Buying Property in Malaysia with MM2H (2026): Rules, Minimum Prices and Tips

MOTAC-licensed MM2H agent · Licence MM2H935

Updated November 2026. Prepared by Wise Man (MM2H) Sdn Bhd, MOTAC licence MM2H935.

Buying a home is part of every MM2H category, and it’s the step where most families spend the most money. The MM2H minimum price is only half the story: each Malaysian state also sets its own minimum price for foreign buyers, and some homes can’t be sold to foreigners at all. This guide explains the MM2H property requirement for each category, how it works alongside state rules, what the purchase costs, and what happens if you sell. For the fixed deposits and government fees, see our main MM2H Malaysia guide.

Do you have to buy property for MM2H?

Yes. It is compulsory to purchase and own a residence after you’re approved as an MM2H participant, in every category. Renting doesn’t meet the requirement, and failing to comply with the terms can lead to the MM2H pass being revoked. When you have to buy depends on your category (see the table below). No category requires you to own the home before you apply, but SEZ/SFZ applicants must own it before the pass is endorsed, so they usually choose a Forest City unit before applying. A home you already own in Malaysia also counts towards the requirement, as long as it meets your category’s minimum value. For SEZ/SFZ, only a Forest City home bought directly from a Forest City developer counts, not a resale unit.

MM2H property requirement by category

These are the minimum property prices for each MM2H category:

For SEZ/SFZ, the home must be bought from a property developer in Forest City, not from a third party, and your MM2H agent must report the sale to Invest Malaysia Facilitation Centre Johor (IMFC-J).

The 10-year rule: selling and upgrading

For every category, the rule is the same: selling the residence within 10 years requires cancelling your MM2H visa or upgrading by buying a new residence of higher value than the current one. In practice, choose a home you’re happy to keep for a decade, in a location that suits your family, and only sell early if you’re upgrading or giving up your MM2H visa.

Using your fixed deposit to buy

After approval, you can withdraw up to 50% of your fixed deposit to buy a residence, or for education, medical or tourism purposes in Malaysia. A withdrawal to buy a home comes with these conditions:

• Silver, Gold and Platinum: a home bought before your MM2H pass is endorsed counts only if the purchase was made within 2 years before the endorsement date. If you buy after endorsement, you can make the withdrawal as soon as the purchase is made.
• SEZ/SFZ: the purchase must be made within 6 months before the endorsement date.
• A home bought before endorsement must meet your category’s minimum value at its current value.

For a property withdrawal, you’ll need the stamped Sale and Purchase Agreement (S&P) and a receipt showing that 10% of the purchase price has been paid, so we’ll plan the timing of the purchase and the withdrawal with you.

State minimum prices for foreign buyers

Land is a state matter in Malaysia. Under the National Land Code, a foreigner needs the state authority’s approval to buy, and each state sets its own minimum price. Your purchase has to meet both the MM2H minimum and the state’s minimum, so the higher figure is the one that counts. The figures below are for a foreign individual buying a home:

Other states publish their own figures, and they change from time to time, so we confirm the current figure for the exact property before you pay anything.

What this means in practice:

• Silver in Kuala Lumpur or Johor (outside Forest City): the MM2H minimum is RM 600,000, but the state minimum is RM 1,000,000, so you need a home of at least RM 1,000,000.
• SEZ/SFZ in Forest City: the minimum is RM 500,000, for a home bought directly from a Forest City developer.
• Silver in Penang: the state’s MM2H figure is RM 500,000, so the MM2H minimum of RM 600,000 is the one to meet. State consent is still required.
• Gold in Petaling Jaya or Subang (Selangor Zone 1): the state minimum of RM 2,000,000 applies, not the Gold minimum of RM 1,000,000.
• Platinum: RM 2,000,000 meets the state minimums in the table above, but property-type rules still apply. For example, Selangor doesn’t allow foreigners to buy landed homes on individual titles.

