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Guaranteed Rental Returns (GRR): The Illusion and The Reality

Featured Articles/ 5 September 2025 1 comment

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So, you’ve probably seen those property ads promising a dreamy “Guaranteed Rental Return” (or GRR for short). They’re everywhere. The deal sounds sweet: buy a place, and the developer promises to pay you a steady 5% to 10% return every year. No tenant headaches, no landlord drama—just easy, passive income. Especially for first-time investors, it’s a seriously tempting offer.

But before you get swept up in the glossy brochures and smooth sales talk, let’s pull back the curtain. The reality of these schemes is a lot more complicated and risky than it seems.

That “Guarantee” Isn’t What You Think

Here’s the first big red flag: that “guarantee” isn’t legally protected like your main property contract is. If things go south, you can’t just go to the housing tribunal. You’re looking at a messy and expensive lawsuit in civil court.

And the company promising you all this money? It’s often not the big, stable developer you’re buying from. It’s usually a tiny side company with barely any money to its name. If the scheme fails, that little company can just vanish into thin air, and you’ll be left holding the bag.

The Fine Print is Full of Tricks

Even if you do get your payments, there’s a catch. That “guaranteed” money isn’t a gift—it’s already baked into your purchase price. You’re basically paying a premium for your own money back.

Plus, those contracts are often loaded with sneaky clauses that let the company cancel the whole deal with very little notice. On top of your mortgage, you might also be stuck paying for mandatory fancy furniture packages or high maintenance fees.

What Happens When the Music Stops?

After the guaranteed period ends (usually 2-5 years), the party’s over. Suddenly, every single unit in your building hits the rental market at the same time. With so much supply, rental prices crash. And good luck selling—new buyers will know the original price was inflated, so your property’s value takes a nosedive. The developer, having fulfilled their promise, has zero reason to help you find a tenant.

We’ve Seen This Movie Before in Malaysia

The Arc @ Cyberjaya is a famous example of a GRR scheme failure. Buyers were promised a guaranteed 8% annual return for up to 25 years. However, the payments stopped very quickly, often within the first year. The company behind the guarantee was a separate entity with no money, making legal action pointless. Owners were suddenly stuck with mortgage payments for empty units in an oversaturated market, causing property values to crash and resulting in major financial losses for investors.

The lesson from these stories? If it sounds too good to be true, it almost always is.

The Bottom Line for Buyers

Don’t let a flashy “guarantee” blind you. Do your homework:

  • Check who’s backing the guarantee. Is it a reputable company with real money, or just a flimsy shell company?
  • Get a lawyer to read every single line of that contract before you sign anything.
  • Compare the promised yield to what similar properties actually rent for in the open market. Is it realistic?
  • Ask yourself the most important question: “Would I still buy this property if the guarantee didn’t exist?”

If the answer is no, then walk away. A real investment should stand on its own two feet, not on a shaky promise.

– Ken Lim
(Founder, PenangPropertyTalk.com)

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D’Hazelton @ Farlim – Affordable Living in Harmony with Nature

Advertorial, Farlim/ 4 September 2025 No comments

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Introducing D’Hazelton @ Farlim, an upcoming affordable development by GSD Land Sdn Bhd that offers more than just a home — it’s a lifestyle in balance with nature.

Prime Location at the Heart of Farlim

Strategically located off Jalan Bukit Kukus, with easy access via Thean Teik Highway, D’Hazelton is surrounded by everyday conveniences:

  • Bandar Baru Supermarket
  • Econsave
  • Farlim Night Market
  • Permata Sports Complex
  • A variety of eateries

Enjoy the vibrant lifestyle and convenience of the Farlim township just minutes away.

Spread across 8.09 acres of freehold land, D’Hazelton features:

  • Tower A: 35 storeys
  • Tower B: 34 storeys
  • 32 commercial units

Each home is sized at 900 or 1,000 sq.ft., thoughtfully designed to be spacious yet affordable — perfect for first-time buyers and growing families.

Lifestyle That Embraces Nature

D’Hazelton promotes a green lifestyle with:

  • Multiple facility decks at levels 2, 3, LG7 and LG8
  • Communal spaces and greenery that elevate everyday living

Slated to be completed by 2029, D’Hazelton @ Farlim is a thoughtful blend of affordability, connectivity, and community – where home is not only a place to stay, but a place to grow.

Contact GSD Land at 1700-818-932 or +6012-503 9932.

Register your interest here

*By submitting this Form, you hereby agree to our PDPA Consent Clause.
(This information may be used by the developer or their appointed agent to initiate follow-up communications with you on the project.)

M Zenni by Mah Sing Redefines Batu Maung Living with just RM4xxK*

Batu Maung/ 3 September 2025 No comments

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M Zenni – a home in perfect rhythm, where the calm of nature meets the pulse of urban living. Located in the rising township of Southbay City, Batu Maung, M Zenni is a thoughtfully designed serviced residence that brings together architecture, sustainability, and community in one harmonious space.

Perched on a gentle hillside just 900 metres from the Second Penang Bridge, M Zenni offers residents panoramic views of the surrounding greenery and the sea beyond. Its prime location ensures seamless connectivity via the Tun Dr. Lim Chong Eu Expressway and places it within easy reach of major landmarks such as Silicon Island, Queensbay Mall, the Bayan Lepas Free Industrial Zone, and Penang International Airport.

