Here are the 4 qualities that you need to investigate or look for before investing in any property or real estate in Malaysia.
Malaysia is one of the desirable countries for the property and real estate market with its all-year-round tropical climate, free from most natural disasters and generally affordably priced. The country has also been welcoming visitors, so the market is not just for domestic Malaysian buyers, but also for international expat, retirees, or foreign investors and prospects.
That said, there are many property developers that capitalized on it, and it is sometimes hard for a prospective home buyer to choose which companies they can trust. Buying property is one of the most significant financial investments. Especially for a first-time house buyer, you need a lot of researching to recognize the best developer for your property needs.
In this article, we will go through the things that you need to investigate before making that big property investment in Malaysia .
How would you feel about parting with your hard-earned money with a new, unknown "Company XYZ"? Or would you feel more confident investing with a reputable property developer who has been in the market for more than 20 or 30 years? A well-recognized company with a proven track record would work very hard on protecting their Brand Image. Which means, they are very committed to delivering their property projects at the highest level of perfection, and they're much more motivated to troubleshoot any problematic situations if it arises. Top developers are less likely to risk a bad image by ignoring customer complaints about their projects.
As a home buyer, one of the biggest fears as a private or commercial property investor is when a real estate project ends up "going up in flames"! To date, there are 11 abandoned property projects flagged in 13 states, with Selangor leading the highest number of abandoned projects numbering 75. This will result in a long-term financial loss, especially as an individual buyer whereby you would have monthly home loan repayment commitments to pay off for a project that may never see the light towards completion at the end of the day.
Therefore, before you part with your hard-earned cash with some property developer offering a too-good-to-be-true deal, bear in mind that you might receive less financial security, than if you were to put your trust with a financially secure Malaysian top property developer.
If there's one important thing you need to do during your home-buying research, is to investigate the company's Advertising Permit and Developer License (APDL). This is a legal requirement for property developers when selling property. It is an official government approval received from the Malaysian Local Housing Ministry to confirm that they have permission to advertise and sell a specific property. Not every property developer in the country can achieve top developer status, but one thing they should all have is the APDL License.
If you don't see an APDL, be warned! The next time you come across any advertisements for property development, the APDL should also be included. It should include: