Malaysia is known for her warm hospitality (and food) towards foreigners visiting Malaysia which makes this country one that expatriates and tourists choose to call their second-home. With the government encouraging them to either invest in Malaysian properties or to retire or live in Malaysia for a long time, buying a home seems like the next logical step. Some might say that getting a home in Malaysia as a foreigner is tricky because you need to abide by certain laws. But fret not, with the right knowledge on these regulations, the end-goal of owning a home in Malaysia will definitely be worth it. I mean, just think about the tasty food you’re going to get to eat all the time! So if you’re an expat who would love to call Malaysia your second-home, it’s time for you to read on.

You’ve Got Standards To Follow, Even In Malaysia

As a foreigner, there are not many restrictions that will hinder you from owning a property. In fact, property ownership for you is pretty liberal! After all, you can even own 100% of the property or any type of properties in Malaysia except for those under these minimum requirements:

• Properties valued less than RM1 million 
• Residential homes that are low and medium cost
• Properties that are on a Malay Reserved land
• Properties that are allocated for the Bumiputeras in any development

Other than that, you can easily own a condo, terrace, or even a bungalow! It doesn’t matter if it’s landed or high-rise, commercial, industrial, or agricultural. They are all open to you. However, state authorities have the power to amend the minimum value of the property that you want to purchase depending on the states that they control. Usually, the minimum value of any property that you want to buy must be RM1 million (most Malaysians don’t earn thaaaat much, so we really can’t afford a home of that price tag). But a program called Malaysia My Second Home (MM2H) was created for foreigners who are looking to stay in Malaysia for a long long time, like your 10-year visa. Much to the thrills of the government, quite a large number of foreigners who used to work in Malaysia applied for this program for their retirement! So the advantage that MM2H gives is to let foreigners purchase a property with a lower value. The chart below will show how much $$$ a home will cost with and without MM2H.

• 

Before applying for MM2H, there’s one thing that you need to do:

• Below 50 years old: Have a minimum of RM500,000 in either your Savings or Current Account, or Fixed Deposit
• Above 50 years old: Have at least RM350,000 in either similar accounts above

The finance margin for a loan for you can go up to 80% if you apply for MM2H. If you’re not part of MM2H, you would usually get a financing of 70%. For loan financing, it would be best to take loans from international banks in Malaysia. But if you’re married to a Malaysian citizen, your S/O will need to take a joint loan with you so that your loan financing can be as high as 90%, yay!

Though the criteria may seem a little stringent, Malaysia is a foreigner-friendly country whose cost of living is still pretty reasonable (debatable in certain circumstances but you get what I mean). But being a multi-racial country sure has its perks! From being able to experience the different cultures and celebrations, the forever summer weather, and delicious food, you’ll definitely enjoy the interesting life in this country.