Article

Should I buy a landed or strata property?

To a first-time homebuyer, there are several issues to consider when purchasing a first home. First and foremost, the consideration would be on budget – how much he is willing to pay and how much he can afford to pay. Next, he needs to decide on location and type of property – where would he like to live in and would it be a landed house or a strata apartment?

In deciding between a landed or strata property, various factors need to be considered. Some buyers would immediately have a preference, either due to current living conditions (already living in a terraced house and will not consider moving to an apartment), or due to perceived increase in comfort level (e.g. enjoying facilities in a condominium scheme).

If security is a concern, then a buyer would opt for a secured condominium unit, or a terraced house in a gated and guarded scheme. Both require payment of service charges / security fees. If the buyer would like the convenience of various facilities without driving out, then he would do well to purchase a condominium unit, which comes with facilities and amenities at its doorstep. If owning a pet dog for company is a must, then a strata home is already out of the question. If a garden is preferred, then a landed property is the obvious choice. However, it is noted that some clever developers of high-rise schemes have now incorporated garden terraces to its condominium units, allowing purchasers the choice of a mini garden in their high-rise homes. Purchasers of landed homes need to spend more on renovations as there is more flexibility of extensions, but those buying condominium units make minimal expenditures on renovations due to building restrictions. Additionally, residents in a condominium scheme are governed by a management corporation that dictates living conditions in the scheme, from management of waste disposal to usage of facilities, internal unit noise levels and even, design of security grilles for external doors and windows.

Price-wise, there does not appear to be a huge difference between properties of similar built-up areas, whether landed or strata. After all, once service charges / maintenance fees are incorporated into the monthly loan installments payable for condominium units, it would surmount to more or less the same as what is paid for a landed property of similar size. Nonetheless, this is only relevant in the densely-developed Klang Valley , where service charges and prices of condominium units are high.

Eventually, it all boils down to the question of preference for a landed or strata property. Both have its pros and cons. And, like all pertinent questions in the dynamic property market, the answer to the question of landed vs. strata property is merely a matter of personal choice.

This article was written by : Dr.Wong Chee Yong PJK, Poly Properties