With Foreigner-friendly and affordable properties, Malaysia is an ideal second home for foreigners.
Now that you know why investing in a property in Malaysia is a great choice, the next question you probably want to ask is how. Although overseas property investment might sound a little daunting at first, it’s not really that complicated. Let Yazhou Property help you open the door to your next Asian property investment.
Here’s a walkthrough on how to buy a property in Malaysia.
Step 1: Do Your Research
Because property investment involves a lot of money and entails a lot of responsibilities, you want to make sure that you’ll be satisfied with what you’re going to settle for. Do a personal research by simply asking fellow investors, homebuyers, and experts from some tips and advices. Ask them what the average prices are so you have an idea on how much you’ll need to save. Ten percent of the property’s price is required as down payment so you have to be ready.
Part of the initial preparations should be to determine the Malaysia property you want. Do you want a condominium or a bungalow? Because buying property in Malaysia is not as strict as in Singapore, foreigners can get almost any type of residential property. Foreigners can even purchase up to two residential properties with a minimum value of MYR 1 million (US$250,250). It can be two condominiums or one condominium and one of the following:
Terrace or linked houses above two floors limited to 10% of the total number of units built of this type
Lands/bungalows and semi-detached houses, but limited to 10% of units built of these type
Step 2: Hire a Property Agent and/or a Real Estate Lawyer
To start off with the process, you need to have someone in the business to assist you. Property agents can help you find what you’re looking for with the budget you have. Do not be afraid to tell them exactly what you want: the home type, preferred locations, unit size, etc. They can also give you legal and financial advices. Real estate lawyers, on the other hand will help you with the legal matters such as the signing of contracts and agreements.
Step 3: Make the Offer
So you’ve found it! Now that you’ve selected the property you want, the next thing you need is to make an offer. Upon signing the Letter of Offer/Acceptance, a 2 to 3% deposit is expected from you. Within 14 days after, a Sale and Purchase Agreement must be signed along with another 7% deposit. You must also be ready for additional costs such as legal fees, 6% government service tax, stamp duty, etc.
Foreigners can get any type or residential properties in Malaysia.
Once all the paper works have been settled by the lawyer, you can ask for your keys and move in! Feel right at home with your new property in Malaysia! If you need renovations, you can arrange a meeting with the contractor and interior designers to work on your renovation plans.
Let Yazhou Property help you if you’re interested in more Asia properties and tips on international property investment. Explore our website to know more.