Developers and property agents have been taken by surprise by a new set of guidelines governing property purchases by foreign individuals, foreign companies, and permanent residents in the Malaysian state of Selangor. The guidelines impose restrictions on foreigners buying commercial property below a set price.
Some property developers are still in the dark about this development, while others are realising what the impact of the move will be on a market that is already slowing down. The guidelines include the following stipulations.
The state of Selangor is choosing to go its own way in regards to property matters. The federal government can propose policies at budget time, and each state is free to either adopt them or decide to adopt a different policy.
The guidelines appear to be a preemptive measure to keep foreign investors from entering the market in a significant way.
