Real Estate & Finance

Real Estate

The Malaysian real estate market is dynamic, offering Malaysian residents and foreigners a chance to own properties with the least amount of restrictions. The country is stable, which also ensures a stable property market. The extraordinary stability of residential property prices in Malaysia will provide that there never will be a sudden boom or price-collapse. As English is widely spoken, you will very possibly be able to process the purchase entirely in English, including English written agreements and contracts.

Housing Index in Malaysia averaged 3.90 percent from 1997 until 2015. According to the last data available, the Malaysian House Price Index increased by 5.3% in Q3 2016 relative to Q3 2015. For more information about Real estate data with most recent Malaysian House Price Index data provided by the Ministry of Finance Malaysia click here.

Banking

The currency in Malaysia is the Malaysian Ringgit (MYR). Bank accounts are not only confined to Malaysian residents, also foreigners can freely set up bank accounts in Malaysia. Without holding a residency permit, you need reference from either a Malaysian contact or the company you work at. Credit and debit cards are widely accepted in Malaysia, but it is more common to pay by cash. Banking hours are normally from 9.30am to 4.30pm on weekdays. Saturday from 9.30am to 11am.

The central bank in Malaysia is Bank Negara Malaysia, while local banks include Bank Islam Malaysia, Bank Muamalat Malaysia, CIMB Bank, Public Bank and RHB Bank.

Economy

Malaysia has a strong economic outlook. The country has been through a massive development, as of 2015, Malaysia has the third-largest economy in Southeast Asia. There was a Gross Domestic Product growth of 5%, which has made it one of the best performing economies in the region. The New Economic Model (NEM) is launched which aims for the country to reach high economic status by 2020 while ensuring that growth is also sustainable. Malaysians gross domestic product (GDP) is expected to raise even more in the upcoming years.

Malaysia is in many ways an ideal platform for expansion in Asia. An average return of 17 percent brings Malaysia at number 11 of the 20 economies with the highest profitability on foreign direct investment. Moreover, Malaysia is well located within the Asia Pacific and ASEAN, where real estate account for 25% of the global real estate.

Key Economic Indicators Malaysia

Notes: (e) Estimate, (f) Forecast Source: Ministry of Finance Malaysia (last adjusted 14 march 2017)

Wondering what the Economic outlook of 2017 will look like?

Political stability

The Malaysian government consist of the United Malaysian National Organization, the Malaysian Chinese Association and the Malaysian Indian Congress. UMNO (United Malays National Organization) has ruled this diverse constitutional monarchy since independence in 1957.  However, all the parties want to work towards a peaceful society.  Any actions by individuals who try to incite racial tensions are dealt with strongly.

The following table lists the political stability of the recent years, with -2.5 as weak and 2.5 as very stable. It focuses on Political Stability and Absence of Violence/Terrorism and measures perceptions of the likelihood of political instability and/or politically motivated violence, including terrorism.

Notes: (e) Estimate, (f) Forecast Source: Ministry of Finance Malaysia (last adjusted 14 march 2017)