The test is the price of the unit you buy, not the project’s “from” price. In the same building, a smaller unit may fall below the line while a larger one clears it.

Property foreigners can’t buy

Price isn’t the only filter. Under the federal guideline and state rules, foreigners generally can’t buy:

• Low-cost and low-medium-cost homes (Penang also excludes medium-cost homes).
• Property on Malay Reserve land.
• Bumiputera lots: units set aside for Bumiputera buyers in a development, unless the state has released them.
• Property below the state’s minimum price for that type of home.

Some states add their own exclusions. For example, Johor doesn’t allow foreigners to buy single-storey or one-and-a-half-storey terrace houses, or properties sold by court order or public auction, and Selangor allows foreigners to buy strata and landed strata titles only, not landed homes on individual titles. Your lawyer should check the title and the unit’s status before you pay a booking fee.

How the purchase works, step by step

1. Know your deadline. Silver, Gold and Platinum participants get MM2H approval first, then have 1 year after endorsement to complete the purchase. SEZ/SFZ participants must own or buy their Forest City home before endorsement, so they usually choose a unit before applying and complete the purchase before the pass is endorsed. A home you already own in Malaysia counts if it meets your category’s minimum value; for SEZ/SFZ, only a Forest City home bought directly from a Forest City developer counts, not a resale unit.
2. Shortlist homes that clear both minimums and aren’t in a restricted category.
3. Pay the booking fee and sign the booking form. Check what happens to the booking fee if state consent is refused.
4. Sign the Sale and Purchase Agreement (S&P). A new home from a developer uses the standard agreement prescribed by the government, usually paid in stages; a subsale uses an agreement prepared by the lawyers.
5. Your lawyer applies for state consent. The title can’t be transferred to you until it’s approved.
6. Arrange a loan, if you need one. Malaysian banks may lend to foreign buyers, at each bank’s discretion.
7. Pay the stamp duty and complete. The transfer is registered in your name, and you receive the keys (for a new home, on completion of the building).
8. Keep your documents for MM2H. OSC MM2H uses a housing information form for participants, and your S&P is also needed for a fixed deposit withdrawal.

Costs of buying a home as a foreigner

Budget for these on top of the price:

• Stamp duty on the transfer: from 1 January 2026, a residential transfer to a foreigner who isn’t a Malaysian permanent resident is stamped at a flat 8% of the price.
• Stamp duty on a loan agreement, if you borrow: 0.5% of the loan amount.
• Legal fees for the S&P and any loan agreement, on the scale set by the Solicitors’ Remuneration Order, plus disbursements and service tax.
• State consent fees or levies. These vary by state. For example, Johor charges 3% of the price, with a minimum of RM 30,000, and Penang charges a 3% levy (1.5% for island strata homes priced from RM 1,000,000 to RM 1,500,000).
• Running costs: quit rent and assessment each year, and, for strata homes, monthly maintenance and sinking fund charges.

Selling later: RPGT and the 10-year rule

When you sell, Real Property Gains Tax (RPGT) is charged only on the gain, which is the selling price minus what you paid, not on the full price of the home. For a seller who isn’t a Malaysian citizen or permanent resident, the Inland Revenue Board’s rates are:

The buyer also holds back part of the price (7% of the price for a non-citizen seller) and pays it to the Inland Revenue Board towards your RPGT. Because the MM2H rule only allows a sale within 10 years if you upgrade or cancel your MM2H visa, most MM2H sellers will be in the 10% band, but an early sale can fall in the 30% band.

Example: you buy a condo for RM 1,000,000 and sell it in the 6th year for RM 1,300,000.

• Gain: RM 1,300,000 − RM 1,000,000 = RM 300,000
• RPGT at 10% of the gain: RM 30,000 (not 10% of RM 1,300,000)
• The buyer holds back 7% of the price, RM 91,000, and pays it to the Inland Revenue Board. The RM 61,000 above your actual RPGT is refunded to you once your RPGT return is assessed.

