To my opinion, when we assess returns on investments. Firstly, In terms of yields for on residential properties, It can be categorized into landed and non landed properties. Usually at prime locations are such as bangsar, Damansara Heights or Mont'kiara the rental yield are around 7%-12% depending on the location and investors entry cost. This means that first buyer who bought from developer will usually enjoy more than 10% yield for non-landed properties. Example those buyer who bought mont'kiara Aman, Mont' Kiara Astana, Kiaramas Sutera, Sri Penaga , Bangsar Cascadium, Desa Damansara and so on.
On the other hand landed properties will usually achieve lower rental yield which is around 4-8% depending on the entry cost and location as well. However in comparisons, landed properties usually will appreciate higher the longer you hold the properties. eg. conservative estimation will be 100% appreciations in 10 years, which means average 10% a year. However condominium or non-landed properties in klang valley will usually enjoy the high capital appreciations in the first 5 years when the properties is still new, however the price will stay flat or drop the over the years.
In terms of commercial properties, one good example will be Glenmarie Temasya industrial park, i got to know this location through one of my buyer, he bought a few lots there for investment and the cost per semi detached factory are selling around 1.5-1.8mil and rental are going around RM15-18k which equivalent to more than 8% yields 3years ago, However, last few month, i found the price escalates and now average asking price are around RM3.2-3.5mil and rental still the same which is around RM15-18k. Meaning to say that, factory can achieve very high capital appreciation during good times and with government annoucing a lot incentive package for homeowner or investor. For example : waiver of Stamp duty for loan and SPA, Real Property Gain Tax (RPGT) tax. All these measure boost both commercial and residential properties.
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