Real Property Gains Tax (RPGT) is one of the capital gains tax imposed in Malaysia. RPGT is charged on gains arising from the disposal of real property. RPGT is a move to stop the real estate market speculators.

Our country had RPGT in the tax system many years ago until 31 March 2007, when the government abolished RPGT to attract foreigners to invest in Malaysia, but resulting in the disparity between the rich and the poor of the country more serious.




However, RPGT is re-imposed since 1 January 2010 at the rate of 5% on gains arising from disposals of chargeable assets. And the latest RPGT is revised to the following:

Properties held and disposed within 2 years, RPGT = 10%
Properties held and disposed after 2 years & up to 5 years , RPGT = 5%
Properties held and disposed after 5years, RPGT = 0%

The revised RPGT has hardly made the house price lower or stop the market speculators, because most of the construction takes time to complete, normally 2-3 years.

Low RPGT encourage rich people buy properties and sell it out to make fast money, resulting the price of the properties hike.

The government should revise the RPGT in Budget 2013, and charge a very high rate of profit tax if the owner of the property sell in a short time or is just using back the Real Property Gains Tax Act 1976 (Schedule 5)

Why oh? I don't understand liao.

Low RPGT encourage rich people buy properties and sell it out to make fast money, resulting the price of the properties hike.

Tons of affordable houses in the market, because of RPGT, Malaysia house price is one of the cheapest in the region.

Sometimes I just dont get it. There are abundance of affordable houses in semenyih, bukit beruntung, seri kembangan etc. why dont buy those? coz developer lousy la, township not nice la, no G&G la. but still cheap what? Those nice township by very good developers are surely not cheap. you cant pay perodua price for a lamborghini, right? People should just stop complaining. Wanna buy lamborghini but dont want to pay for it? Hmmmm

there is a lot of flats and apartment under 200k. in setapak we have genting court, teratai mewah, danau kota flat. idaman suria etc..... but well most of 'them' want landed houses. worst part they dont have enough cash to pay for 10%. end up they rent.... mmmm.just find affordable house for u

I also don't get
Why people say Malaysia's house expensive?

ya lor. want landed house but wanna pay reban ayam price. how can la.

Almost every township in KV all these type of affordable houses can also be spotted.

Perhaps they think those are not for human to live one, those who are living there are not humans LOL ..
Dream Lamborghini okay, want Lamborghini don't dream and sitting still if one hasn't been there yet, proton can't drive?

Is Malaysia "middle-income" group waiting for gomen bailout (not poverty group), ashame?

My 0.00002 cents.

This post has been edited by ecin: Sep 27 2012, 11:26 PM

If tomoro budget still not much increase RPTG, mean propert price will come
Another wave......

Most likely will break 900psf for new launched condo...

Whatever, nobody should be worrying, affordable sub-sales houses are still everywhere.

This post has been edited by ecin: Sep 27 2012, 11:29 PM

The affordable non-lamborghini houses are everywhere. try checking them. Go buy them.

malaysia house is not that expensive compared to indonesia and thailand. ( dont compared to singapore )

Reason being, the bumiputera quota imposed by the government. Those house price hiked so much are all under non bumiputera title.

But, think about it, How high can it goes just relying on non-bumiputera population with less than 30% in the country.

No matter how much Real Property Gains Tax (RPGT) increase tomorrow, eventually will add up back to the selling price. Is not that easy to solve the problem.

Instead of increase the RPGT, I prefer increase in salary, increase in purchasing power. More money flow in the market, not only in property.

This post has been edited by 37 Exposures: Sep 28 2012, 03:26 AM

badawi era policies was only few moons ago. any of u remember how bleak things were? prop prices dun move much, all complain govt no good & etc. so badawi put in place policy to attract more funds, if rich rakyat dun invest, how r things going to improve? u think rick rakyat put money into FD or savings help the bolehland grow meh

all policies take few years to materialize. even u fuk, u dun expect a kid the next day la so the policy work wonderfully as prices of props went up, I happy. but those who sell and expect bubble not happy. those sitting at sidelines and never buy also not happy? so how la? whose fault?

malaysia properties are expensive? compare to Bangladesh, Kenya or Sudan?

Malaysia property price, majority was not expensive if you ask someone who invested for the last 10 year before the 01.1. 2010

After 01.01.2010 until now. it start to become very expensive.

telling what i noticed.

