Minimum threshold of property acquisition by foreigners raised to RM1mil

KUALA LUMPUR: The minimum threshold for property acquisition by foreign interests has been raised to RM1mil per unit from RM500,000 effective tomorrow, the Economic Planning Unit (EPU) in the Prime Minister's Department said.

In states other than the Federal Territory of Kuala Lumpur, Putrajaya and Labuan, the actual enforcement date was subject to the respective state authority, the EPU said in a statement.

The unit said the government took this measure to stabilise domestic property prices from excessive speculation and to enable local interests to acquire quality properties valued at less than RM1 million per unit, especially residential units.

The Guidelines on the Acquisition of Properties issued by the EPU was first enforced on June 30, 2009 to replace the Foreign Investment Committee Guidelines, which have been abolished.

The guidelines were to control property ownership by foreign interests in Malaysia.

One of the conditions under the guidelines is the minimum threshold for acquisition of residential and commercial units, industrial and agricultural land by foreigners. - Bernama