Thread: Indonesian Government May Unlock Real Estate For Expats

Originally Posted by kingwilly

Originally Posted by wefearourdespot

Originally Posted by Beadle

Why risk buying anything in the Third-World?

Because it makes you save a lot of money in the long run.
For example buying my condo in View Talay for 700,000 baht back in 2003 I saved 7,000 baht of monthly rent for 6 years = 504,000 baht , plus the condo itself revalued about 300,000 baht

So your capital investment dropped 60% in value, not including inflation nor Interest on that money in stocks or bank which should have averaged 10% per annum, or about another 490,000 baht

Great investment but I bet owning it impressed the $3 cum pipes...

For "revalued" I meant what it gained , not the new value ... it's worth at least 1,000,000 now, with a 300,000 baht increase.
Indeed a complete evaluation of the investment should consider figurative interests , but a 10% rate is completely unrealistic , stock market improved nothing in these 6 years (it was 800 at 2004 start, it's 750 now) and gov bonds yield after 15% tax was under 4%.
So 4% on 700,000 x 6 years = 168,000 baht in lost interest.
504,000 baht in saved rent + 300,000 baht value increase - 168,000 baht in lost interest = 636,000 baht net gain compared to rent.
So now if you can just point me to where I can find those 3$ cum pipes ...