Costs such as legal fees and stamp duty can also be deducted from the gain, so the actual RPGT is often lower.

6 tips before you buy

1. Work out your real minimum: the higher of the MM2H figure and the state figure for that type of home.
2. Check the unit, not the project. The price and status of your specific unit decide whether you can buy it.
3. Ask about the title early: strata or landed, freehold or leasehold, Bumiputera lot or not, and any restriction on the title.
4. Budget for the 8% stamp duty and the state fee. They can add a large amount to the cost of a RM 1,000,000 home.
5. Plan to hold for 10 years. Buy where you’ll actually want to live, or where you’d be happy to upgrade later.
6. Time the purchase with your fixed deposit withdrawal if you plan to use up to 50% of the deposit.

How Wise Man helps with your MM2H property

• One team for the visa and the home. We’re a MOTAC-licensed MM2H company and also a real estate agency licensed by the Board of Valuers, Appraisers, Estate Agents and Property Managers (BOVAEP), so we can help you find homes that meet your category’s minimum.
• A state-by-state check of the minimum price and restrictions for the exact unit you like.
• Timing advice for the purchase, the endorsement and the fixed deposit withdrawal.
• Coordination with lawyers and banks for the S&P, state consent and any loan.

For the paperwork side of your application, see our MM2H documents checklist.

MM2H property: frequently asked questions

Is buying a property compulsory for MM2H?

Yes. It is compulsory to purchase and own a residence after you’re approved as an MM2H participant, in every category, and failing to comply with the terms can lead to the pass being revoked.

What is the minimum property price for MM2H?

The minimum is RM 600,000 for Silver, RM 1,000,000 for Gold and RM 2,000,000 for Platinum. For SEZ/SFZ, the minimum is RM 500,000, for a home in Forest City, Johor, bought from a Forest City developer. For Silver, Gold and Platinum, the state’s minimum for foreign buyers also applies, and the higher figure is the one that counts.

Can I buy a RM 600,000 condo in Kuala Lumpur on MM2H Silver?

No. Kuala Lumpur’s minimum for foreign buyers is RM 1,000,000, which is higher than the Silver minimum, so the home must cost at least RM 1,000,000. In Penang, the state guideline sets RM 500,000 for MM2H participants, so the Silver minimum of RM 600,000 applies there.

When do I have to buy the property?

Not before you apply, in any category. Silver, Gold and Platinum participants have 1 year after their MM2H pass is endorsed to complete the purchase. SEZ/SFZ participants must own or buy their home in Forest City, from a Forest City developer, before the pass is endorsed, so most choose their unit before applying.

Does a home I already own in Malaysia count for MM2H?

Yes. A home you already own in Malaysia counts towards the MM2H property requirement, as long as it meets your category’s minimum value. For the SEZ/SFZ category, only a Forest City home bought directly from a Forest City developer counts; a resale (second-hand) unit doesn’t.

Can I sell my MM2H property?

Within the first 10 years, only if you cancel your MM2H visa or upgrade by buying a new residence of higher value. When you do sell, non-citizens pay RPGT only on the gain, not on the full price: 30% of the gain within 5 years of buying and 10% from the 6th year.

Can I use my fixed deposit to buy the property?

Yes. After approval you can withdraw up to 50% of the fixed deposit to buy a residence in Malaysia. For Silver, Gold and Platinum, a home bought before the pass is endorsed must have been bought within 2 years before endorsement, and if you buy after endorsement you can withdraw as soon as the purchase is made. For SEZ/SFZ, the purchase must be made within 6 months before endorsement.

How much stamp duty does a foreigner pay?

From 1 January 2026, a residential property transfer to a non-citizen who isn’t a Malaysian permanent resident is stamped at a flat 8% of the price. A loan agreement is stamped at 0.5% of the loan.

Wise Man (MM2H) Sdn Bhd · MOTAC licence MM2H935.

This guide is general information, not legal or tax advice. MM2H terms, state rules and taxes can change, so we re-check them for your property before you commit.