The Reason Why The Various Moneyed People Have To Sell Property
A number of perpetrators of property business say the market for residential apartments as well as good home footprint will be a positive move in this year. The indications already prefaced by some Government issued policies, including relaxing the Loan to Value (LTV).
“If Indonesia property market is represented as ‘ sexy woman ‘. It’s just that there is potential that hasn’t been fullest dressed. Judging from the current cycle, there is the possibility in 2017, and significant changes to occur the raise in 2018, while the Summit itself can be felt in new 2019.0 “papar Member Broker Century 21 priorities, Margo Khusiono.
Therefore, for people who are interested in taking part and rumah murah di solo dibawah 100jt struggled in the property business, know there are at least eight pros who owned the business.
Have quoted from the book “How Wealthy via property” by Panangian Simanungkalit, here’s a list of advantages:
1. The value added (Added Value)
Value added investment property acquired in consequence of the development of building on top of an empty plot of land.
The added value will be higher, if the building is centrally located with easy access and good facilities, as well as made with beautiful architecture.
2. Increase in annual income (Income Appreciation)
From the plot of land that was developed (vacant lot into a house or shophouse) an investor can receive rent. Another advantage is the increase in rental rates, because of the scarcity of land and property will continue to occur throughout the economy in a country continue to grow.
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3. The increase in land values (Capital Appreciation)
The appreciation of the value of the land is another advantage of the investment property. The number of humans at any time continue to grow, while the number of land could not be increased.
This is the classical theory which simply explains why land prices continue creeping up from time to time.
4. Long-term investments (Long Term Investment)
Compared to the gold deposits, investments or other property has a durable character. Property business have a horizon (a period of) investment on average 3-5 years.
That is, after 3-5 years of development it’s value is enough means to generate capital gain (difference between the buying price and the selling price).
5. The power Levers high investment (High Leverage Investment)
For example, a property with the money you invest $ Million as a down payment (DP), then you can have investment property amounted at Rp500 Million or five times as much, because the rest of Rp400 Million paid by using the financing bank.
(Read also: Six Tips for Avoiding Investment umbilical hernia)
If the value of the investment rose 10% to Rp550 Million, then your profit Rp50 million (Rp550 million – at Rp500 million) or 50% of the initial investment that is “just” $ million. This is called the power levers high investment.
6. Protection against inflation (Inflation Hedge of)
Traditionally, people bought the land and buildings to keep the investment so as not to lose to inflation.
This means that owners are sure to buy property, the value of the investment will not go down as the value of the currency inflation eroded. In fact due to the nature of their rarity, the value of that investment continues to increase over time.
7. Collateral is good (Good Collateral)
Unlike a financial investment, the property is the collateral or guarantees the most solid. Even in some countries, the banking does not hesitate to lend funds up to 80% of the value of the collateral.
(Apartments in Jakarta could be for investment)
8. Ownership of Pride (Pride of Ownership)
Compared to other types of investments, the sense of pride towards property ownership is generally higher. Then the ancient times, landlords are associated as a rich man. This is because property can also generate income from rent.