Can foreigners buy property in Malaysia? Learn more about how to buy in Penang, Selangor and more

Can foreigners buy property in Malaysia?
Yes. Foreigners can buy property in Malaysia, subject to certain restrictions.

Generally, foreigners are able to buy property in Malaysia aside from:

Developments on Malay reserved land
Low- and medium-cost affordable units
Properties allocated to Bumiputera groups
The laws relating to buying property in Malaysia are largely captured in the National Land Code of 19652 and state that foreign individuals and companies can acquire properties and land with the approval of the state authority. In practice this means that aside from some out of bounds locations, different states allow the purchase of property by foreigners, but with limits in terms of the value of properties which can be bought and sold.

The fact that some of the decisions about and ownership are devolved to a state level also means that there may be different fees or taxes when buying a property in Malaysia as a foreigner, depending on where the property is situated.

Can permanent residents buy property in Malaysia?
Malaysian permanent residents can buy a property in Malaysia - but they’re subject to the same rules as foreigners. In practice, the process, property value limits and restrictions are not any different from those which apply to non-PRs.

How to buy property in Malaysia?
You can buy property in Malaysia subject to a few key rules, as we've seen. The process is fairly straightforward, but it’s a good idea to get some local advice on board early on to make sure you're completely clear on the requirements. Navigating any real estate purchase can be pretty tricky - not least if it’s in a different country.

We’ve already seen that some requirements relating to buying a property in Malaysia as a foreigner are devolved to the state to decide. This can include taxes, fees and - importantly - the value of homes available for foreign residents. This guide walks through some of the roles for a foreigner to buy a house in Malaysia in different places. Bear in mind that different limits and requirements may be in place if you’re looking to buy a place in Malaysia as part of an MM2H visa application. In this case, the chances are that you’ll be required to invest more in a property to back your visa application.

Information in this guide has been taken from various online sources including popular real estate sites like PropertyGuru3. Before you decide to buy a property in Malaysia you’ll need to do your own research, and engage a local professional to advise you on the rules, requirements, and processes in place in the Malaysian state you’re planning on buying in.

Foreigners buy property: In Penang
Minimum purchase price: Landed properties 750,000 MYR - 1.8 million depending on location
Minimum MM2H purchase price: 1 million MYR
Average cost per square metre in the city: 10,335 MYR⁴
The minimum purchase costs for foreigners to buy property in Penang depends on whether you’re buying a landed property or something more like a high rise condo, and whether you’re on the mainland or island. Generally, the minimum requirements are less for condos compared to landed developments, and the requirement on the mainland is about half of that if you prefer to live on Penang island.

Foreigners buy property: In Selangor
Minimum purchase price: 2 million MYR
Minimum MM2H purchase price: 1 or 2 million MYR depending on the location
Average cost per square metre in the city: 10,535 MYR⁵
For foreigners to buy property in Selangor they’ll need to stick to landed properties with landed strata titles. As a foreigner or PR you’re also not allowed to bid on properties at auction, or own agricultural land in Selangor.

Foreigners buy property: In Kuala Lumpur (KL)
Minimum purchase price: 1 million MYR
Minimum MM2H purchase price: 1 million MYR
Average cost per square metre in the city: 12,804 MYR⁶
You may be surprised to see that the limits on buying property in the capital, KL, are not higher than in many other places - coming in at 1 million MYR. However, this might be a moot point, as Kuala Lumpur has some of the most expensive real estate in the country, with average prices per square metre higher than in many other locations.

🏠 If you're a Singaporean looking to buy property in Malaysia, check out our essential guide everything you need to know before making your purchase

Foreigners buy property: In Johor
Minimum purchase price: 1 to 2 million MYR depending on location
Minimum MM2H purchase price: 1 million MYR
Average cost per square metre in the city: 7,549 MYR⁷
The minimum purchase price to buy property in Johor as a foreigner depends on the type and location of the place you’re interested in. Broadly speaking you’ll lay out at least 2 million ringgit if you want a landed property in a designated international zone, with minimums of 1 million MYR on most high-rise or strata title properties outside of the international zones.

Foreigners buy property: In Sarawak
Minimum purchase price: 500,000 MYR to 600,000 MYR depending on location
Minimum MM2H purchase price: 500,000 MYR to 600,000 MYR depending on location
Average cost per square metre in the city: 4,876 MYR⁸
For foreigners to buy property in Sarawak the minimum price payable will depend on whether you want to buy in Kuching or elsewhere. In Kuching the minimum price - and the minimum MM2H price - is 600,000 MYR, whereas you’ll knock that down to 500,000 MYR if you’re able to look in different locations in the state.