Buying property in Malaysia as foreigner

Hey, you my global citizen friend!

Happy October 2023 month!

Are you a foreigner who dreams of buying property in Malaysia? 

Do you want to enjoy the awesome food, the amazing city lights, and the warm and welcoming people? Well, you're in luck, because Malaysia is one of the most favoured property markets in Southeast Asia, and it's not that hard to buy a house here as an outsider. But before you pack your bags and hop on a plane (or may already be hopping in and out Malaysia as working professionals), there are some things you need to know. Here are some essential tips for buying property in Malaysia as a foreigner in 2023.

Property Price 

Check the minimum price threshold for foreigners. Depending on which state you want to buy property in, there is a minimum price that you have to pay as a foreigner. This is to prevent foreigners from snapping up all the cheap and affordable properties that are meant for locals. The exact number varies by area, but it's between MYR1,000,000 (approximately USD235,000) to MYR2,000,000. That's still cheaper than buying a closet in New York or London, right?

Type of property to buy

Know what types of properties you can and cannot buy. In principle, foreigners can own any type of property (residential unit – both landed and highrise, commercial property and land, industrial property and land). However, there are three types of properties that foreigners are not eligible to purchase: properties built on Malay Reserved land, low and medium-cost residential units as defined by the state authorities, and properties distributed to Bumiputera interest in any development project. Foreigners are also not allowed to purchase agricultural land, unless they get consent from the relevant state authority. So, if you're looking for a farm or a hut in the jungle, you might be out of luck.

Malaysia My Second Home & Premium Visa Programme

Consider applying for MM2H (MM2H) or PVIP (PVIP FAQ) programmes. Malaysia offers two special programmes for foreigners who want to live or retire in Malaysia: Malaysia My Second Home (MM2H) and Premium Visa Programme (PVIP). These programmes offer various benefits and incentives for foreigners, such as long-term visas, tax exemptions, lower minimum price thresholds for property purchase, and more. However, they also have certain requirements and conditions that you have to meet, such as financial proof, medical insurance, fixed deposits, etc. You can check out the details of these programmes on their official websites.

Get a reliable lawyer and property agent

Hire a reliable lawyer and property agent. Buying property in Malaysia involves a lot of paperwork and legal procedures. You don't want to mess up anything or get scammed by unscrupulous sellers or intermediaries. That's why it's important to hire a reliable lawyer and property agent who can guide you through the process and protect your interests. They can help you with things like checking the title deed, drafting the sale and purchase agreement, applying for state consent, paying the stamp duty and taxes, etc.

Buying property in Malaysia as a foreigner is not as daunting as it sounds. As long as you do your research, follow the rules, and get professional help, you should be able to find your dream home in this beautiful country. And once you do, you can enjoy all the perks of living in Malaysia: the culture, the nature, the people, and of course, the food!

Have fun hunting for the property and enjoy the process!

Signing off for now, 

Ashlin REN01427