This post has been edited by tikaram: Sep 28 2012, 08:34 AM

announcement of greater KL public transport transformation

ppl want to stay in landed in Bangsar, ttdi, one u, desapark city for less than 400k. so complaint expensive lah

I bought 1 unit bangsar south condo at 600psf for my 8 mths old baby, but I would say is cheap... I settle 30% as downpayment and monthly installment only 2.6K... Is still very cheap to me... Y everybody say expensive??

Everybody say expensive because no have no money to buy or just envy me?

Helius, you are spot on. I envy you. Please tell me your secret that you could buy bangsar south for your 8 months old baby.

malaysia house expensive?

But i still noticed, pahang, seremban, melaka, terengganu, kelantan and many other area price still so cheap cheap

Dont need look so far, rawang, ijok, puncak alam, semenyih, salak tinggi, dengkil also got a lot cheap cheap.

u r talking malaysia or KV? Dont mislead here

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Added on September 28, 2012, 9:51 amhe work hard and he deserve it

This post has been edited by peri peri: Sep 28 2012, 09:51 AM

Misterleaf, property gain tax is a pertinent point that most of us have known. The increase in RPGT will definitely help curb speculation of properties. As a matter of fact, current speculators who have bought quite a few units may not be able to sell off the properties too easily with some conditions imposed by the government, which will be revealed shortly in a few more hours.

Just 2 weeks ago, received news from a dad's friend that a house in Bandar Puteri Klang was reduced from RM450k to RM360k for a quick sale. Some have been desperate to unload units before the upcoming budget announcement as the fear of not being able to secure a sale is high.

Think the market will stabilise a bit with this budget announcement with less speculators and foreign investors driving up property prices.

envy envy

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Added on
Like what you shared, since gomen already done enough to curb speculation and price already drop (asking price? by the way), so should gomen kick in exemption order to cancel RPGT, right? Or else, the already cheap housing price in Malaysia will become even cheaper.

This post has been edited by ecin: Sep 28 2012, 10:15 AM

ok, friends here are with good salary or income.

Do you know With RM 5000 monthly only get a house loan about RM 300 K from the banker? There are many people are having low salary.

The monthly repayment is more than RM 1500.

Don't think we have to buy house at Pahang or Gunung Tahan, because we are living and working in Klang Valley, not the real valley.

If the gap between rich and poor is more, the social crime will be more.

High RPGT can reduce the market flipping.

This is my personal opinion. No offense.

if invested in REIT

600K with 6% dividen for 20 years getting at least 1.9 million

is the investment 1.5mil good @ 20 years later?


hahaha. What a joke!


0 600,000.00 636,000.00
1 636,000.00 674,160.00
2 674,160.00 714,609.60
3 714,609.60 757,486.18
4 757,486.18 802,935.35
5 802,935.35 851,111.47
6 851,111.47 902,178.16
7 902,178.16 956,308.84
8 956,308.84 1,013,687.38
9 1,013,687.38 1,074,508.62
10 1,074,508.62 1,138,979.14
11 1,138,979.14 1,207,317.88
12 1,207,317.88 1,279,756.96
13 1,279,756.96 1,356,542.37
14 1,356,542.37 1,437,934.92
15 1,437,934.92 1,524,211.01
16 1,524,211.01 1,615,663.67
17 1,615,663.67 1,712,603.49
18 1,712,603.49 1,815,359.70
19 1,815,359.70 1,924,281.28
20 1,924,281.28 2,039,738.16

This is what happened now, crime everywhere......and ppl all G&G and giving developers to have good selling point on their property launch G&G, security etc etc etc, then charge you high price....end up, developers are the gainer....

Do you know why gov still not want to make the RPGT back to the way it is? Gov need to make the economy report more nicely and push Malaysia becomes high income country as per wawasan 2020 stated... Recent years, Malaysia economy is pushing by this property segment. You have any idea the growth it make Malaysia report card look like?

Just my 2 C... Don't shoot me.. Hehe..

now developer very smart.they sell their house to their other developer friend.then their friend up the prices for public.Thats how going today in Malaysia.Thats why we asking for vacancy lot, their answer no vacancies left.

wah really?
this is like insiders trading to make the stock market high.

possible la.

price up, wealth up ( on paper )

yup..that the reality now.but many people didnt realize this.

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Added on September 28, 2012, 11:03 amyup..that the reality now.but many people didnt realize this.

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Added on September 28, 2012, 11:04 amgov should control this developer.also control the land price.

This post has been edited by amilism: Sep 28 2012, 11:04 AM

Go sub-sales lal, plenty, what's wrong ..

