I do wonder whether it’s the media (which did not do enough clarifications) or is it just the people (who just chose to ignore) when it comes to information dissemination. I guess it’s both then? Remember the RM600k threshold for foreigners announced by our Finance Minister which everyone has assumed that it’s for all unsold properties and for all states in Malaysia and not just Kuala Lumpur?
This is despite after clarifications that the states will be the ones deciding on the foreign property price threshold and this RM600,000 is NOT automatically the standard for Malaysia as a whole. Yes, earlier article here: Not a single unif of that RM600,000 in Selangor, yet Well, just have to show another proof then and hopefully more people will not be aware of this. As for what the foreigners think, actually I think they only know Kuala Lumpur but maybe not the word ‘Selangor.’
Article in themalaysianreserve.com Selangor’s 4,872 units of overhang properties may just find more foreign buyers because the state government has decided to lower the threshold of house prices for the foreigners. CCO & Associates (KL) Sdn Bhd ED Chan Wai Seen said, “The RM1.5 million threshold could attract foreigners because strata landed development is a niche market. Foreigners prefer looking for landed homes in a gated and guarded, proper townships.”
Selangor is among the top three states with high and increasing inventories in Malaysia. (If we look at just residential properties, the other two states with highest unsold units are Johor and Perak. Nope, NOT Kuala Lumpur…) Recently, Selangor Mentri Besar Datuk Seri Amirudin Shari said the state government has reduced the foreign ownership threshold for strata properties — including strata landed homes — to RM1.5 million from RM2 million previously, effective Jan 1, 2020. Earlier article here: KIt’s RM500,000 down, not now become RM500,000 As for the rest of the article including more statistics, please read it in themalaysianreserve.com (click here to read)
There are certainly some good advantages of Selangor properties versus Kuala Lumpur ones. For the same amount of money, it’s usually bigger in size, most probably will be a gated and guarded landed home and the buyers are not likely to be investors buying for rental income. (I mean these RM1.5 million homes). Tell these to the foreign buyers and some may actually prefer these points versus the advantages of Kuala Lumpur properties including closer to the city centre, lots of other expatriates around or even very close to some office towers. Happy promoting yeah and it’s RM1.5 million and not RM600,000. Just being long-winded a bit.
Next suggested article: Maybe even lower home loan and fixed deposit rates in 2020