I bought my first house in my hometown back in year 2009. And I couldn’t stop seeing house price going up every day. I want to buy my second house between 2011 and 2013, but I unable to make decision due to the skyrocket price. Similar to many people mindset, IF I KNOW and IF I DARE to refinance to buy 2 or 3 more houses / shophouses during this booming period, perhaps I can have a more comfortable life right now.
In the end of 2014, I relook into property investment again, and I bought my second unit in my hometown, not far away from my 1st unit. In fact, I’m not sure whether I bought the right house for second unit until today. It is still under construction and time will tell.
Needless to say, the first house I bought has doubled the price in 2014. I still keep it until today. I have the intention to sell it mid of last year due to business difficulties. I couldn’t help again as I see the price gradually dropping due to oversupply. The price falls about 10% from the peak. Even though it is the worst now and I did see a little sign of market recovering, I’m still observing it whether I need to cash out anytime soon. Who know, I may want to cash out my 2nd unit 1st upon completion by mid of this year.
In summary, property investment is more complex than what I think. Why I said so? Because I’m not station in my hometown. I feel distance management is an issue, especially you would like to understand more about the situation, tenancy management, renovation, etc.
With this market condition, do you still hear people making money from property investment nowadays? Perhaps there are, but definitely not the people I know. Or perhaps we need extraordinary or new skills to do so. But I'm not here to offend property investors. Just that I'm looking into investment that I feel more comfortable.
I'm desperately looking for good investment return to beat inflation and for early retirement. I relook into local stock investment again end of last year.
To be continued…