Traditionally, landed property has been the most by property type for the baby boomers. Given that the more land you had, the higher your status and stability you become in the face of society. The amount of land you had was a sign of wealth. The basis of this traditional thinking was that if you needed cash at hand, you could always sell your land or house. However, in recent times, the development of luxurious high rise has proved to be an advantage especially when new demands and requirements.
With the rise in price and scarcity of land, buying a landed property has become less fitting for young millennial and many groups looking for a place to stay.
The property Value
Landed properties have the advantage of a higher capital appreciation of the long term compared to high rise properties, If you have bought land many years ago, you will find that the land value appreciates over the years despite economic conditions. This is because the quantity of land slowly reduces over time as more development starts. This raises the price of land and any available land are quickly acquired and sought after by developers looking to increase their land bank.
Lower range, high rise typically has a lower deposit. This reduces any barriers for anyone looking to own a property. Many who own condos, find that their property value appreciation slows down over time as the condition of the property deteriorates. When the property becomes old, the vacancy rate might increase as people choose to move to emerging areas with higher property values. This leaves you owning a property with lower demand.
If you live in the heart of the city, you will be forgiven if you don’t own a car. Given the convenience and availability of public transportation. Parking in a high rise can be expensive, in some properties, a limited amount of parking pays forces residents to pay a monthly fee to reserve a parking space.
Owning a landed property is different, most landed properties are built with a parking bay in mind given that most Malaysians are car owners. If you have an additional car, road parking is always an option.
High rise properties are basically a cluster of strata units all fitted together, with many inhabitants living inside. To ensure less problems and more control, there have been often many strict regulations and rules that must be complied upon signing the agreement.
A different set of regulations is associated with landed properties, these ranges from renovation guidelines to different bylaws governed in the local area.
The view outward is an important factor when one decides the type of property.
One of the reasons why some prefer the high rise lifestyle is the breathtaking view of the city especially at night. Imagine coming home after work and as you settle down with a cup of chamomile tea. You start to gaze at the brightly lit skyline topping it off with the starry night. When purchasing a high rise property, the view of a particular unit can determine if there is demand or not.
On the other hand, Landed properties might be restricted in scope of available views, given the low height of the house, the view may just be limited to your neighbour’s house. However, landed properties situated on the hillside with ample view can fetch a high price tag.
The responsibility in maintenance with Landed properties rests in the hands of the landlord or owner, to maintain the condition and aesthetics of the property, however the tenant must also keep the property in working order. Depending on the size of the property, the maintenance of a landed property may appear higher compared to a high rise.
With high rise properties, a monthly fixed cost is charged to all homeowners to upkeep the maintenance and repairs of common areas and facilities. This ranges from facilities such as the lobby, gym, common walkways, swimming pools and more, it is imperative to hire an experienced management team. The state of common areas and the facilities directly impacts the value of all units in the property.
In a nutshell, it all comes down to your preferences and choice of lifestyle, but it first comes down to your intentions. If you aim to live there, make use that it fits your requirements and let your heart out on the design process. However, if it comes down as an investment choice, ensure that the your budget fits the type of property you choose to manage. High rise units are common investment choices given the low down payment and potential yield. On the other hand with owning land, capital appreciation will rise as the years go by.