A Survey of JB part 3

Been awhile since I updated on my property search. Reason being that I decided against Casania and moved on to other developments for three reasons –

1. Earlier owners bought the property for RM410K and here I am buying the same thing for 1.5 times more. I reckon I would somehow lugi if we all decide to sell/rent it out at the same time.

2. While the place is predominantly Chinese and super wong, I can’t help but have this nagging feeling that there is a strong Buddhist presence. Not that I discriminate but as a Christian I would prefer not to place myself in a potential conflict of beliefs.

3. Financially speaking, getting this place without renting it out would put a huge strain on our finances and this is not very wise.

So there it is. Having to search all over again. I borrowed this book called Real Estate 101 under the Donald Trump series and one of the sentence struck me – when one window of opportunity closes, another opens. Depends on whether you search for it.

I still wanted to invest in JB but prices in the west near Nusajaya were appreciating way too fast. So just for the sake of exploring, I turned my attention east.

The township development plans for Bandar Seri Alam under UM Land

I was surprised to find out that the east is pretty accessible with the completion of the Permas Jaya bridge and there is much less traffic here. We chanced upon a new township called Bandar Seri Alam and found this really beautiful development called Park View.

My first choice property purchase – a 3000 sq ft 3-storey semi-D

It is a 3 storey semi-D, huge build up (3100 sq ft) and land (40 x 80) atop a hill and greenery all around going for RM608K! The developer is Scudai, a relatively good local developer and the house will be ready in May. Also found out that there are many universities to be built here coupled with a hospital that is Medisave approved. The community here is made up of businessman, managers and doctors.We went back to do some calculations and like Casania was disappointed that while we could afford, it would be a strain on our family finances so with a heavy heart, we had to give up on this as well.

Last week we took leave and together with Joel we decided to do an intensive comb of properties marketed by reputable Malaysian developers over two days. In total we managed to view about 8 developments bringing our total to a whooping 23 property show houses. I think we’ve seen so many houses until we cannot tell them apart anymore. Ha ha!

But I am happy to report that on our last trip, we finally found a place that is suitable for us. It is not the most pretty in terms of design but it fits our budget just right. In fact, calculating the psf across the houses we’ve seen in east, west and north, I would say this property ranks one of the highest in value for money.

A show unit of the property we finally bought

The project is called D’Sierra Ville, a 2-storey link semi-D (aka cluster) in Taman Sierra Perdana located in the eastern side of JB. As the asking price for an intermediate is less than RM500K, we had to opt for the corner unit with extra land (42 x 70). The developer Mah Sing is giving a 10% rebate now so we will get the unit at RM480K even though it is stated RM545K on the sales and purchase agreement.The taman is located right smack on the JB east coast highway which is planned to be open at year end. This will cut down travelling time to CIQ immigration to 15 minutes. Not that we’re planning to move here but the proximity and accessibility would be a plus point.

Only con is that there are no amenities in the immediate vicinity although they are selling shop lots just like one lane down. Otherwise the nearest shops would be north to Bandar Seri Alam or Masai or west towards Bandar Baru Permas Jaya.

I guess this is it because I don’t think I can find a better deal than this already. Park View would still be choice no. 1 but this one fits our budget best so we are more comfortable with the decision.

Theo asked me what on earth are we going to do with it with the house once we collect the keys Q3 next year and honestly even I am not sure if I will be able to rent it out. But my main purpose for this investment is my strong belief in Iskandar Malaysia to be the future hinterland of Singapore and better to have a stake now as insurance/investment since we can afford it.

Will be heading in to place a RM1,000 booking fee this week and then to start searching for mortgage loans which would be another headache. I’ve shortlisted a 9 banks to approach and most of them are located in Permas Jaya itself so it would be pretty convenient. Will update on the costs involved in a purchase and the best loan package once I get the information.

