From Mr L, a viewer who wrote in by email
Mr L is 53 and lives elsewhere in Penang. His mother has gifted him an old semi-detached house near Green Lane that she bought about 40 years ago. Since a business tenant left, it has been hard to let; a friend rented it for about RM1,300 a month for a year. Similar houses nearby are listed at around RM1.9 million, several are for sale on his road, and he has about RM200,000 in stocks and savings and no commitments besides his child's school fees.
Should he sell the house, given its low rent, or keep it for its sentimental value and as his only landed property?
“Property is a tool for us to achieve what we want to achieve.”
Either is defensible, because he has no urgent need for the money. First find out what the house is really worth. If a buyer offers above market value, Sean would sell, clear any housing loan and set up his child's education fund; otherwise holding it is fine.
Why
Rent is the wrong yardstick
RM1,300 a month is about RM15,600 a year, under 1% of a RM1.75 million house, so a fixed deposit looks better. But landed homes earn through scarcity and price growth: at a conservative 3% a year, the same house gains about RM52,500, which should be added to the rent before comparing.
Sentiment has a cost
Unless you live in it, Sean sees a house as a tool, and this one has done its job of giving the next generation a head start. Keeping it for sentiment means paying to maintain an old house, and the question becomes real the day a large sum is needed.
Sell when you don't need the money
The best prices come when you aren't forced to sell. Need half a million urgently and the first low offer wins, which is how investors find their deals.
Without a goal, nothing moves
With no retirement plan, education fund or other target, there is no reason to act, so the status quo wins. Sean suggests setting goals with a timeline, such as funding his child's university, alongside valuing the house.
What to do
- Get a bank valuation on the house, then ask local agents what it would sell for.
- Check past transaction prices for similar houses nearby, so you don't sell for less than it's worth.
- Work out your retirement plan and an education fund for your child, with the sums and dates they need.
- If you sell, sell only above market value, then clear any housing loan and set aside the education fund.
- Discuss the decision with your spouse.
Editorial Note: Summarised from Sean Tan's full episode. The quoted answer is in his own words; the rest is our paraphrase. Figures reflect the recording date, so check current rates and rules before acting on them.
ASKING SEAN #305 | WHAT TO DO WITH AN INHERITED PROPERTY?
Sources & Verification Data
Summarised from Sean's full English captions for Asking Sean #305. The quoted answer is verbatim; everything else is paraphrased. The RM1.75 million value is Sean's working assumption, not a valuation. Figures are as stated in January 2026.
