How do you guys invest?

[pantaiema]

I'm still convinced that you are just a bot producing chat GPT posts.
And not even a very good bot, since the poster clearly said he wanted to buy another house not a first house and then you give him advice about getting a mortgage for a first house.
Try writing a response without using AI, because if you never use your own brain then eventually you won't be able to think for yourself anymore.

I am referring to situations where buying a house can make financial sense, particularly when purchasing a first home. Another important point is the advantage of leveraging bank financing, even when buying a second property. Leverage from the bank applies to the first and the second home. This is just in case people are forgetting to take into account this real advantage of buying properties.
But I also provde disadvantage of buying properties in Indonesia if you are a foreigner and want to use your own name to buy.

Regarding using your brain; Nowadays most (if not all) hedge funds, pension fund managers, traders use AI to help them making a better decision? Does that mean they are not using their own brains? I doubt that anyone who says that has a better functioning brain than they do.

 

[Balifrog]

I'm considering withdrawing some rupiah and buying another house since I'm a bit worried about bank deposits versus a hard asset. That chunk of money would be taken from a Money Market account at 5%, (just forgotten and rolled over every 3 months.)



What do you think? Losing money at 5% since the rupiah has lost over 5% over 12 months.

You don't own a house....you pay a 30 years lease in advance....

 

[pantaiema]

I recall a long time ago, Atlantis posted about getting the highest interest rate, through a BPR, although this may have been the old forum. Gold gifts, etc.

Even today, you may still be able to find Indonesian rural banks (BPRs) offering around 6% interest if you search for it and you are willing to take on some risk. For BPS, this is also the maximum rate covered under the government deposit guarantee scheme (LPS).

But people should be cautious dealing with Indonesian rural banks. I remember several posts on this forum about several rural banks collapsing and this is not a distance possibility. While deposits are supposedly protected by the LPS guarantee scheme, in practice, guarantees in Indonesia may not always be as reliable as they appear on paper, especially if multiple rural banks were to fail at the same time and there is not enough money available. In such cases, authorities could potentially use various reasons to delay payouts or even only return part of your money. That is one of the risks of placing your hard-earned savings in these BPS.

just pay

 

[jstar]

About LPS: Assuming you’re banking with a commercial bank (Umum), the current rate for rupiah accounts is 3,5%.

So that means if your bank goes under, you’d get nothing back from your deposito’s with 5% interest rate.

We take those risks also, I don’t see a lot of problems currently with Bank Mega, Superbank, Sinarmas, etc. Those who offer somewhat higher rates.

 

[jstar]

You don't own a house....you pay a 30 years lease in advance....

Not if his wife is WNI

 

[snpark]

 

[snpark]

 

[jstar]

On the housing situation I tend to agree with Herbert; there are so many costs involved it can be amazing. And I don’t see those going down; esp. the kompleks security and maintenance.

Currently real estate is not such a great investment unless you can pinpoint the new trends. Unlike in HK, there’s still a lot of space here and you don’t know where the next MTR station will be build. Many apartments and houses in new developments stay unsold or are empty.

 

[snpark]

You don't own anything until you've repaid the bank in full the finance if any used.

 

[Balifrog]

Not if his wife is WNI

Even worse...
The house belongs to his wife...

 

[snpark]

Is it a nice house? Maybe I will marry her too

 

[snpark]

 

[serious_fun]

ja, it would be istri ku who would be the owner.

I'd pay cash. tidak suka utang.

I agree with the comments re: appreciation of real estate...it seems as if the Indonesian middle class is struggling (and even shrinking?) so resale is not easy in my region (JaBar).

A specific property is the target, one with many extras/improvements already made and offered to us at a cut-rate price. Much lower than 'market price'. Structure less than 5 years old/new.

Initially I wasn't interested but this slide in the rupiah has me thinking of hard assets. In other words, it's not exactly an investment as much as it would be a vehicle to maintain savings...if that makes sense.

Regarding associated costs: the only issue as far as I can see is BTHPB for value above 300,000,000.

 

[serious_fun]

No one has a crystal ball

Aah, you're not familiar with LOTRO. ️

 

[centurion]

Initially I wasn't interested but this slide in the rupiah has me thinking of hard assets. In other words, it's not exactly an investment as much as it would be a vehicle to maintain savings...if that makes sense.

If you want to maintain value take gold. I cannot get rid of my real estate(s).

 

[pantaiema]

If you want to maintain value take gold. I cannot get rid of my real estate(s).

Well, if you could achieve a two-year payback period, essentially equivalent to a 100% return on investment (ROI) you could realistically become a millionaire within a few years. I remember someone on this forum claiming to get a two-year payback period, by building and renting out a villa in Bali.

 

[pantaiema]

Another major blow to Indonesian stocks, at least for the short term.
https://www.cnbcindonesia.com/marke...18-saham-ri-dicoret-dari-indeks-ini-daftarnya 18 Indonesian Stocks Removed from MSCI Index

 

[centurion]

Well, if you could achieve a two-year payback period, essentially equivalent to a 100% return on investment (ROI) you could realistically become a millionaire within a few years. I remember someone on this forum claiming to get a two-year payback period, by building and renting out a villa in Bali.

I was buying gold starting from 1 million Rp/gr. Did pretty well.

 

[centurion]

Another major blow to Indonesian stocks, at least for the short term.
https://www.cnbcindonesia.com/marke...18-saham-ri-dicoret-dari-indeks-ini-daftarnya 18 Indonesian Stocks Removed from MSCI Index

Only suckers invest in IDX.

 

[pantaiema]

A specific property is the target, one with many extras/improvements already made and offered to us at a cut-rate price. Much lower than 'market price'. Structure less than 5 years old/new.

Almost any investment become a good investment if you get it at very attractive price based on standard valuation metrics. But, finding such investment if it is real (not a scam) will require a degree of luck.