For new ones, does that mean for those who bought in Rawang (and elsewhere) and settled down there since years ago, are they stupid?

Malaysia property price is quite affordable already. Truely expensive property price is at places like hong kong, shanghai & etc where
even high income professionals struggling to buy a good property.

Like everything, there must be a balance. Too much control and you destroy the market and the economy will be seriously affected.
All these taxes, stamping fees increment & ect are not effective solution. At the end these money will goes to government
and the cost will be shift back to the buyers.

Seriously, learn to adapt to the market instead of crying for market to adapt to you.
Be more productive and earn more money to catch up. Every time want to ask for handicap so forever become a weak sauce.

+10
dampen MY economic

Do you think poor people cos of lazy?
Do you think poor study result cos of stupid?

Not everyone can earn much money or get good result even they do hard already. Sometimes they even use the same method but not getting the same result.

You are lucky, but please think about other people.

If same method, same school, same teacher, same class, same effort but result still below others, blame who??

Blame urself... No high IQ and EQ...

Don't expect others to feed u la... This is not fair to those smarter... Hehe...

Never heard people complain LV, Gucci, Chanel are so expensive!

Malai property is damn cheap because of medium quality. If you coimplain property is expensive, then you are poor fellow.

Malaysia is poor in comparative to Singapore, HK and number of wealthy population in Indonesia, Thailand & China.

Malaysia salary in negative inflation for the past 20 years. Hence, we are poor... including me ^^

Don't worry, government plan for house built below rm300k, here u go the chance. I wish my salary below rm3k.

I wonder you are guy or girl.. As a guy and among all the guy I know... We DO ALWAYS complain they are BLOODY expensive...

you can feel good if you are smart and gifted, but do not make fun of or belittle those who are not so gifted.
understand?

what happen for those are smarter than you but they do not have equal chance becasue they need to take care of sick families members, etc? Not everyone is as lucky as you who is so smart and lucky.
again, understand?

when u r smart and gifted, u shud be grateful, not look down on others.

LV, Gucci, Chanel, Breguet , Blancpain are so expensive, I demand for a msssive RPGT or GST on them

why would you hope to get your life harder..?

probably you would be the one who suffer in the end?

I like your comment..those who can afford houses doesnt have to be mean to others..

If they sell cheap will people buy?

you are saying if property developer selling their units @ region of 200k around greater kl, will the rakyat buy it??

Yes, I will!
Why not?

Sorry but whoever thinking like this is already a weak sauce loser. 90% of the time one cannot be success is because they don't believe they can.
They just simply gave up and find excuses. Over time a lazy genius can lose to a hardworking idiot.

Imagine, every time you lose a badminton game you demand to change the rules for you. This goes forever and you will only become weaker because
instead of improving yourself you're trying to gain handicap so you can cope with it.

If you want to stay in the game, improve yourself and push to the limit until you can cope with it. Otherwise just don't play the game aka don't
enter property market, simple. Or don't enter the market you cannot cope with, improve until you can.

In Malaysia, there are properties price ranging from cheap flat costing RM80k to RM200k medium cost, 500K luxury & etc etc.
The choices are there but you don't want to choose the one you can afford, you want the better option
BUT... you want it cheaper, you want handicap given to you, you want the market swing to your favor.

In hong kong a low cost apartment few hundred sqf size cost a couple million. That is a legitimate concern.
In Malaysia, hell no!

Being humble doesn't mean u r weak man..correct me if im wrong..

coz malaysian greedy lo. They put a high price tag and say take it or leave it.

In general, personally, I rate this as Good Budget.
All are good things for low-middle income groups (tax reduce, exemption, cash $$, affordable houses, 50% stamp duty, my 1st home scheme, higher RPGT, etc), nothing to complain already.

The only concern is the country deficit will definitely be widen.

Weak RM is the problem.

+1

I think being humble means not bragging about how good you are, being humble does not means you see yourself cannot
compete fairly and deserve given handicap for something you want.

If truely want to be humble then pick the right opponent you can handle (flat, apartment, condo, terraced, bungalow).
In malaysia they are still choices.

You can only afford flat then you want to buy condo, instead of trying to earn more money you want the market goes
down. The world moves on, some day in malaysia a flat will cost a condo's price or more. Mind you, in economic sense this
property price progression over a steady period is perfectly normal and healthy.
If you do not move on then blame the market and the earth goes round and wait for durian jatuh.

Anyway, back to topic i don't think all these taxes and fees will make more affordable houses. Instead the money will goes
to the government and the cost will shift back to buyer. I think government need to build or give subsidies to build more affordable
houses.

