Why Should You Invest in Malaysia Properties

There are many reasons pertaining to why Malaysia has the ability to offer a great investment climate for property purchasers, both foreigners and locals alike. With favourable economic, political and cultural environment, Malaysia offers much promise in low risk, high-return long-term investment value.

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  1. Pro-Business

As the laws in Malaysia are in favour of business and investment, foreigners are very much welcomed to start business and buying properties in their own name, in which might be impossible in most South East Asian countries. With successful pro-business policies, investors are supported by tax incentives and a well-developed financial sector.

  1. Malaysia My Second Home

As mentioned above, you can buy almost any kind of property freehold, therefore owners will have the right of permanent use of the land, compared to China’s 50 to 70 years ownership. Initiated, organised and launched by the Malaysian Government, you are entitled to the MM2H residency visa once you purchase a property at a minimum price above RM 1,000,000. There are also substantial incentives being offered under this programme such as the removal of capital gains tax on properties owned for more than 5 years.

  1. High Rental Yields

High rental returns can be obtained, with some up to 10% and more.

  1. Economic Resilience

Malaysia has huge potential in becoming an entrepreneurial, innovation-driven and knowledge-based economy country, owing to its strategic location, good infrastructure, skilled labour, political stability and relatively low cost structure. This also leads Malaysia to being a competitive investment climate.

  1. Financing

Investors have several financing options to choose from, from traditional mortgage solutions offered by local and western banks to the Islamic banks mortgage solutions.

Investing In Luxury Properties

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The prospective market for luxury real estate is now a larger market, all thanks to the growing total global wealth. Luxury properties have been emerging one after another in Malaysia, especially so in Iskandar Malaysia region. So what makes luxury property a good investment?

  1. Distinctive Living Experience

The drawing aspect of luxury properties has to be the bespoke qualities that are superior, exclusive and unique. This extraordinary luxury lifestyle will grant you the opportunity to live your life at its finest.

  1. Long-term Value

With intensely desirable amenities and services such as absolute privacy and security, efficient traffic system, unhindered views, spacious living spaces, landscaped gardens and custom home designs, these luxury properties do not depreciate easily. A higher selling rate can also be obtained and hence make them worthwhile investments.

  1. High Rental Yields

Supplementary income can be earned from this luxury real estate investment through renting out the premise. People today want the best of both worlds, not having to pay off mortgage, yet still be able to enjoy the extravagance and lavishness that luxury properties offer.

To Buy or To Rent

There will come a time in your adult life when you will have to make one of your biggest financial decisions. That is, to buy a home or to rent one. There are many variables to consider when it comes to choosing between buying a home and renting one. Be it owning a home or renting a place, each has its own advantages as well as disadvantages associated with them. While having a permanent roof over your head is definitely a good idea, mortgage financing has since become difficult especially with today’s home prices. On the other hand, renting a home allows you the freedom to uproot easily should the neighbourhood is not as desired.

We have put together some factors for you to consider for both buying and renting options, breaking down the pros and cons for each option.

Top 5 considerations for buying 1st property

Rent

  • PROS
  1. Low Level of Commitment

Renting gives you the flexibility of changing your living space and environment every now and then. You can move any time, before or after your lease expires, with the former option requiring the forfeit of your deposit.

  1. Low Maintenance

Renting a home is certainly a cheaper choice, more so if you are sharing the rental with other people. Besides, property taxes and maintenance fees will be the least of your worries as it is your landlord’s responsibility, not yours.

  1. Lower cost upfront

Tenants usually pay a security deposit of two to three months’ gross rental and another half a month of rent as utility deposit. Rent is usually paid one month in advance.

 

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  • CONS
  1. Limited Décor Flexibility

Landlords usually limit the extent to which cosmetic alterations can be done to your rental home. Landlords generally try to refrain from doing extra work into making the rental home rentable again as most turnover rate of new tenants is high.

  1. No Equity

Your rental home only provides you with a place to live hence you do not get to build equity. Your monthly rent payments are not an equitable long-term investment and thus will not provide you with an asset to sell when you are ready to move.

  1. Instability

Rental home is for you to stay on a temporary basis only and the landlord has the capacity to remove you with a 30-day notice, should he intend to sell or take back the house.

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Buy

  • PROS
  1. Pride of Ownership

Perceived as the number one reason why everyone aspires to own a home, home ownership provides you and your family a sense of stability and security. It is an achievement after all. Additionally, as opposed to rental homes, you are allowed to do anything you deem fit to your home.

  1. Potential Appreciation

Although largely unpredictable, real estate has consistently appreciated over the years. Therefore owning a home is like making an investment in your future.

  1. Gain Privacy

You are the owner of your home, so no owners will come knocking on your door to check on you and the house. Thus you have nothing to worry about with your newfound independence in your own property.

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  • CONS
  1. Hefty Down Payment

One of the first steps to owning a home is to pay a substantial amount of down payment, which is at least 10% in cash.

  1. Less Mobility

As a homeowner, you will most probably need to sell your current home first before being able to buy a new one, which subsequently results in a longer delay in moving homes or environment.

  1. High Maintenance

You will be responsible for all the upkeep of your home, in which maintenance works might include inexpensive repairs to costly repairs.

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How To Find A Good Property Negotiator

 

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Choosing and buying the right property as well as selling your own property have never been an easy task, especially if you are doing so without engaging in any form of help. The process of buying and selling properties is not only time-consuming but also requires lots of your energy as many of the tasks that a property negotiator would usually do for you, will require your own effort in order to be done. Buying and selling without a negotiator might pose as a challenge for many, which is exactly why you need a property negotiator, particularly a good one.

When it comes to choosing property negotiators, here are a few things to keep in mind:

  1. He/She Must Have Your Best Interests At Heart

The property negotiator must have your best interests in mind, above all, instead of trying to hastily close the deal. This ensures not only the property negotiator’s good reputation, but also encourages repeat buyers and recommendations.

 

  1. He/She Must Have Closed Many Properties’ Deals

The property negotiator must have had worked for at least a few years, preferably full time. More closings are equivalent to more experiences.

 

  1. He/She Must Be Online

Property negotiators in today’s digital landscape must be internet savvy for most buyers tend to search for properties online first. Therefore, agents today must be skilled in email, text as well as be available online to both buyers and sellers.

 

  1. He/She Must Be Knowledgeable

In order to find out whether or not the property negotiator you are about to engage is a seasoned one, remember to ask questions about real estate in which you might have probably learned beforehand. They should be experienced in their field so as to guide you through the complexities of the buying and selling process.

 

  1. He/She Must Be Able To Communicate Clearly

Communication is undoubtedly vital in any relationship, especially so when you are considering to buy or sell properties in which involve a lot of money. Hence, make sure your property negotiator is fully aware of your requirements.

 

We are here to hear, to understand and to keep everything simple for you. Best of all, we fit all of the requirements listed above. Contact us today for a non-obligation discussion!

☼ http://www.iskandar-propertyagent.com/
☼ zhenzhen.property@gmail.com
☼ +60 19 718 7004

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