Epicurious

Malaysia My Second Home to be reactivated with changes, says Home Ministry
Wow.

Fenella

Unbelievable! And apparently it's going to apply to extensions too - How many people have that sort of income a month?

deptrai

Other than having to spend 15 days per year in Sarawak, what are the downsides to the S-MM2H program? I have long planned to retire in Malaysia, but this may force me to shift my plans.

carbolic

Here's a little more....
https://www.theedgemarkets.com/artic...ober-%E2%80%94

"Participants also need to make an asset declaration and prove that they own liquid assets of at least RM1.5 million compared with previous conditions that set the value of liquid assets at RM350,000 and RM500,000 according to respective categories, he added.Wan Ahmad Dahlan said the duration of the MM2H programme long-term social visit pass is now set to five years and can be extended for another five and so on as long as participants are subject to the compliance of the application conditions, compared with 10 years previously.

He said the rate of the pass fee is increased to RM500 a year from RM90 previously, while a RM5,000 processing fee will be charged for the principal and RM2,500 for each dependant."

Epicurious

Ever felt unwanted?

NeonHippy

So the government think that foreigners will be flocking to Malaysia to bail out the National Recovery Plan? I think the opposite will happen. Many expats here will be unable to meet the new requirements and will be asking for their deposits to be returned as they leave. If you have an income of rm480,000 pa I can think of far nicer places to live.

What they fail to realise is that for many Malaysia is not a second home it is our primary home.

WiredTight

I've been trying to think of something positive to say after reading these various news reports (I don't want to be slapped with a defamation law suit or jail time).

It's not the first time someone from the government has made a statement, and then had to walk back something as being a wrong translation, misquoted or...maybe a new government / Prime Minister before Oct will make more changes ???

If you can afford all these new requirements, then MM2H isn't for you.

Epicurious

Exactly, those people with FU money are going to live elsewhere rather than invest hundreds of thousands of dollars in a country that is showing every sign of not wanting them. The Thai Elite visa is starting to look like good value.

Also, this could be construed as a ploy to keep people of a certain nationality out - I think we all know who that is.

I think they know that, they just don't care. Covid has made anti-foreigner sentiment much worse.

carbolic

"“We want to attract the right people to participate in this programme. They should have the financial means to spur the local economy, including in real estate, health services, education and domestic tourism."

"Malaysia My Second Home Consultants Association president Anthony Liew said its members will have to relook at how to market the programme with the new conditions set by the government.
“This is beyond our expectation.“We need to look back at how we promoted Malaysia before and how we can do this with the new conditions,” he said.

Asked if the programme would continue to be popular among foreigners looking for another place of residence, Liew said the number of applications may drop due to the stricter conditions even though Malaysia remains an attractive option."

https://www.thestar.com.my/news/nati...l-mm2h-returns

physdude

The offshore income requirement of RM 40k is a real killer! I think the other requirement changes are bad but still manageable for middle/upper middle class foreigners but a consistent offshore income of that magnitude while you are not working is a pretty high bar. My MM2H is up for extension in a few years and I never thought of it ever being an issue (I was prepared for them to raise the FD requirement to RM 1 million since that was being talked about earlier) but, unless they change the income requirement, it is a deal breaker for me. If they are only going to check the income for 3 months like before, you can probably work around it but that is not the best option from a longer term perspective since it becomes a grey area.

Apart from a relatively small group of people for whom Malaysia probably trumps most of the developed world in terms of acceptance and lesser cultural issues (Bangladeshis come to mind for eg.), it is not clear to me that someone who is earning RM 40k a month without working would choose Malaysia over other places.

SushiFan

Exactly: it is going to apply to renewals as well, no "grandfathering in" in the new system. Which makes it rather unfair to those retired people who are here.
At first they were told "you need to clear the hurdle of RM10k/month to get MM2H". Now that they do have MM2H and live here a couple of years they're being told "the RM10k/month won't cut it, you need to clear a hurdle of RM40k/month to be allowed to stay". Those pensions didn't magically increase fourfold while they were living in Malaysia.