Bro, your idea worth considering. Which counter you recommend?

Setapak flat and apartment so expensive liao. still worth to invest
or not?

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Added on September 29, 2012, 12:00 amNobody envy you. You just talking yourself here only.

This post has been edited by Seremban_Guy123: Sep 29 2012, 12:00 AM

Expensive in a way suppose to be RM1 and reasonable to afford. Now it is become RM1.5 or RM2.

Goverment Should Tax Rich People like me.

+1

Wow, 30% dp
Woww, installment only 2.6K
Wowww, for 8m old bb

I really feel envious & jelly of u

agreed. possible share the counter with me too? :-)

You got the point! i like your statement. We really need to work harder or/and smarter to earn more. I do not have high qualification but i am leading a group of people with MBA certificate. It is not because i am smarter or luckier than them, it is because the strategy i used to get things done in the way that bosses like it. The environment will not change for you, is you to adapt or use the right strategies to alleviate the impact and survive from there. Keep complaining (i see it as releasing the negative energy) is useless, tell urself can do it ( i see it as positive energy) then one day you can do it too even when a normal condo reach 1mil or higher you can still afford it. This is what i always tell me wife, don't complain this and that because i do not need your negative energy.

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Added on September 29, 2012, 2:24 ami did similar things for my son too but i will not let him know and would like to see him earning his first house without asking for my support.

This post has been edited by cheraspeople: Sep 29 2012, 02:24 AM

Agreed! +1

Totally agreed with cheraspeople 110%

U must have high EQ.

Can I work under u when I back to Malaysia 2015/2016?

I am just a IT degree holder.

Any reit la.


try avoid the govt link company reit.

IMO not much to do with RPGT, root caused is "urbanization"

goood or not depend on u laa..
my recommendation is for own stay & if buyer on limited budget, just buy it laa..if got extra budget then buy PV...

There is quite a bit of misconception here on prices of property in Malaysia. Firstly, there are few scenarios involved here. Most here seem to be harping on the financial capability of a person in owning a home. Of course this is a valid point, otherwise we would see everyone from the lower-income group owning RM1 million properties.

It is prudent to say that there are other factors driving the prices of properties up. Hard-core speculators who buy 10 units or more upon launching and releasing them at a high mark-up 1-2 years later when construction of the building is completed, or investors who bought much fewer units but still contribute to the effect. This phenomena is quite evident for the past 2-3 years especially for properties below RM500k, less common with those in the higher price bracket.

Apart from local speculators who some of them rely on this type of buy/self for a living or side-income, foreign investors too play a part due to the weak Ringgit. Singaporeans find our properties cheap whilst other foreign investors have played a part as well in driving up the prices of properties here. This pattern was seen in other parts of the countries as well, especially Singapore when mainland Chinese investors have driven property prices in Singapore to a very high level.

In the recent budget announced by the government, it appears that they have taken all aspects into consideration. ALthough the government are aware that all this property speculation is an issue, the interest of developers and other players in the industry would be important too, since some of them are their allies, apart from the fact that the property/construction industry is one of the big factors that contribute to the growth of the economy.

Perhaps if the RPGT change to something like this:

Properties held and disposed within 4 years, RPGT = 10%
Properties held and disposed after 4 years & up to 6 years , RPGT = 5%
Properties held and disposed after 6 years, RPGT = 0%

Then i guess it really would make a big different.

Despite the announcement of Budget 2013, i saw some upcoming new plan launches still at new high price.....

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Added on October 3, 2012, 9:30 am

This post has been edited by fei_singh: Oct 3 2012, 09:32 AM

Budget 2013:

Properties held and disposed within 2 years, RPGT = 15%
Properties held and disposed after 2 years & up to 5 years , RPGT = 10%

Happy? Wait for another rising.

get ready ur bullet. peng peng peng

I always feel lucky to live in this country, I meet property players everyday, all I can say is we are very very conservative indeed, this is a good sign to our property mkt. Bout 80% of the home buyers complaint property prices, I am marketing a 3-storey SUPERLINK houses since 2003, the price has risen fr 563K - 1.4 mil to-date, 95% of my buyers were complaining the selling price fr day 1.
If > 40% of the people are bullish, then the mkt will burst. I think in general (whole mkt), optimistic constitute bout 15% now. My guess

This post has been edited by UFO-ET: Oct 7 2012, 02:39 AM

Everyone complains about property price in msia very is expensive since few decade ago. but still we see people keep buying

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Added on October 7, 2012, 8:42 amHk property market is what our future looks like

This post has been edited by kh8668: Oct 7 2012, 08:42 AM

Agreed.

