Foreign Buyer · Full Cost Sheet
The Foreign Buyer's Full Cost Sheet — RM1.8M in Penang
Every ringgit above the purchase price. Printable, saveable, and honest about what nobody else shows you.
RM1.8M is where most of my foreign clients end up. It is the smallest number that opens the doors to genuine sea-view stock at Tanjung Tokong and Gurney — and the largest number before you start paying premium-band psf. Here is every cost above the purchase price, in the order it hits your bank account.
The full cost stack
Every line item a foreign buyer clears at RM 1,800,000, in the order it hits your bank account. This is what you will actually pay — not what the sales gallery told you.
| Line item | Amount (RM) | Running total |
|---|---|---|
| Purchase price | RM 1,800,000 | RM 1,800,000 |
| SPA stamp duty (foreign: flat 8%) | RM 144,000 | RM 1,944,000 |
| Loan stamp duty (0.5% on RM 1,260,000 at 70% LTV) | RM 6,300 | RM 1,950,300 |
| Legal fees (SPA + Loan) ~1% | RM 18,000 | RM 1,968,300 |
| Valuation fee | RM 3,000 | RM 1,971,300 |
| Foreign buyer levy (Penang Island: 3%) | RM 54,000 | RM 2,025,300 |
| State consent (COSA) fee | RM 15,000 | RM 2,040,300 |
| MOT / disbursements | RM 6,000 | RM 2,046,300 |
| Cash to close (100% cash buyer) | — | RM 246,300 above purchase |
| — with 70% bank loan option — | ||
| Down payment (30%) | RM 540,000 | |
| Above-price costs | RM 246,300 | |
| Cash needed at signing (70% LTV) | — | RM 786,300 |
Loan stamp duty and legal fees assume 70% LTV; a cash buyer drops the loan stamp line and pays roughly two-thirds of the legal fees. COSA is a Penang state fee — foreign buyers only.
Year-1 holding costs
What you pay just to keep the keys in your pocket for the first twelve months. Modelled on a typical 1,400 sqft unit at this price band.
| Item | Annual |
|---|---|
| Assessment (MBPP) | ~ RM 1,200 |
| Quit rent | ~ RM 200 |
| Maintenance (RM 0.35 / sqft × 1,400 sqft × 12) | ~ RM 5,880 |
| Home insurance | ~ RM 500 |
| Total year-1 holding cost | ~ RM 7,780 |
Exit RPGT preview (foreign owner, +20% hypothetical)
If you sold this RM 1,800,000 unit at RM 2,160,000 (a hypothetical +20%), your gain would be RM 360,000. The Malaysian RPGT bill by holding year:
| Sold in | RPGT rate | RPGT bill | Net after RPGT |
|---|---|---|---|
| Year 1 | 30% | RM 108,000 | RM 2,052,000 |
| Year 3 | 30% | RM 108,000 | RM 2,052,000 |
| Year 5 | 30% | RM 108,000 | RM 2,052,000 |
| Year 6+ | 10% | RM 36,000 | RM 2,124,000 |
This is a preview. The RPGT calculator has the full grid — including allowable costs and the year-5 vs year-6 comparison for your exact numbers.
Penang Island projects worth seeing at RM1.8M
A short list of Penang Island projects that price in at or around RM1.8M today.
gelugor
Lightwater Residences
IJM Perennial Development Sdn Bhd
From RM 2.050 mil
Lightwater Residences is IJM's freehold waterfront project at The Light Waterfront in Gelugor — 262 units across two 34-storey towers, part of the 152-acre masterplan, targeting completion in 2028. It's one of the most watched new launches on the mid-island. Pricing opens from about RM2.055M (roughly RM1,780 psf), with layouts from 1,152 to 3,186 sqft. You're paying a premium for a branded, master-planned waterfront address with the convention centre, retail and promenade around it. My honest take: this is a bet on The Light precinct maturing into Penang's marquee waterfront lifestyle destination — and IJM has the balance sheet to deliver it. The psf is toward the top of the market, so this is location-and-brand buying, not value buying. Note the title class on waterfront JV projects can differ from plain residential — confirm it with me before you commit. Ask for the current price list and floor plans.
