The Benefits of Investing in Property in Malaysia
Malaysia is famous with many investors especially those who have been looking at the Asia-Pacific region for a while. It is still somewhat of a hidden gem, however, and it might be intimidating for some people who have preconceived ideas about buying property in the region. But Malaysia has tons of benefits for investors who want to either buy or sell property, develop, or rent. Here are a few reasons why you should consider investing in Malaysian real estate.
Proximity to Singapore
One of the main reasons why the prospects are so bright for Malaysia real estate is its proximity to bustling Singapore. Singapore, unfortunately, has some of the highest real estate prices in the world, but that’s good news for anyone who has property near the border. Various developments cater to Singaporean expats who want easy access to the island without the exorbitant costs of living. This presents tons of opportunities to savvy investors.
The Large Inventory
This is another advantage Malaysia has over Singapore. Many of the top cities in the country will have roughly the same amenities, but there are so many more regions to choose from and sub-markets within these regions. If you’re looking for a house for sale, or rumah untuk dijual, there are sites like Property Guru that will help. They have hundreds of thousands of listings for properties in the country and they allow you to personalize your settings down to the last detail. It’s also a great resource for people who want to learn the ins and outs of investing in real estate in the country.
The One Belt One Road Initiative
Malaysia will be one of the stops on the Chinese OBOR project. It will be part of the ‘maritime silk road’ part of the project, to be specific. This will create all sorts of opportunities for sectors like trade, tourism, transportation, and industrial development which will translate to more jobs for Malaysians and workers from abroad.
This means that you should start looking at the areas that will be directly affected and where people are concentrating. Malaysia is also a prime destination for cash-intensive, knowledge-based, and high tech industries which will boost demand for both commercial and residential real estate.
Infrastructure
Many factors make Malaysia a popular destination for investors from abroad. One of them is the ever-growing and impressive infrastructure. The major cities in the country all have great public transit systems that can get passengers virtually anywhere fast and reliably. The state of high-speed internet is also great with free Wi-Fi hotspots peppered all around major and even smaller cities.
The government also wants 50% of all travelers in the city to get around using public transit, and they have been investing lots of money in better, faster rail. This is all good news for investors. Having Kuala Lumpur being so connected with Singapore means that the gap between the two area’s real estate prices will sink as more Singaporean money and citizens start pouring in. Prices will also be pushed by foreign investors and speculators.
The Great Kuala Lumpur Plan
We cannot forget the Great Kuala Lumpur plan that aims at making the capital a world-class city. While some of the objectives have been reached, the government is still working hard to keep the city at the top of the economic growth rankings for the next few years. The city also ranks at the top or near the top of most livable cities in Southeast Asia and the top 100 most livable cities in the world.
The Large Expat Community
Malaysia is also a favourite destination for ex-pats, which makes it perfect if you want to make money from the rental property. The country attracts many who would like to have access to the Asia-Pacific market, but still want the convenience and top-level infrastructure the country offers. Since Singapore is much more expensive and not as expat-friendly in certain aspects, Malaysia becomes the best option.
One of the things that make Malaysia so attractive to foreign renters and investors is the fewer hurdles they have to jump over to get to property. While there are restrictions and red tape, it’s generally easier for foreigners to buy and rent property here than in Singapore, and there are fewer fees as well. The government isn’t as involved in urban development either.
Expats can also feel right at home thanks to all the shopping, dining, and entertainment options. If you’re looking for popular hubs for ex-pats, we suggest you look at areas such as Penang, Langkawi, and Malacca, in addition to the capital, of course.
These are just some of the reasons why investing in Malaysian real estate could be a great decision. It’ll allow you to diversify your portfolio, get exposure to new markets, and bank on the country’s growing economy.