Articles
State Consent for Foreigners in Malaysia
Who Needs State Consent in Malaysia?
State consent is not required for all buyers, but it is mandatory in the following cases:
1. Foreign Buyers
If you're a non-Malaysian citizen or foreign company, state consent is almost always required when:
Purchasing a residential or commercial property (landed or strata).
Acquiring leasehold property or landed freehold property in most states.
Different states have different thresholds and approval policies, especially concerning:
Minimum purchase prices (e.g., RM1 million in Selangor or RM2 million in KL for landed homes).
Types of properties that can be purchased (e.g., some states restrict landed homes for foreigners).
2. Companies Buying Property
A foreign-owned company (even registered in Malaysia) must obtain state consent.
A Malaysian company may need consent when purchasing bumiputera-reserved land, Malay Reserved Land, or agricultural land, depending on state policies.
3. Transfer of Title via Inheritance or Gift
In cases of property inheritance, transfer between family members, or gifts, state consent may be required if the property has special restrictions (e.g., Malay Reserved Land or strata units).
What Documents Are Required for State Consent Submission?
While the exact checklist may vary by state (e.g., Selangor, Kuala Lumpur, Johor, Penang), the common documentsgenerally include:
✅ Standard Submission Documents:
Form 14A – Instrument of Transfer
Stamped Sale and Purchase Agreement (SPA)
Copy of the Title Deed
Purchaser’s Passport (for individuals) / Company documents (for companies)
Vendor’s Identification Documents
Letter of Application to the Land Office
Authorization Letter (if an agent or lawyer is submitting)
Latest Quit Rent and Assessment Receipts
Developer’s Consent (if it's a strata property still under the master title)
Bumiputera Release Letter (if applicable)
Where to Submit?
Applications for state consent are typically submitted to the respective Land Office (Pejabat Tanah) in the state where the property is located. Your lawyer or real estate agent usually handles the submission on your behalf.
How Long Does It Take?
The approval process can take anywhere between 1 - 3 months, depending on:
The state's internal process
Whether additional documents or clarifications are requested
If Bumiputera release or special clearances are involved