• The MM2H (Malaysia My Second Home) programme has the advantages of not requiring you to live in Malaysia, and having a very low cost of investment
  • Malaysia has emerged as a popular choice among Hongkongers seeking a safety haven amid long-running political crisis

The current social unrest in Hong Kong has led to a rising number of applications for emigration. Malaysia has been one of the most popular destinations thanks to the MM2H (Malaysia My Second Home) programme which allows Hongkongers to obtain a 10-year residence permit without having to move to Malaysia.

Most emigration consulting agencies have received a lot more inquiries about MM2H as protests have raged in Hong Kong in the past few months, while exhibitions featuring Malaysian property have been mobbed by Hong Kong people.

The beauty of this emigration initiative is that you are not required to move and live in Malaysia, and the cost of investment is incredibly low. If something serious happens, or if it becomes too dismal to stay in Hong Kong, you can move straight away.

Driven by a commission-based incentive offered by property developers, most emigration consultants encourage clients to buy an apartment in a condominium in order to obtain the MM2H permit. However, this is not the only way.

The current social unrest in Hong Kong has led to a rising number of applications for emigration. Malaysia has been one of the most popular destinations thanks to the MM2H (Malaysia My Second Home) programme which allows Hongkongers to obtain a 10-year residence permit without having to move to Malaysia.

Most emigration consulting agencies have received a lot more inquiries about MM2H as protests have raged in Hong Kong in the past few months, while exhibitions featuring Malaysian property have been mobbed by Hong Kong people.

The beauty of this emigration initiative is that you are not required to move and live in Malaysia, and the cost of investment is incredibly low. If something serious happens, or if it becomes too dismal to stay in Hong Kong, you can move straight away.

Driven by a commission-based incentive offered by property developers, most emigration consultants encourage clients to buy an apartment in a condominium in order to obtain the MM2H permit. However, this is not the only way.

To get a 10-year residence permit through MM2H, applicants under 50 years old simply need to deposit HK$600,000 (US$76,600) in a Malaysian bank in order to satisfy the capital requirement. Applicants over 50 barely need to deposit HK$300,000. Therefore, it is actually not compulsory to purchase an apartment to realise your emigration plan.

Furthermore, if you are a property owner in Hong Kong, there is another way to obtain the MM2H permit at zero cost, simply through refinancing. Here is an example:

Let’s imagine your flat in Hong Kong is valued at HK$7 million and the existing mortgage is equal to HK$3.6 million. By refinancing your mortgage to another bank, you can cash out HK$600,000 and then transfer this to your Malaysian bank account as time deposit.

A successful MM2H application entitles three generations of the applicant’s family to live in Malaysia for 10 years, and the permit is renewable.

Although the majority apply for the MM2H programme through emigration consulting agencies, you can actually do it on your own. Simply search “MM2H” online, download the application form from the official website and submit the required documents such as income proof, bank statements, certificate of no criminal conviction and go through the normal vetting process. Once the application is approved, you can open a Malaysian bank account and transfer the required capital.

There are two ways to open such an account. You can open an overseas account in a Hong Kong bank that has branches in Malaysia, or you can go to Malaysia in person and open a foreign account there. You also need to buy insurance and undergo a health check-up in Malaysia. If you use an agency, all these will be arranged for you. Nevertheless, if you want to save some bucks, you can do it on your own.

Despite the fact that time deposit alone is enough to meet the investment requirement for MM2H, many Hongkongers prefer to hold “bricks” rather than cash. They may prefer purchasing a house there as a hedge against inflation in lieu of holding deposits. I myself prefer to hold bricks.

During my visit to Malaysia for the purpose of bargain hunting, I found that while property exhibitions held in Hong Kong predominantly focus on new properties, second-hand homes actually have a greater bang for their buck. First-hand properties which target principally mainland and Hong Kong buyers have a significant price premium behind them.

Take KLCC as an example. A first-hand property near the Petronas Twin Towers can be priced at HK$4,000-HK$5,000 per square foot, while a second-hand, 10-year- old property nearby (only in walking distance) can be priced at just HK$1,500 per square foot. Therefore, if you want to buy a Malaysia property as a means for MM2H, look into the second-hand property market but not just the first-hand market.

Similarly, you can opt to refinance your flat in Hong Kong to draw cash to purchase of a property in Malaysia. Even if the cash-out amount is insufficient to pay off the property, you can mortgage the rest at a local Malaysian bank. Alternatively, you can get this loan from HSBC Bank Malaysia if that would give you more confidence.

The interest rate is around 4 per cent to 4.5 per cent, which is higher than that in Hong Kong and the term period can be up to 35 years. However, rental yield in Malaysia typically stands at 5 per cent to 6 per cent depending on the conditions and furnishing of the flat. The occupancy rate in KLCC is relatively low as there is a supply glut, but you can try Mont Kiara where the best international schools are located and many expat families are based.

Raymond Chong is managing director at mortgage referral brokerage firm StarPro Agency

https://www.scmp.com/property/hong-kong-china/article/3041265/malaysian-property-provides-options-investors-seeking

如對本文章有任何問題或意見,歡迎按左上角 Whatsapp 按鈕聯絡我們互相交流。

返回主頁 按揭學堂


若想知哪間銀行按揭利率最平,現金回贈最高,即時留言,索取最新情報!


關於星之谷

星之谷按揭轉介歷年來與全港銀行合作,為客戶免費介紹最低利率、最高回贈的按揭計劃,解決置業路上的疑難及痛點。我們不收取任何費用,只想把所識和所想,向客人分享。公司的獎項和里程碑:

  • 轉介超過40000按揭個案
  • 環聯(TU) 正式合作伙伴
  • Capital 資本雜誌 「傑出物業按揭轉介」大獎, 2021
  • 香港中小型企業總商會「最佳中小企獎」, 2019
  • TVB 「樓宇按揭轉介」傑出服務獎, 2018
  • 都市日報「傑出按揭轉介」大獎, 2018
  • 出版「按揭達人」一書,各大書局有售
  • TVB樓宇節目:「星之谷特約:蝸居宅急變」於2018年4月放送,收視率19點
  • NowTV 樓宇節目:「星之谷特約:置業攻略」於2018年6月放送
  • 建立北斗星按揭網,全港唯一按揭專題資訊和財技網站

詳情請瀏覽星之谷按揭轉介網頁:https://starpagency.com


按揭入門

按揭成數 | 按揭回贈比較 | 按揭利率比較 | 按揭年期

按揭保險 | 按揭保費折扣 |HKMC和QBE批核標準

壓力測試 | 供款與入息比率DTI | 壓力測試花紅

轉按 | 甩名 / 轉名 | 現契重按

擔保人印花稅 / SSD / BSD |

自僱按揭 | 自住變出租按揭

居屋按揭 | 居屋轉按套失政府擔保

唐樓按揭 | 村屋按揭 | 工廈按揭

即供 vs 建築期 | Mortgage Link  | 凶宅按揭