According to buyer inquiry trends from Juwai.com, a Chinese international real estate portal, there has been a steady increase in demand from Hong Kong-based buyers wanting to invest in property in Malaysia even as demand from China remains strong.
Juwai.com Executive Chairman Georg Chmiel said: “Malaysia was already the number-one destination for buyers from Hong Kong in 2018. With the Malaysia My Second Home Program (MM2H), affordable standard of living, high quality of life, medical facilities and accessible educational institutions, Malaysia is especially appealing to those who wish to leave Hong Kong. Our team is fielding more inquiries from Hong Kong buyers looking at Malaysia.
“Hong Kongers are a wealthy group of buyers eager to seek out opportunities across Asia as they have for decades. However, the delay in approvals on the scheme could create a hindrance in applications.”
He added that while the MM2H is a great program, the delay in clearing the visa applications and the lack of information on when the new applications would be approved are needs to be significantly improved.
“We hope that with the upcoming Budget 2020, set to be announced in October, the government will look into reviewing the scheme to make it more appealing so that it can contribute to Malaysia’s international image and its future economic growth.”
“The surge in buyers from Hong Kong shows Malaysia’s great appeal. Buyers from Greater China can support the Malaysian property sector and all the jobs that depend on it.
“Malaysia is a great investment destination, yet fewer than 3 per cent of Malaysian properties are owned by foreign buyers. There is great potential to lure more investors and residents to grow the economy and ease the current glut in the property sector,” he added.
“Official Hong Kong government data shows that the number of locals seeking police checks has surged by 48%,” said Chmiel. “These ‘good citizenship’ documents certifying that they do not have a criminal record are crucial to enable them to apply for the Malaysia My Second Home Program and other foreign visas. Applications increased 12% in June, 41% in July, and 48% in the first two weeks of August.
“This is evidence that many Hong Kongers truly are seeking to move to Malaysia for work or education. This will inevitably create new economic ties between Malaysia and greater China. The data doesn’t show with certainty that people are applying for these police checks for their foreign visa applications, nor specifically that all are applying for visas in Malaysia. It is rare, however, to seek these documents for any other purpose, and Malaysia is the top destination for Hong Kong buyers."
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