atans1

More nails in Iskandar’s coffin

In Malaysia on 21/11/2013 at 4:38 am

JOHOR is planning to impose a 2 per cent levy on foreign buyers across all segments of the property market and the secondary market in the southern Malaysian state from May.

The rate is lower than the 4 per cent to 5 per cent mooted earlier, but will still amount to more than twice the current RM10,000 (S$3,895) fee foreigners pay to buy properties in the state. Since foreigners are required to purchase units valued at RM1 million and above, the RM10,000 fee was at most a one per cent levy.

The levy comes on top of the Malaysian government’s recent measures to cool the property market. (BT on 13th November)

Crime in Johor, and the authorities’ denial attitude: http://www.bbc.co.uk/news/magazine-24924283

http://www.malaysiakini.com/news/246559

And it has been reported that Johor is considering changing its weekend from Saturday and Sunday to Friday and Saturday. Not exactly S’porean and investor friendly is it?

What Iskandar repeated shows is that there is a reason for the huge price gap between properties in Johor and S’pore. The issue for buyers is whether the lower prices there compensate for the risks they are assuming.

Related post: https://atans1.wordpress.com/2013/10/27/sporeans-fleeced-in-johor-yet-again/

  1. Unless you are going to live on the property, it is not wise for the average investor to buy properties in Malaysia. Every document is in melayu. From title deeds to supply of utilities and waste removal. Being Singaporean ( does not matter even if you are malay either) is already a disadvantage.

    Good luck to anyone who has plonked $$$ there, be prepared for more than 1 blackhole event.

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