Buying A Property In 2021:

What’s Worth Investing In And How To Get A Good Deal

Published for Tropicana Corporation Berhad

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Before investing in a property, the first important thing to know is

why you’re buying it

  • Own Stay

  • Long-Term Investment

  • Rental Income

Some people buy a home to move into or to invest in hopes of getting a return, while others use their property as a source of passive income – either by renting it out to tenants or listing it as an Airbnb or staycation destination.

Understanding the reason you’re buying a property will help you determine which type makes sense for your budget and needs.

What kinds of property can I buy?

High Rise

High-rise properties can range from small condo units or studio units for first-time homeowners, to low density luxury apartments that are catered to bigger families.

In general, units in high-rise buildings are more affordable to buy and easier to rent out, suitable for both own stay and investment.

  • Pros:Facilities, affordable, better rental yield
  • Cons:Maintenance fees, less spacious, rules & limitations
TIP Buy a unit that will outgrow you, instead of what you need at the moment.

Landed homes include linked homes, townhouses, superlinks, semi-Ds, and bungalows. They usually offer larger spaces, while offering privacy and flexibility to homeowners.

However, landed properties are often pricier in city areas, or may be located in new townships further away.

  • Pros:Appreciation potential, spacious, privacy
  • Cons:Security
TIP Consider the costs of a landed property, from renovations to home security and upkeep.

One option that people aspire to invest in (but don’t realise is possible) is commercial property, like shops.

While some brands are moving online, many local businesses still operate out of brick-and-mortar outlets, be it F&B outlets, gyms, or childcare centres. Investing in this kind of property allows you to lease it out for rental income, and it usually yields high returns over a long term.

  • Pros:Rental yield, appreciation potential, no renovation
  • Cons:High upfront cost, dependent on occupancy
TIP Consider the surroundings – a shop in an established area will be easier to rent out.

Small-office, flexible-office (SOFO) is a kind of property designed for business owners or small startups.

They usually offer customisable office spaces and lifestyle facilities, while being in convenient commercial areas.

  • Pros:Affordable, customisable, facilities
  • Cons:Higher maintenance fees
TIP Search for a SOHO with good connectivity and amenities.
Vacation Homes

A growing trend is to buy a home, renovate it, and make it a staycation destination.

With tourists and locals leaning towards homestay experiences instead of hotels, vacation homes present a big opportunity for investors.

  • Pros:Hotspot location, flexible for own stay or rental, high returns with short-term stay
  • Cons:Upfront renovation cost, requires management
TIP Look for vacation homes in popular tourist hotspots.

Next, here are key things to consider when looking for a good property deal:

Location, location, location

Whether you’re buying for your own stay, investment, or rental income, location plays a major role in your property’s value over time.

For investors, the idea is to choose a property at a good location, or one that has the potential to pick up in growth and popularity. It’s also important to consider supply and demand, especially when it comes to rental properties.

If you’re buying for your own stay, ask yourself if you’re willing to pay higher instalments to be in a central location, or if you don’t mind driving an extra 20 minutes to work every morning.

Amenities & future developments

A good way to benchmark a property’s value is by seeing what’s around it, from day-to-day necessities like marts, clinics, and schools, to entertainment and leisure spots.

Future plans may also affect your property’s price. Is there a mall coming up, a new highway, or an LRT station perhaps? All these are indicators that the property has potential for growth.

Financial incentives

Lastly, you should take into account all the costs involved, as well as promotions offered by developers, to find the best deal available.

No matter what kind of property you’re buying, there are fees that can add up and cost you quite a bit.

  • Legal fees

  • Part of the Sale and Purchase Agreement (SPA) and Loan Agreement
  • A charge for engaging legal assistance for the purchase of a property
  • Stamp duty

  • A fee for stamping transactional documents such as loan agreements, tenancy agreements, and documents pertaining to property transfer, including the SPA
  • A legal requirement
  • Must be stamped within 30 days of signing the SPA, or you will need to pay a penalty of 5% - 20% of the deficient duty
  • Also applies for loan agreements, but is capped at a maximum rate of 0.5% of the full value of the loan
  • See a cost breakdown

Thankfully, with some developers waiving these fees, as well as special incentives from the government, you could save a lot of money.

  • Financing and loan repayments

  • If you find developers who offer interest-free easy payment plans or 100% financing, you won’t have to worry about a big down payment.
  • Additional Incentives

  • Keep an eye out for rebates, free furnishing, and other incentives. For example, the government’s Home Ownership Campaign offers stamp duties exemption up until 31 December 2021.

The great news is that you can enjoy all those deals and more for any of your dream properties with...

The 100% Solution to Own-stay & Investment

Tropicana 100 Xtended

From affordable high-rise units and landed homes, to shoplots, SOFOs, and vacation homes, Tropicana wants to offer you the best deals for both own-stay and investment at a starting price of RM318,000 only!

    • Klang Valley
    • Johor
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Make sure you buy now in 2021 to secure these amazing savings:

  • 100% Returns

  • 100% Interest-free Flexibility

  • 100% Legal Fees Borne

  • 100% Furnishing

  • 100% Financing

  • 100% Additional Referral Rewards

  • Up to 1,000% Returns

With all these benefits, including 1,000% return on booking (up to RM50,000) for 10 lucky winners, you won’t want to miss this opportunity to own your dream home. However, these promos only last until 31 December 2021, so don’t wait too long before making your decision!

While you can never predict the best time to buy a home, you can always look out for a great deal – and Tropicana has you covered with their gorgeous properties at prime locations, all with a reasonable price tag.

Find out more here!

*Campaign deals are applicable to selected projects and units only.