house while still so cheap in Iskandar (compared to KL or Penang) — you can buy new or from the secondary market.
ISKANDAR LANDED HOUSES BELOW RM500,000 (New or from Secondary Market) are still the Best Investments in Malaysia!