The potential of investing in Malaysia is reflected in its stable economic growth, excellent geographical location and gradually upgraded infrastructure. Cities such as Kuala Lumpur have high rental return potential, and the Malaysian government actively promotes policies to attract foreign investment, such as the Second Home Program (MM2H), making the country an ideal investment hotspot in Southeast Asia. In addition, there are few natural disasters, no earthquakes and typhoons, stable climate throughout the four seasons, and the living standards in big cities are similar to those in Taipei, providing a high-quality living environment, which has attracted a large number of international investors and residents. In addition, Malaysia is very diverse in terms of language and culture, and Chinese is popular in the local area. This is a major advantage for investors from Taiwan or other Chinese regions, and it is easier to integrate into the local living and business environment. In the Danyolk District of Kuala Lumpur, the housing price is only one-fourth of that in Taipei, allowing investors to enter the market with huge potential at a lower cost and enjoy the potential for high rental returns.

• Minimum price requirement : Foreigners purchasing properties in Malaysia must meet the minimum price requirements set by each state, and the minimum limit in Kuala Lumpur is RM1 million (approximately NT$7 million).

• Restrictions on where to buy property : Foreigners are unable to purchase property in certain areas, especially low-income or government-subsidized housing. Property purchase locations are usually concentrated in major cities or business districts.

• Loan conditions : Foreigners are usually unable to obtain full loans from local banks, and most banks will provide loans of up to 50%.

• MM2H Program : Malaysia’s Second Home Program (MM2H) provides eligible foreigners with a long-term residence visa, enabling them to purchase property and reside locally.

Yes. Foreigners can open a bank account after buying a property in Malaysia, but only in selected banks. When opening an account, you need to provide a signed sales contract as application material.

There are three main taxes and fees associated with buying a property in Malaysia:

1. Stamp duty : Stamp duty is payable when purchasing a property. For foreigners, the tax rate is 4% and is levied based on the contract value of the property.

2. Real Property Gains Tax : If a property makes capital gains when it is sold, a 30% tax rate will be paid within the first five years of the sale ; from the sixth year onwards , the tax rate will be reduced to 10% .

3. Property Tax (Quit Rent) : A land tax payable annually, the amount depends on the size and value of the property, usually ranging from RM300 to RM5,000 , and is levied by the local government.

According to current Malaysian laws, there is no estate duty in Malaysia. The estate duty has been abolished in 2018, so there is no need to pay additional estate duty for inheritance after purchasing a house.

No. Foreigners can purchase properties in Malaysia that meet the minimum home purchase threshold without applying for a visa or the MM2H program. However, if you wish to stay longer or enjoy more conveniences, such as long-term visas or tax benefits, you may consider applying for MM2H.