Retiring in Penang

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Old Sep 11th 2014, 12:33 pm
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Default Retiring in Penang

I am new to this forum but here goes.
My hubby (an engineer) 63 and myself 60 after many spread sheets (hubby) have decided Penang is the place for us.
We have eagerly searched the web and are now totally confused.
Some background on us. We are definitely beach outside people who love to walk. We enjoy eating out but not into night life and would prefer a quieted area but within walking distance to the hub bub of life.
Now my questions
After web searches we think tanjung Bungah area would be good but maybe not on the beach.
1. Is this a good idea if not where would you suggest
2. The third member of our family coming is our cocker spaniel Gizmo. This is not negotiable. What is it like for dogs in Penang and does it restrict where you live.
3. Is there much theft in Penang? Everything I have read says no but would like confirmation because we had a very bad experience in Bali that nearly put us off retiring overseas.
4.how long can you stay in Penang on a tourist visa. We plan to flight over in July maybe earlier and stay a month. Is that possible.
5. Rent - can you negotiate price if you pay one year in advance.

I think that is all for now anyway.
Oh we are West Australians but love your forum
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Old Sep 11th 2014, 1:06 pm
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Default Re: Retiring in Penang

Hello,and welcome to the forum

I presume that you haven't yet visited Penang? I guess that is the first thing to do. Hire a car and have a good drive around. There are so many different places. You may love some and hate others. Well, you may hate all of it hehe so best to check out.

Re beaches, if you are comparing with Oz, you will probably be disappointed (from what others have told me). Also the year round humidity takes some getting used to. On the plus side, you will find Penang much cheaper than Aus for day to day living...that's what my Aussie friends say.

You'll find most expat retirees living along the belt from Gurney Drive to Tanjung Tokong to Tanjung Bungah to Bt Ferringhi. Yes, do check out Tanjung Bungah. It's very nice. We had planned to buy there, though ended up buying in Tg Tokong with no regrets (so far..after 4+ years).
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Old Sep 11th 2014, 1:15 pm
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Default Re: Retiring in Penang

Re dogs....yes you can. You will be slightly restricted in where you live as most condos have restrictions, not always enforced. Though you may want to look at houses too. Once you've had a look around and found what area you think you will want to live, get a property agent on board and get them to show,you some places.

Crime...well, no worse than most places I would say. Just be sensible (says she who got shoulder bag snatched in Georgetown a few years ago )
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Old Sep 11th 2014, 1:18 pm
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Default Re: Retiring in Penang

Re coming over for a month...that sounds good. I think you get 3 months stamp visa on arrival. I'm a bit fuzzy on that as I have the MM2H visa. Maybe someone else can confirm on here.

Happy planning
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Old Sep 11th 2014, 1:48 pm
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Default Re: Retiring in Penang

Thank you so much. it is all VERY confusing. We have lived in Bali and love the heat. Really want to make the right decision and dig in. Can't wait
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Old Sep 11th 2014, 2:23 pm
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Default Re: Retiring in Penang

Hi ChrisNPete,

Although coming from the other direction (UK) I was in a similar position to you a year ago and made the decision to retire to Penang. I had internet research and spreadsheets galore but in the end a visit is essential.

Firstly you'll get a 90 day visa on arrival so no problems there.

The only beach on Penang island is Batu Ferringhi and indeed this is where I moved to. It looks great in the photos but the reality is that the sea is not at all appealing and therefore (for me) the beach loses its attraction. Your dog will probably love it though.

I did find I spent most of my time in Georgetown so later I moved to Tanjong Tokong to an apartment with a fantastic pool and which was walking distance to the hubbub (as you say).

Just to underscore what BB said it is not just hot it is very humid which makes it seem even hotter. The forecast often says 33C, feels like 40C. You may not be nightbirds but in Penang most action is in the evening when it is cooler. In fact, many hawker centres don't open until 7PM.

On the rental front, rents are very negotiable at the moment so you will get a great deal. It's not a bad idea to try and get a long lease but the owners are not so keen as they hope rents might go up in the future. Also you may decide, as I did, that your first choice can be improved upon.

Anyhow, all that aside I love it in Penang and I'm sure you will too. Good luck!
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Old Sep 12th 2014, 12:22 pm
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Default Re: Retiring in Penang

Originally Posted by ChrisNPete


Hi Chris and Pete
What is it like for dogs in Penang and does it restrict where you live.
Most condos do not allow dogs, especially if they cannot be carried through the common areas. Make sure you read the House Rules before signing your Tenancy Agreement. Do not rely on your landlord to tell you the truth.