SushiFan

All my MM2H acquaintances currently living in Penang are saying the same thing: they won't be able to clear the RM40k/month income requirement and thus won't be able to renew their MM2H when it expires. They all start mentally preparing for a life in another country.

ssoomro

Well .. this is stunning turn of events.. A while back i started a thread talking about .. Potential enhancements to MM2H Program.. talking about how to improve the program through better incentives and value propositions for both MY and the applicant..

These new "enhancements" seems to have no other reason but to gut the program in such as way so as to not be "blamed" for suddenly closing the program and disrupting the lives of those who are already in the program.

Since there is no pathway to PR or Citizenship, who would want to lock up 1/4 - 1/2 Million dollars for an uncertain future where you may not be allowed entry into a country if there is an epidemic etc.

and the RM 40K a month income requirement has to be a fantastic joke, it puts the program out of reach of 90+% of potential retirees to this region. The worst past is grandfathering it to existing MM2hers on renewal. WoW .. talk about a slap in the face for joining up and investing in a house/life etc. in Malaysia .. this is loan shark style extortion.. now that you are here .. pony up 4/5x or get out hahahah

I have heard of fees going up but jump from RM 90 to RM 500. RM 800 to RM 5000 ... what justifies that increase ??? and what new benefits/incentives have been suggested, in exchange ?

I doubt that the power that be are sooo far removed from reality that they dont understand the impact of these changes. It is quite obviously a xenophobic move to shutter the program and push the existing MMHers out as well. It was too good to last for long .. hahaah

StillSearching

1) Do you think that newcomers will not pay attention that you can't trust Malaysia? Who wants to invest in a country which can change the rules as they wish?

2) There are too many unsold properties already in MY and prices for properties are sliding over 10 years.
What would happen with these prices if foreigners start selling their homes because they can't renew their MM2H? Right. Sell your property now, rent until your visa expires and start looking where else to go.

Malaysia has lost credibility...

Flyguy

I'm one of the 'lucky' ones who can pass these new conditions - and I have ties here now that mean I would rather stay. But as you say, I'm having to seriously consider if I should do so. Can I ever trust them again when they can change the rules overnight for EXISTING visa holders. They may well change them again, sooner than later, and with minimal notice. That kind of uncertainty doesn't sit well with me. As a retiree I need to know I have tenure of residency. I'm not of an age to plan on having to up-sticks and go globe trotting ever 5 years (or less), especially in the current environment. So I'm really not sure I'll jump through their hoops, even if I can. Leaving now might be the safer option.

If I leave it means I'll sell up. So the apartment will go on the market - adding to their property glut, as you rightly say.
The Expat Mag Online has an article showing the total accumulated number of MM2H 'permissions' over 20 years is about 42K. Many of those may have passed on, or moved away, or never even took it up in the first place (remained overseas). So let's say half of them are not in use. That leaves about 20K active MM2H Visa Holders in country. If 90% of them had to go that would be 18K individuals bailing out of here. That's a lot of damage on a wide front - property and rentals hit, employment (maids etc) terminated, investments withdrawn, Banking fee income lost and savings out, travel and tourist dollars lost, expensive private schools for kids stopped, medicare hit, retail sales hit, financial services hit....etc etc. And don't forget the Malaysian families who will be messed up by this upheaval.
It's a long list and adds up. It's really hard to believe they want to do this to themselves.

For my own part the major benefit of the Visa was tax relief on my foreign pension. I might even be able to maintain that relief by marrying a local and go Spousal Visa. Have to look into that option more closely!

As for new applicants - if their aim was just to keep them out this will do it nicely. To be honest the MM2H Visa conditions have been a gift up to now. So cheap compared to other programs. I always felt there'd be changes to bring it in line with the rest. But this is way beyond that. It's a clear message that they don't want you. And as has been said above - if you have the wherewithal to comply with these conditions, there are many other places which will now compare more favorably. Have a look at Portugal and Malta for starters.
Good luck all.