Malaysia is becoming a popular choice in the world of real estate, especially for people from other countries, thanks to its great value for money.
With the gap in interest rates between the US and other countries, this is an opportune time for foreigners to invest in Malaysian real estate, especially through the MM2H program.
Read on to find out why!
| Invest in Malaysian real estate now! |
Updates on the Malaysian Currency
According to a report by Bloomberg, the Malaysian ringgit dropped as much as 0.5% to 4.7703 per dollar as of October 19, 2023, the lowest it has been for 25 years.
What caused this drop in the Malaysian currency?
1. Widening rate differential with the US
The Malaysian ringgit has been weighed down by a widening rate differential with the US.
2. Decline in exports
The Southeast Asian country also posted seven straight months of decline in exports through September, partly due to a slowdown in China, its largest trading partner.
3. Bank Negara Malaysia’s decision to pause interest-rate hikes
Bank Negara Malaysia’s decision to pause interest-rate hikes at 3% since July is also adding headwinds for the currency.
Why Malaysia’s Currency Value Matters
The strength of a country’s currency plays a pivotal role in attracting foreign investments.
A lower currency value, while it may seem like a disadvantage from a nationalistic viewpoint, can be a boon for foreign investors.
Here’s why:
1. More value for your money
Simply put, a foreigner with US dollars, British pounds, or Australian dollars will find that their money goes much further in Malaysia than in their home country.
This means larger properties, better locations, and more amenities for the same amount of money.
2. Increased purchasing power
With the current exchange rate, foreigners can enjoy a significant purchasing power advantage.
This allows them to explore premium property segments in Malaysia, which might be out of reach in their home countries.
3. Potential for higher returns
Given the lower entry point due to the favorable currency exchange, the potential ROI when the property is sold or rented out can be considerably higher.
Why Invest in Malaysian Real Estate?
While the attractive currency value is a significant draw, Malaysia’s real estate market offers more than just cost benefits:
1. Strategic location
Nestled in the heart of Southeast Asia, Malaysia is a gateway to the ASEAN market, making it a strategic location for business and leisure.
2. Robust infrastructure
Malaysia boasts world-class infrastructure, from highways to public transport, making commuting and connectivity seamless.
3. Cultural diversity
The rich culture in Malaysia offers a unique living experience, blending traditions, cuisines, and festivals from Malay, Chinese, Indian, and indigenous communities.
MM2H Program For Foreign Investors
Good news for foreign investors!
The MM2H program offers extended visas to individuals from countries recognized by Malaysia, irrespective of race, religion, gender, or age.
Are you eligible for MM2H?
Here are the specific eligibility requirements:
- Applicants are categorized by age. Those aged between 35 to 49 years and those aged 50 and above.
- Applicants must stay in Malaysia for a combined total of at least 90 days annually.
- A minimum offshore income of RM40,000 monthly is required.
- A fixed deposit of RM1 million must be maintained, with up to 50% withdrawal allowed for specific needs like property acquisition, medical expenses, and education.
- An extra RM50,000 is needed in the fixed deposit for each dependent.
- Applicants should demonstrate liquid assets amounting to at least RM1.5 million.
- An annual pass fee of RM500 is applicable.
- A processing fee of RM5,000 is charged for the main applicant, plus RM2,500 for each dependent.
It’s worth noting that depending on individual situations, additional documents might be necessary.
With the recent Budget 2024 announcement, the requirements for MM2H are said to be more relaxed, making it easier for foreigners to invest in Malaysian property.
Watch this space for latest updates on MM2H!
Some properties that you can purchase:
1. MET 1 Residences @ KL Metropolis
Location: Jalan Sultan Haji Ahmad Shah, Kompleks Kerajaan, Kuala Lumpur.
Learn more here.
2. Damansara Seresta
Location: Jalan PJU 9, Persiaran Meranti, Bandar Sri Damansara, Kuala Lumpur.
Learn more here.
3. AmanAra Residences
Location: Kampung Sungai Kayu Ara, Petaling Jaya, Selangor.
Learn more here.
Want to continue browsing? Find great properties for your investment in Malaysia here!
A Golden Opportunity for Foreign Property Investors
For foreigners eyeing the Malaysian property market, now’s the time!
The combination of a favorable exchange rate and the inherent strengths of the Malaysian real estate sector presents a golden opportunity.
However, like any investment, it’s crucial to conduct thorough research. Engage with local real estate experts, understand the property laws for foreigners, and explore various locations to find the perfect fit.
This is your chance to expand your global investment portfolio! Find out more about how to invest in Malaysian property from our trusted team of real estate professionals. Drop your details below!
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