Penang, Your Ideal Home for Malaysia My 2nd Home (MM2H) Program

Participants are allowed to purchase residential properties at the minimum prices of MYR 350,000.00 for certain areas in the state of Sarawak and minimum prices of MYR250, 000.00 for other states in Malaysia To encourage foreign investments in Malaysia, the Government of Malaysia has announced the waiver of the Real Property Gains Tax. Effective 1st April 2007, disposal of properties will not be subject to Real Property Gains Tax. Therefore, the participants no longer need to pay Real Property Gains Tax for any gains on the disposal of property.

Effective 1 July 2008, new applicants who have purchased and owned residential property which were bought at MYR1 million and above in Malaysia are eligible to apply for exemption from placing the full FD amount required of MM2H participants. They only have to comply with the basic financial requirement of FD or MYR60, 000.00. This amount may not be withdrawn until the participants decide to terminate their participation on MM2H program.

New applicants have to observe the following conditions:

1. The purchased residential property may be a fully-completed unit or one under construction. For any property purchased, applicants aged below 50 and those 50 and above must produce copies of payments made to developers, amounting to a minimum of MYR300, 000.00 or MYR150, 000.00 respectively, in place of the required Fixed Deposit under this program. This amount does not include legal fees, transfer fees, commissions and any other related payments.
2. The property must cost a minimum of MYR1 million OR
3. Several properties totaling MYR1 million and above can be accumulated for this exemption.
4. The exemption may be considered for residential property which was bought within 5 years of application to participate in MM2H program.

The following documents are required to be submitted to the financial exemption:

• Certified copy of Sale and Purchase Agreement
• Certified copy of Transfer of Ownership / Transfer of Deeds (if applicable)
• Proof of mortgage loan payment (if applicable)
• Proof of Quit Rent / Assessment Rate Bill payment (if applicable)
• Certified copy of title Deed / Land Title (if applicable)

The supporting documents must be submitted together with the new application to Malaysia My Second Home Centre.