Being an attractive hub for the property market, any foreigners undeniably can buy property in Malaysia. It is, moreover, one of the only countries where foreigners can own lands.
In this regard, Singaporeans tend to take most of the benefits have shown their utmost interest in Malaysia’s real estate sector.
Compared to its neighbours, it is fairly easy to travel from Singapore to Malaysia, whether by road or air travel.
A multitude of busses departs from the country for the destination of Kuala Lumpur. Basically, Malaysia's distance to Singapore is 377 kilometres (air travel distance is equal to 234 miles).
Many of the latter’s citizens cross the Causeway each week, making them top the list of Malaysia's tourist arrivals in recent reports. They take advantage of the stronger Singapore dollar. Geographical distance alongside Malaysia’s reputation in the property market has successfully got undivided attention from Singaporeans.
Malaysia is considered amongst the world’s best five countries to retire according to the Global Retirement Index for 2018, an annual survey by International Living. Besides emphasizing more foreign investments, they always try to give special opportunities, including owning freehold properties, staying in possession of the property for 99 years, and more, to the investors from outside.
Besides, the nation stays on the list of the Global Peace Index. It has recently ranked 16th in the 2018 Global Peace Index. It is the second most peaceful country in Asia after Singapore, making the Singaporeans choose it as the topmost option for investing in houses.
Although there are some limitations, Malaysia is still very forward-looking when reducing restrictions to foreign investors. A program called Malaysia My Second Home (MM2H) Program removes most of the barriers for foreigners.
Also, this program allows permitted foreigners to lawfully reside in the country through a multiple-entry Social Visit Pass. The validation of the pass is 10 years with the chance to renew it.
Malaysia provides various options for financing a foreign national’s new property. In Malaysia-based banks, the loan-to-value ratio for foreigners is capped at 70%, and it can go up to 80% for MM2H holders. Furthermore, Singapore-based banks also proffer financing for Malaysian properties. The Singapore Interbank Offered Rate (SIBOR) offers a fixed rate ranging from 3.6% to 4.1%.
Hence, if you plan to be based in Malaysia, you might prefer to borrow in ringgit instead.
Therefore, choosing Malaysia to invest in, Singaporeans can buy more properties in less money without worrying about getting funding. A broad range of credit products makes it happen, from traditional housing loans to Islamic mortgages provided by the local banks and international financial institutions.
In addition, Malaysia declared the ceiling price for foreign property buyers reduced from RM1 million to RM600,000 in the recent Budget 2020 announcement. Hence, adding further value to make this country a more popular hub for foreign property investment. So Singaporeans, what are you waiting for? Grab the opportunity and enjoy!
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