Mah Sing_M Zenni_FacadeMore than just a place to live, M Zenni is a reflection of Mah Sing’s commitment to sustainable urban living. The project is targeting GreenRE Gold Certification, integrating eco-conscious features such as solar energy systems, rainwater harvesting, automated waste collection, and a smart community platform that simplifies daily living through digital conveniences. Designed with biophilic principles in mind, the development takes its cues from the surrounding landscape—using natural textures and tiered forms to echo the curves and character of the land.

The single 33-storey tower offers 494 freehold units, ranging from practical studio and 1+1 layouts to spacious 4-bedroom homes. Built-up areas span from 688 sqft to 1184 sqft, making M Zenni ideal for young professionals, couples, and families seeking flexibility, comfort, and value. Prices begin from RM 4xx,000, making it an attractive proposition for first-time homeowners and investors alike.

Amenities are curated to foster a vibrant, inclusive community. Residents will enjoy access to landscaped gardens, wellness and co-living lounges, integrated work pods, and barrier-free design throughout. A six-level car park podium, parcel lockers, and ground-level retail and F&B outlets add everyday convenience to the living experience.

M Zenni isn’t just a home—it’s a lifestyle in perfect balance. Here, nature, connectivity, and community flow together to create a living experience that’s truly one-of-a-kind.

Whether you’re a young professional, a growing family, or a savvy investor seeking a thoughtful, future-ready home, M Zenni is crafted to enrich your everyday.

Don’t miss your chance to own a piece of Penang’s next prime address!

Register now for early bird privileges and secure your place in a community designed in perfect rhythm. Or contact Mah Sing at 04-2024269

Register your interest here now to enjoy Exclusive Early Bird Privileges!

*By submitting this Form, you hereby agree to our PDPA Consent Clause.
(This information may be used by the developer or their appointed agent to initiate follow-up communications with you on the project.)

80% of Gen Z Malaysians opt for high-rise living

Property News/ 2 September 2025 2 comments

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Four in five Gen Z Malaysians are choosing to buy condominiums or apartments, marking a sharp contrast with older generations who continue to favour landed properties, according to property group Juwai IQI.

The study, based on more than 127,000 transactions since 2018, suggests the generational divide could reshape Malaysia’s housing market in the coming decades.

“Gen Z are buying into the skyline, while Millennials and Gen X keep their feet on the ground,” Juwai IQI co-founder and group chief executive officer Kashif Ansari said in a statement today.

The data shows that 84 per cent of Gen Z buyers purchase units compared to just 16 per cent who opt for landed homes.

In contrast, Generation X — Malaysians in their late 40s and 50s — still lean towards terraces, duplexes and other landed homes, although 75 per cent of their purchases are also units.

Boomers, aged 60 to 80, are more likely than Gen X or Millennials to downsize into condominiums for easier upkeep, while the oldest group — those above 80 — overwhelmingly buy units, accounting for 93 per cent of transactions.

Kashif said the preferences reflect life stages and urban lifestyles. Younger buyers often want homes close to workplaces, transport and amenities, while families in their 30s to 50s prioritise space.

“Gen Z, who are nearly nine million strong, will drive demand in the housing market for the next 20 years as they upgrade to larger units or landed homes. Their choices will shape how our cities and suburbs grow,” he said.

Despite the trend, landed properties still make up the majority of Malaysia’s housing stock and transactions. In 2024, 69 per cent of homes were landed, compared to 31 per cent high-rise units, according to National Property Information Centre data cited in the report.

Kashif noted that affordability is a key factor. Monthly expenses for high-rise homes are estimated to be RM200 lower than for a terrace house and RM1,200 lower than for a detached home, on average.

“Every generation has its preferences, and by recognising and responding to them, Malaysia can continue to provide homes that meet the needs of all its people,” he said.

Source: MalayMail.com

Seri Saujana – Phase 6 & 7

Nibong Tebal/ 1 September 2025 No comments

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Seri Saujana – Phase 6 & 7, also known as Inara, is the final phase of the Taman Seri Saujana development in Bukit Panchor. It is located near Persiaran Seri Saujana, less than 5km from the Jawi Toll Plaza and about a 5-minute walk from SMK Tunku Abdul Rahman. The surrounding area already has basic essential amenities in place and is recognized as a planned residential settlement.

These phases comprises 32 double-storey semi-detached houses and 42 double-storey terrace houses. Each unit features a practical layout with four bedrooms and a car porch that can accommodate at least two cars.

Project Name: Seri Saujana – Phase 6 & 7
Location: Bukit Panchor, Nibong Tebal
Property Type : Landed residential
Land Area: (to be confirmed)
Built-up Area: (to be confirmed)
Total Units: 42 (terrace), 32 (semi-detached)
Tenure: (to be confirmed)
Indicative Price: (to be confirmed)
Developer: JKP Sdn. Bhd.

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DISCLAIMER: This article is solely based on research done using publicly available data. This is not an advertisement. Any claim, statistic, quote or other representation about a project or service should be verified with the developer, provider, or party in question.