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Malaysia - Property Options and Types
Property developers are snapping up land to build homes on. If you’re purchasing from a developer then you need to ensure they have a valid developer’s license. It’s advisable to be vigilant with developers as to where they are in the chain. For example, if they have taken out a loan to pay for the development and they’re not in danger of default. Developers in Malaysia have to have a Sales & Advertising license.
Timeshare is available in Malaysia. There are various schemes available and if the timeshare is transferrable and the scheme has other timeshares in other countries then they are transferable. Timeshare schemes are covered under the Resort Industry and the process is slightly different from that of property buying.
Malaysia has apartment complexes in every major city. This is a very popular choice for foreign investors. These complexes usually have a number of extras such as a pool, a gym and shops. Also known as condominiums, these complexes are sold on a leasehold basis and the developer will own the building. Foreign investors are keen on buying apartments as this seemingly is the quickest way of purchasing a property. Rental returns are positive with this type of purchase as the complexes are primarily in major cities where rents are higher. Apartments are hot property and highly popular.
Malaysia has lovely rural areas which have semi-detached homes and these are ideal for families and a popular choice for those who want the convenience of the city yet want to be in a community. As with most semi-detached homes, each home is a mirror version of each other. There is room for car-parking and they usually come with a garage, which is a plus with a family to use for extra storage space.
Terraced properties in Malaysia are usually rows of ten to twelve houses linked together. These are often found in districts outside cities and are popular with those who want a community feel to their lives. Terraced properties are a popular choice for foreign investors with the incoming families who are immigrating to Malaysia with their families.
Detached houses or “stand alone” houses are more often than not bungalows and again, these are popular with families. Bungalows stand in their own land which is open all around it. These are found in more rural areas in communities and are a popular choice for families.
If you’re looking to build on land then Malaysia is a great place to purchase land. There are restrictions on Malay Reserve Land in that no foreign investor is allowed to purchase Malay Reserve Land. Land that is available for sale is either freehold or leasehold. There is also land available to purchase and build within communities and this is an increasingly popular choice for foreign investors. Within communities, there are gated holdings whereby community development is growing. Malaysia is a land-buyer’s paradise. There is no shortage of land.
Malaysia has a large number of studio apartments available and these are a popular choice in cities for young professionals as the rent is a little cheaper than apartments. Because of Malaysia’s price threshold on purchasing apartments, studio apartments are purchased together. For example, a purchaser might buy two or three in the same block to rent out. This is a popular choice for many investors due to the rental market and they are often found in cities.
There are other choices and it’s a matter of individual taste and what it is you’re looking for. For those who are looking to yield a return on your investment then major cities such as Kuala Lumpur and Penang are ideal choices. Rents are higher here and with the influx of immigrants due to more services being provided, the income possibilities are high.
Malaysia welcomes foreign property purchasers and while the process of buying property is liberal, it is lengthy and it is advisable to seek the advice of an international property lawyer.