People always like to compare properties about time & price. They forgot about many other factors.

I still think Malaysia property is cheap....

Y everybody say expensive?? Our neighbour next island is selling much much more expensive... China and hong kong much more worst...

So we still have a long way to go as I could see everyone still afford to buy now, just whether cheap or expensive... There are still plenty of house selling below 200k....

So don't complain expensive if u are not affordable... Not everyone are no 1 in a class since we were in kindergarten....

Learn it and accept it~~~

Property in KL area and Penang island area is expensive, not the entire Malaysia lah... a lot of house in not so high density area are still very affordable.

Agree with you.. Although I do think that somehow our country salary growth is lagging behind.. But that is a diff story altogether..

There are 2 type if ppl who complain bout house being expensive that I despise..

Type 1: those who spent like 30-40% of salary in car instalment or don't mind paying 1k plus per month for cars, yet say house very expensive.. Just buy a much cheaper or 2nd car and save the money for house instalment la..

Type 2: those who want cheap house in prime location but yet complain those flat below 200k not for human live one.. If can't afford then they pretty much belong to the same as the "non human" who live in the low cost apt la.. Want to look down on ppl when ownself can't afford also..

Many also have the "tongkat mentality" wanting gov to give cheap house.. Like PR1MA, think in the end since its cheaper, then poorly maintained, then ppl complain again..

In the end is really down to your own mentality and perception.. Do something about it, or just sit there wait and hope property price will drop until the 90s price..

If Malaysia's house is cheap, how come government launch Prima or other affordable house project?

There are 2 type if ppl who said it is cheap.

Type 1: Own a house, maybe more than 2-3, then keep saying the house is cheap and hope to sell more expensive or rent more expensive.

Type 2: Not staying or working in Klang Valley.

Don't think we really hope the price drop until the 90s price, it is impossible. We just want reasonable price, is it wrong?

If you really do a good study, you will find out that the house price hike a lot since 2007/2008. The Previous 5 years before that is OK and acceptable.

This post has been edited by MisterLeaf: Oct 11 2012, 02:49 PM

But a lot of them didn't want to buy back then (it wasn't reasonable back then) ......

Bro, during 90's the home interest is like 9 to 10% that time. Even during year 1999 hit more than 11%. Hush hush to get a loan repayment although house price might be cheap. Quite pathetic too during that time.

Yeah! Betul, Betul, Betul!
Guys, looking forward!

yeah, look forward.

People compare time & price only. They forgot about other factors.

Let them be.

Market will tell. Market is always smarter than us. Need not argue.

They can continue to wait, but it will not come.

Once u missed. Look forward.

IMO, the significant price hike started at 2009 actually, before that property investment is not interesting due to the miniscule capital appreciation in tandem with inflation. Certain older condo even depreciate in value.

The reason that government launch PR1MA and other affordable house is the same reason that they give bumi quotas... people tend to like a piece of the pie even though they dont do much to deserve it... in other word, the "tongkat mentality"... we cant live on subsidies and aid forever...

I think PR1MA concept was good initially... but then they change the criteria for balloting... our country has some good policies, but as always, our implementation is bad... low cost landed in Rawang and Bkt Beruntung just left there for dust... shows that people still choose location over affordability...

I do not think house price is cheap in Msia, but i still think its affordable... I just do not like the fact that people complain about it but not changing their lifestyle nor do anything about it... why i say its still affordable because the unsold properties remain constant for the past years... shows that people are still buying despite the price hike...



I own one house for own stay and yes I'm working in KV... back in the 90s i've already started hearing people saying house price is getting expensive and bubble will come... the price surge was more on year 2009 actually, but there are many underlying factors that cause the surge... like it or not, property growth is part of economic growth, its kind of inevitable for a developing country like Msia...

If you can read chinese, read this news.
http://www.orientaldaily.com.my/index.php?...20:9&Itemid=203

Malaysia real estate speculation TOP 9 in the world.

https://fbcdn-sphotos-c-a.akamaihd.net/hpho...174557400_n.jpg

The data tell the truth. Not from own opinion like talk in coffee shop.

TOP 9, Asia is booming. It also mentioned that MY is the number 5 in Asia, after Hong Kong, China, Singapore, and Philippine .. reasonable la.

I think better our government follow SG govn, all properties under govn so the price under control.