Version: BM
Malaysia is making a bold leap onto the radar of China’s ultra-high-net-worth individuals (HNWIs), quickly becoming the go-to destination for luxury real estate investment.
In fact, it is now the fourth most popular choice for Chinese buyers seeking high-end properties, especially those valued at US$5 million and above,
This remarkable rise in popularity is highlighted in a recent report by Juwai IQI, which attributes this trend to several key factors.
Kashif Ansari, co-founder and CEO of Juwai IQI, points out the country’s attractive value proposition.
“Malaysia offers the comfort and quality that HNWIs from China and other nations want, without the visa headaches, capital controls, or high price tags they face elsewhere.”
Kashif Ansari, co-founder and CEO of Juwai IQI
Several elements are also contributing to Malaysia’s growing appeal.
The country’s real estate market offers excellent value for money compared to other luxury markets in Asia.
For example, the average cost of prime homes in Kuala Lumpur is approximately US$240 per square foot, which is significantly more affordable than markets like Singapore (US$1,810 per square foot) or Bangkok (US$1,090 per square foot).
Additionally, Malaysia’s education sector also plays a crucial role in attracting wealthy Chinese families.
Between 2021 and 2023, there was a 35% increase in the number of Chinese students enrolling in Malaysian universities.
This growth has boosted property demand in cities like Kuala Lumpur, Johor Bahru, and Penang, with many families purchasing real estate for both investment and personal use.
“Many high-net-worth buyers are repeat visitors who develop personal ties to the country through travel, education, or business,” Ansari explains.
Another key factor is Malaysia’s updated Malaysia My Second Home (MM2H) programme, which has made it easier for international buyers to settle in the country.
The revised programme offers clearer pathways for long-term stays and allows participants to use a portion of their fixed deposits to purchase property.
As reported by NST, nearly 1.2 million Chinese tourists visited Malaysia in the first five months of 2024.
This surge in travel has helped boost buyer confidence, leading to increased interest in luxury homes.
As Malaysia continues to rise as a top destination for China’s ultra-wealthy homebuyers, the country’s real estate market is expected to grow even stronger, further solidifying its position as a prime location for international investment.
Juwai IQI was featured in New Straits Times, Free Malaysia Today, WeirdKaya, Malay Mail, Daily Express and theSun.
Juwai IQI is the world-renowned property company that provides insights on property, locally and globally
Click below to get more expert property insights from our blog!