View Iskandar Malaysia in a larger map

12 thoughts on “A Survey of JB part 3

  1. Hi,

    I came across your website and would like to enquire why Sierra Perdana versus Nusajaya?


    1. Hi Aminah,

      I suppose it’s due to several reasons such as budget constraints as well as market influences. If I had entered the JB property market a few years ago, I would have definitely chosen Nusajaya for its potential growth etc. But because the area is now so ‘hot’ in demand, prices have increased way beyond what I can comfortably afford for a reasonably sized property with extra land. The other thing is that earlier investors who had bought into property there would definitely have a headstart in terms of profit or rental yield compared to me who’s just started. That’s how I see it but feel free to disagree.

      As for Sierra Perdana, I scouted properties from west, central, north and finally east of JB and felt most comfortable there esp the new town of Seri Alam. (Although I was told that crime rates are pretty high there). Sierra Perdana is located near to Seri Alam where they plan to house several local universities, situated just next to the Eastern Coastal Highway, is developed by a reputable developer who gave me a good discount and I managed to get a corner unit with land. So all in all, I felt this was the best deal for me.

      So are you also planning to get a property in JB?

  2. Hi Rogue,

    Have you made the purchase yet?
    And how about the loan? What is the maximum available?
    Is this truly a G&G or just some CCTV?
    Lastly, do you sense many Singaporeans there?

    1. Hi Lonewolf,

      Well I have signed the SPA, the loan facility document together with the Memorandum of Transfer and State Consent as well as made all upfront payments required. All that’s left is to await approval from the state to allow me, a foreigner, to own a piece of land in their jurisdiction. Crossing my fingers all works out right.

      As for loan, the maximum a foreigner can get is about 85% margin of financing. Although some of the banks we met are pretty sticky about loaning not more than 70%.

      For the property I got, I suppose it falls within the defintion of a G&G. It has perimeter walls, security booths, patrolling guards and CCTV as well as an intercom system depending on availability of stock. However the developer will only maintain this system for 2 – 3 years after handing over. Thereafter all security arrangements really depends on how well the resident committee maintains it. This I guess is one of the risks I have to bear. Besides it is the same arrangement with all other developers as well.

      I have seen some Singaporean buyers here but I would say most investors will head to Nusajaya instead. When you cross the bridge over to Permas Jaya, the number of S-plates diminish quite significantly.

    1. I don’t know what the future lies for me. Who knows I may just decide to move there? If so, security would definitely be top priority, otherwise I wouldn’t bother with a G&G in the first place.

  3. Hi Rogue,

    I have to agree with you. I sold my property in Austin Heights after 5 years, felt the area was getting congested and will be even more in the future. After comparing prices in Seri Alam and other areas and based on land size, D’Sierra Ville came out tops. Will be seeing you around as I’ve put my money down for a corner unit as well, land size of 6000sqft. Keep in touch.


    1. Hi Aminah, wow congrats! I had initially eyed the corner units with the large land area as well. But my hubby felt that I didn’t have green fingers so decided on one with a smaller plot. Haha.

      Well then, I will be seeing you around too soon. 🙂

  4. Hi Rogue, we planning to sell our house there in sierra perdana.is it real that place a gd investment?

    1. Hi Armanda,

      I am not a professional property investor so I can’t tell you for real if that place is a really good investment. I did my own study and based on my current budget and comparing all the existing developments within my means, I felt that Sierra Perdana is/was one of the best deal around.

      Why are you selling your place in Sierra Perdana?

  5. casania asking is now 900k (means you would be sitting on 300k paper profit if you had gone with your initial feel), while seri alam price remain flat. next time, follow your gut feel, don’t think so much. things are expensive for a reason, conversely, cheap also for a reason.

  6. Hi – just wanted to say thanks for sharing your jb property survey and search. More importantly, you seek God for guidance and approval before deciding on one. After 5 years, has it been a good purchase and area?

Leave a Reply

Your email address will not be published.