Property as an investment?

Traditionalists prefer property as an investment. It is tangible and can offer steady capital gains over the years. Coupled with rental income, an investment property is an attractive proposition.

Long Term vs Short Term

In Malaysia many property investors purchase from a developer a property which has not been constructed, with the intention to sell it at a higher price upon completion. The long term property investors purchase a property for its rental income, which will be utilized to pay the instalments due to the bank financing it. In addition to the rental income, the latter property investor also gets to enjoy capital gains when he disposes of the property.

How can I use my existing property?

There's a growing trend to buy a home, pay off part of the loan and refinance against the said home to finance the deposit on an investment property. Banks can finance up to 90% of an investment property.

Purchasing through a company

If you invest in more than 2 investment properties, it may be advantageous to you to purchase the properties through a company. There are tax advantages to be enjoyed. Contact our mortgage consultants for advice.

What about real property gains tax?

When selling a property, the profit is subject to real property gains tax. There are some exemptions, such as your primary residence. However, when selling an investment property, if the value on this property has increased, you will pay real property gains tax on the profits made upon the disposal of the property.

Financing with Mortgage Broker

Our mortgage consultants are trained to look into your investment property portfolio and help you restructure your property loans, to ensure that you save on interest chargeable by your banks. Our consultants will wade the loans available in the market to help you get the most suitable loan.

Call us on 603-71183600 today or book an appointment online to arrange a free no-obligation appointment. Our consultant will call you to arrange an appointment at a time and a place that suits you.

Related issues:
How much is legal fees?
How much is stamp duty?
Insurance Coverage
Real Property Gains Tax