For legal purposes, Singaporeans are classified as “Foreigners” in Malaysia. This means your purchases are subject to state-level restrictions aimed at maintaining local housing affordability.
1. Property Purchase Thresholds
You cannot purchase property below a certain value. These “price floors” vary by property type:
| Property Type | Minimum Purchase Price | Notes |
| Strata Title (Condos/Apartments) | RM 1,000,000+ | The standard entry for most investors. |
| Landed Property | RM 2,000,000+ | Must be located within “International Zones.” |
| Medini (Iskandar Puteri) | No Minimum | A special economic zone; popular for lower entry points. |
2. Strict Ownership Restrictions
Certain land categories are strictly off-limits to foreigners, regardless of the price:
- Malay Reserved Land: Exclusively for Malay citizens.
- Bumiputera Lots: Allocated for ethnic Malays/indigenous groups (rarely released to foreigners without high fees and state approval).
- Agricultural Land: Generally restricted (unless approved for large-scale industrial use).
- Low/Medium Cost Housing: Reserved for lower-income Malaysian citizens.
3. Updated Tax & Fee Structure (2025/2026)
Be prepared for higher entry costs due to recent legislative updates:
- Foreigner Levy (State Consent Fee): Now 3% of the purchase price (minimum RM 30,000).
- Stamp Duty: Typically a flat 4% on the Instrument of Transfer for foreigners.
- MOT Fees: Restructured registration fees that add several thousand RM to closing costs based on valuation.
4. Critical Ownership Rules
- Freehold vs. Leasehold: Foreigners can own freehold land indefinitely in Malaysia. However, many new Johor developments are 99-year leaseholds.
- Singapore HDB MOP: You must complete your 5-year Minimum Occupation Period (MOP) in Singapore before you are legally allowed to acquire residential property abroad.