If you are a foreign investor and you are interested in properties for sale in Ipoh – Propwall.my, you should start by hiring a good lawyer and learning the lingo. Most words used in advertisements for real property has legal ramifications. The local culture and laws can be and probably are very different from the culture and laws surrounding real property in your native land. Thus, talking with a good lawyer can be critical to understanding the implications of words like “leasehold” that you may see in Malaysian real estate ads which may be unfamiliar to you. A leasehold property is not being sold to you in perpetuity. If you do not understand the difference between that and freehold land, you could be in for a nasty surprise down the road when the leasehold period ends.
Next, you need to learn to do a quick and dirty assessment of value. In real estate, value is determined by “comps”. In other words, valuation is based on comparing the property to other properties with very similar characteristics, properties which are comparable. The closer they are to being identical, the more confident you can be that their value is close to identical. It is important for them to be in the same neighborhood and have some of the same characteristics such as number of bedrooms, number of bathrooms and square footage. If you are seeing similar properties priced very different from the one you are interested in, then you need to find out why that is. There may be a perfectly valid reason. There may be differences in the property that you have not noticed. But it could also just be priced inappropriately. A good practice: Learn to routinely compare similar properties in the same neighborhood as potential investments.
Before you spend a dime on any real estate, make sure you do your homework. Real estate investment can pay off handsomely. But, if things go wrong, it can also cost you a great deal. Investing in a foreign country can be very attractive because there can be a huge upside. But huge upsides are usually one side of a coin where the other side is a huge risk. The way to mitigate risk is to do your research and go into it very well informed. This means hiring qualified professionals who are deeply familiar with the local market and doing your own research as well.