Johor stands second in the list of the most populated cities in Malaysia. It’s not a surprising fact considering the topographical location of the city. Purchasing a property for rent in Johor can be an overwhelming experience, even if it’s your second purchase. If you are uncertain about the processes that you need to follow to buy a property to rent in Johor, please read the basic guidelines listed below.
Analyze your financial capabilities:
You might have already chosen a property but have you thought about the budget and the affordability?. If it’s your first property purchase, banking institutions will lend you up to the 90% of the property value if they find that your income after the installments every month is at least above 25% of your total income. The rate of interest might increase in the future so you need to be certain that your repayments are not too high.
Search for the property:
To hunt for properties for rent in Johor that attract tourists, you may search online portals by providing the location and the budget. Finding a buyer’s agent who works or knows about your preferred location would also be the right approach. They can help you zero in on the right property at the right price. If you want to speak to a property developer whose project is still a work in progress, a right developer will require you to go to their website and register to get notified of completion. But, there are a few fraudulent developers who might try to sell their properties that are pending for approvals. The Malaysian authorities strongly recommend that buyers should not pay for a property before it has got the proper development approvals.
Find out the site and the price
Once you have found the property that meets your requirements, you shouldn’t wait long to purchase it but you should also check the various properties in the neighborhood so that you can find the right price of the property. Additionally, consult the residents of that suburb or an informed real estate agent to find whether the properties that are available for rent in the suburb yields the required returns so you can buy the property that will help you repay faster.
Get the bank loan with an Approved Mortgage Broker:
Visit a few local bank branches or a mortgage broker to decide whether it’s possible to get approved for the loan amount that you need. Hire a consultant to draft and verify the sale and finance agreements.
Signing the documents and loan agreements:
The loan consultant will draft the agreement of the loan which has to be signed by the seller and you, the buyer. You might be requested by the bank to buy insurance to cover the loan payments that you may not be able to pay in case of any unforeseen events.
Obtaining access to the property:
When the property has been settled, the seller should make sure the property documents along with the keys are handed over to the buyer on or before the settlement date mentioned in the contract.
Malaysia is a friendly nation with modest living expenses and property in Malaysia is never a wrong investment. Apart from being an investor, you would also need to remebet to appreciate and integrate with the multicultural society that Malaysia offers to its expats.