Is there much theft in Penang?
Yes. Be careful. If you are in a guarded condo OK. If you choose landed property look for a house with grills on the windows and doors for added security.

Rent - can you negotiate price if you pay one year in advance.
Yes, but if you only plan to rent for one year don't do it. Landlords can be slippery when it comes to re-paying your deposit, and very slow when it comes to paying for anything to be fixed. Withholding the rent works wonders. If you have paid it all upfront you have little to negotiate with. Here's some more tips I've posted here before:

When it comes to a tenancy agreement, almost everything is negotiable. You may of course come across a landlord that won’t negotiate. He’ll be the one with the empty property sticking it out for a higher rent, who hasn’t worked out that continued vacancies can be a lot more costly than a rent reduction.
Before negotiating on price:

1. Assess the market.
If you know what else is out there, comparable to the place you want and what the competition offers that your target doesn’t, you’re almost ready to negotiate. If you can tell the agent / landlord that you like their place, but have seen something similar or ideally better for around the same price or less, you’re in a great position. They don’t want to lose you!

2. Try and find out how long the place you’re interested in has been empty. If it’s listed on a website, when was it listed? If it’s been vacant for more than a month or two that tells you something.

3. Review the draft Tenancy Agreement, decide what you want changed, deleted or added, and do a thorough inspection of the house / apartment.
Do you want the landlord to upgrade old appliances, and/or buy any new ones that don’t exist? Is there a washing machine, dishwasher, microwave? Is there an aircon unit in every room, and a ceiling or wall fan? Astro? Do you want the landlord to remove any furniture? Does the kitchen and bathroom sink have hot and cold running water? Is there a filtered water supply? Does anything need repairing before you move in (check all the door and windows, all the electrics and all the plumbing!)
What maintenance contracts do you want the landlord to pay for – aircon servicing, pest control, gardening….

4. Look at it from the landlord’s perspective.
What it is about you that makes you an attractive tenant? Remember the landlord wants a tenant - and to start earning rent - as soon as possible, for as long as possible. He wants to avoid rental voids, he wants to keep his wear & tear costs to a minimum, and he wants a responsible tenant that will look after the place, so he does not have to check on it every week for plumbing and roof leaks, burglary or whatever.

5. Talk to your prospective landlord and explain what’s in it for him. You may well find that in fact you are the perfect tenant. For example:
• You’re ready to move in next month. Brilliant! That means the rental income starts flowing very soon, ending his current void sooner rather than later.
• You’re willing to commit for a year. Good. That’s much better than 6 months.
• At the end of Year 1 you might want to extend for a second year. Wow! That’s excellent. Maybe he won’t have to find another tenant for two years. No voids = maximum rent. Remember the biggest hassle for a landlord is finding a new tenant, having a rental void in between tenants, and the clean-up after a tenant moves out. If you really like the place and are convinced that you won’t want to move out after a year, then you may be able to lock in to a two-year rate now eliminating the second year increase. Or, if you’re very good at negotiating, get a reduction on Year 1’s rent, and agree a further reduction now for the second year term.
• You’re creditworthy. Re-assure your landlord they’ll be no problems getting the rent every month, it’ll help.
• You don’t have any kids. Good. Kids draw on the walls, spill things on sofas and so on.
• You don’t have any pets. Good. Dogs and cats can damage furniture….
• You’re a Westerner. Good. Westerners tend to look after the homes that they rent in Malaysia, so are often preferred by landlords.
• You’re willing to pay the rent by monthly standing order direct into his bank account, in exchange for a reduction. Good. No chasing you for the rent.
• You’d be happy to give the tired purple bedroom a repaint in a neutral colour at your own cost. Or if it’s a landed property with a garden, that you’ll do the gardening and smarten the place up.
• And so on…

6. Think about what else you could offer. For example:
Can you offer to pay money upfront? If you offer to pay six months rent in advance in return for lower rent, most landlords will say yes.
Can you offer to pay a deductible on repairs? It’s a hassle for the landlord to arrange for small repairs. If you offer to pay, say, the first RM500 of any repair, then the landlord may be willing to drop the rent in exchange. Make sure the property is in good condition first!

With all of this, the point is that the whole tenancy agreement is negotiable. It’s not only about the rent.

To negotiate well, you should trade something for something. What can you give (exchange) in order to get what you want? If you’re not used to negotiating, read up a little about it before you start. Avoid giving concessions without getting something you want in return.

Lastly remember the ‘Asking Price’ is the landlord’s dream price. Unless he’s a fool, he will be expecting to get less.

A 20-40% rent reduction? You won’t know until you try!

Good luck

JC3
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