There is always an alternative...

I believe in miracles. I believe in the power of prayer. I believe...where there are problems, there will be alternatives and solutions!

The sudden announcement by the Bank Negara capping housing loans to a maximum of 70% margin for 3rd house onwards caught me napping, literally. I was still asleep in Jeddah when the announcement was on mainstream media in Malaysia. In a way I was glad, I was able to get a good night sleep, and have a whole day to figure out what to do!

To do something I must! I was short by a large amount of money to pay for the newly inflicted 20% margin as a consequence of the new announcement. When I made property purchases a few months back, I was banking on 90 percent margin, and had made a contigency plan only for a worse case of a lower margin at 80% loan! Being a born optimist, I did not in my plan consider that the wise ones at the Central Bank were contemplating to revise the rule.

True I am an optimist. Also true, I am a resourceful optimist. Even more true, I go about my investment in real estate with a good dosage of a 'Gambler's mentality'! That is to say, I am happy if I can earn a few bucks from a few properties even if I lose a few buck on a couple of other properties. Sometimes, I cut my loses, and other times, I maximise my profits. Most times, I calculate my potential earning as well as my cost of opportunity loss if a decision is delayed. I follow my gut more than my head. This is not the way prescribed in books on the subject of 'How to make millions from real estate' or the like. This works for me, but it may not for you, so please take this particular sharing with a health warning. The message in the next sentence however, is often preached by self-help Gurus and I have adopted it as an intrinsic attitude! It works for me....and it may work for you too! "......no matter what the situation is; there is always an alternative, a solution!"

After a few phone calls accompanied by strokes of good luck which, I was sure, were interventions from Allah (Alhamdullillah), the following happened....

>>An agent, out of the blue, called me on two consequtive days with news that two of my properties in Denai Alam which were only 85% completed have been sold! I asked for a 3% earnest deposit instead of customery 2%, and in exchanged I agreed to delay the signing of S&P by two weeks giving the buyers more time to raise the balance 7%! I was able to get more cash upfront, and the buyers got two weeks extra time!

>> I called the ustaz contractor in Kelantan who, a few months back sold me some plots of land, and I offered to him to buy back a few plots at the original price. I asked for cash payment. He agreed!

The above two actions, plus a few others taken, were able to provide solutions to my cash flow bottle neck!

ALHAMDULLILAH~!