gelugor
Merione Residences
IJM Land
From RM 1.424 mil
Merione Residences is IJM Land's newer tower at The Light Waterfront in Gelugor — a single 39-storey block of 145 semi-furnished units (residences from levels 11–39 above a retail/commercial podium), freehold, launched at the end of 2025. Asking is around RM1,350 psf, with indicative pricing from about RM1.3M — a more accessible entry into The Light precinct than the larger Lightwater units, on layouts around 1,055–1,206 sqft. Note the smallest published layouts at RM1,350 psf work out slightly above RM1.3M, so confirm exactly which unit the entry price refers to. My honest take: Merione is the way into The Light Waterfront at a lower absolute ticket than Lightwater — good for a buyer who wants the branded address and rental profile without a RM2M-plus outlay. The mixed retail/residential structure means title class matters here; get me to confirm it. Ask for the current price list and which stack suits your budget.
gurney drive
Marriott Residences
Taman Sri Bunga S.B. (BSG Property)
From RM 1.600 mil
Marriott Residences Gurney is the Marriott-flagship play on the Kelawai/Gurney corridor — 302 hotel-branded units sitting roughly opposite Gurney Plaza, developed by BSG Property under licence to Marriott International. Verdict: worth visiting if you want hospitality-managed STR income with a globally recognised brand on the door. Not for own-stay families chasing maximum sqft per ringgit. Location specifics: walk to Gurney Plaza and Gurney Paragon (under 10 minutes), Penang Chinese Girls' High School within 1.5km, Island Hospital ~4km, Gleneagles ~5km. The Gurney corridor LRT alignment is still proposed — drive-dependent for now. Developer track record: BSG Property is the long-time owner of the Gurney site and has held this land bank patiently — that patience matters for a branded launch (no rushed product). Marriott International runs the operational SOP, so the service standard you get on day one is the Marriott standard, not a learning-curve local team. Unit configuration sweet spot: the 1,200-1,400 sqft 3-bedroom — large enough to live in, small enough that the brand-premium PSF doesn't compound past sensible. The 850 sqft 2-bed is the investor unit (cleanest rental yield), the 2,500 sqft penthouses are the trophy buy that's hardest to resell. Target buyer: HK/SG investor who wants hospitality-managed rental income plus Marriott Bonvoy crossover, or MM2H holder with a 50% FD utilisation play. Not for: own-stay family who'd rather buy 2,500 sqft of landed in Tanjung Bungah for similar money. Genuine concern: maintenance fee will land around RM0.60-0.75 PSF/month (hospitality-branded standard) — on a 1,200 sqft unit that's RM800-900/month before sinking fund. Mitigation: if you commit to the operator-run rental programme, the income covers maintenance comfortably in tourist season; do the math at booking and don't sign if rental projection feels stretched.
Want the full sheet as a printable PDF + Zac's notes on the 3 specific projects at this price band?
I'll send you the RM1.8M sheet as a proper PDF, plus my private notes on the specific units, floors and stacks that are worth looking at right now — including what I'd skip.
Send me the RM1.8M sheet on WhatsAppZac usually replies within a few hours during Penang business hours.
Bottom line at RM1.8M: cash buyer clears RM 2,046,300 in total. With a 70% bank loan, cash needed at signing is RM 786,300. Year-1 holding around RM 7,780. If you sold at +20% in year 6, RPGT bill would be RM 36,000.
FAQ — RM1.8M foreign buyer
What is the total cost above RM1.8M for a foreign buyer?
About RM246,300 above the purchase price — RM144,000 stamp duty, RM54,000 levy, RM18,000 legal, RM15,000 COSA, RM6,300 loan stamp duty (on 70% loan), RM6,000 disbursements, RM3,000 valuation. A 100% cash buyer clears RM2,046,300 total.
How much cash at signing for 70% LTV?
Down payment RM540,000 plus RM246,300 above-price costs = RM786,300 cash needed at signing. The bank funds the remaining RM1,260,000 as the loan.
Can a foreign buyer get more than 70% LTV in Penang?
Occasionally, developer-panel banks offer 80% for a specific project, but 70% is the working assumption. Some foreign-heavy banks cap at 60% for pure offshore income. Get pre-approval before you commit — the LTV changes your cash-at-signing by RM180K on this band.
If I sell in year 6 at +20%, what is my RPGT?
On a RM1.8M purchase sold at RM2.16M (year 6), gain = RM360,000. Foreign RPGT year 6+ = 10% = RM36,000. Compare to year 5: 30% = RM108,000. Waiting one more year saves RM72,000.
What areas make sense at RM1.8M?
Tanjung Tokong (sea-view mid-rise, near Straits Quay), Gurney Drive (older but iconic), Batu Ferringhi (resort-side, lower density), and George Town heritage-fringe (Lumina, Gvinton). Bayan Lepas for tech-corridor rental play.