My employer took a bus load of high networth clients to Iskandar today. I believe most of the properties shown to them will be off-plan condominiums. I believe the water front condos are already priced in. At over RM800 psf, I would not touch it. Worse still are condos with no special features. When I mention "special" I meant being near MRT stations and having water frontage. Nothing else will do.
If you think that landed properties are of better value, I can tell you that it has also been priced in. Most gated bungalows are selling for RM 400 - 600 psf. That's just about right.
Most of these properties have no resale value. The developers have so much land that they will keep selling and selling. Property owners will also fail to find good tenants. This is a classic case of a property bubble. Uncontrolled release of land will cause property prices to eventually fall.
80% of the capital appreciation is already over. If you wish to buy now, you are reaching the tail end of the bull run.
