Is There a 90 Percent Drop in MM2H Applicants?

Industry experts and economists are voicing concerns about the latest guidelines, which mandate property purchases and require holding them for at least 10 years. The revised MM2H scheme mandates higher bank deposits ranging from US$150,000 (RM700,000) to US$1 million (RM4.7 million), alongside property investments between RM600,000 and RM2 million.

While the introduction of mandatory property investments can be seen as a positive step to boost the real estate sector, the requirement to hold these properties for at least 10 years is proving to be a significant deterrent. The Kepong MP reported a 90 percent drop based on information from agencies processing MM2H applications.

Source: https://mm2h.co

The previous MM2H scheme, required bank deposits of RM300,000 for those below 50 and RM150,000 for those above, without a mandatory property purchase. This approach attracted a diverse group of retirees and expatriates, contributing RM58 billion to the local economy over 17 years.

The MM2H scheme needs to strike a balance between attracting high-net-worth individuals and providing flexibility to make Malaysia a desirable retirement destination. Reassessing the 10-year holding requirement could be a crucial step in revitalising interest. Others include purchasing properties in the first place. Many just want to rent a place. What’s wrong with that?

Reference:

MP sounds alarm over 90pct drop in MM2H applicants, Malaysiakini, 30 June 2024