KUALA LUMPUR — When someone announces he/she has bought a property, the congratulations pour in. Indeed, the wishes are well-deserved, not unlike getting full distinctions in an exam, because both require much sweat and blood to attain.

And like a degree certificate, a sale and purchase agreement under one's name has become the coveted goal for many, especially the Gen-Yers. However, the hardest hurdle to cross is most often the first leap of faith to half a lifetime's commitment tied to a property.

According to a real estate agent who has been in the field for more than 30 years, the starting point should be at securing an income through a stable job, which will lead to saving up for down payment and make one eligible for housing loan. In short, investing in property starts with spending oneself in a profession first.

Once these foundations have been established, one can start the survey for a desired property. The next focus would be how, where and what to invest in.

The agent said that generally there are two types of investments — for own-stay and rent-out — and each will have its own criteria for investment. For own-stay, points of consideration are location, personal taste, budget and timing, where all should be tailored to personal needs such as proximity to working place or families.

He highlighted that it is important to note if there are any amenities within the vicinity that meet the occupants' needs, such as public transportation, colleges and universities. Buying along the DART line will also contribute to the value of the property.

He also commented that there is an oversupply of offices, condominiums and apartments in the market.

"The budget is the ultimate factor which will determine the location. As for the right time, the best time is to buy property and wait, don't wait and buy property. If properties are bought at a younger age, buyers can get longer tenure years and lower repayment," said the source.

The source also said that the bank will look into the debt service ratio before approving a loan and it will change every year depending on the market condition.

For starters, his advice is to go for smaller-size products at low budgets such as a 700sq ft apartment at a prime area with high population, for instance the Petaling Jaya locale.

According to him, products that are oversupplied are apartments and condominiums from 1,600sq ft to 2,000sq ft and above. Small size products such as units with sizes below 1,000sq ft are still in demand in the market especially around Mont' Kiara, KLCC and Bangsar.

The source said that the reason why these smaller size products are in demand is because of its practicality.

"On the other hand, big-size products are harder to fit into the rental budget. For example, those who seek temporary accommodation with no long-terms plan of staying in the area such as a single expatriate will find that big-size products do not suit their needs due to the rental that comes with the unnecessary extra space," he said.

"With two rooms, they can have the flexibility of sleeping in one room while reserving the other for guests and families."

When buying property for rental, the agent advised buyers to consider where to get tenants and who the tenants will be, whether they are working adults or students. The deciding factors are location, population and affordability.

"The targeted population should be the mid-income group because one company will have only one chief executive officer but could have 10 managers. And this is the category, those with salaries of around RM4,000 to RM5,000, who could afford to set aside budgets  for rentals from RM1,000 to RM2,000," he explained.