penangproperty

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.

The foreign-buyer sweet spot on Penang Island. Enough to reach real sea-view stock without stepping into RM2M+ premiums.

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 itemAmount (RM)Running total
Purchase priceRM 1,800,000RM 1,800,000
SPA stamp duty (foreign: flat 8%)RM 144,000RM 1,944,000
Loan stamp duty (0.5% on RM 1,260,000 at 70% LTV)RM 6,300RM 1,950,300
Legal fees (SPA + Loan) ~1%RM 18,000RM 1,968,300
Valuation feeRM 3,000RM 1,971,300
Foreign buyer levy (Penang Island: 3%)RM 54,000RM 2,025,300
State consent (COSA) feeRM 10,000RM 2,035,300
MOT / disbursementsRM 6,000RM 2,041,300
Cash to close (100% cash buyer)—RM 241,300 above purchase
— with 70% bank loan option —
Down payment (30%)RM 540,000
Above-price costsRM 241,300
Cash needed at signing (70% LTV)—RM 781,300

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.

ItemAnnual
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 inRPGT rateRPGT billNet after RPGT
Year 130%RM 108,000RM 2,052,000
Year 330%RM 108,000RM 2,052,000
Year 530%RM 108,000RM 2,052,000
Year 6+10%RM 36,000RM 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 Perennial's freehold condominium at The Light Waterfront in Gelugor: 262 homes in two 34-storey towers, targeted for completion in the first quarter of 2029. There are eight layouts, from 1,152 sq ft two-bedroom-plus-study homes priced from about RM2.05M (around RM1,780 per sq ft), through three-bedrooms of 1,410 to 1,561 sq ft from about RM2.64M, up to 3,186 sq ft. You're paying for a master-planned waterfront address with the convention centre, the shopping and the promenade around you, and it's priced near the top of Penang's market. It suits buyers who want the best-finished address at The Light rather than value per sq ft. Every unit clears the RM1M foreign-buyer minimum.

gelugor

Merione Residences

IJM Land

From RM 1.578 mil

Merione Residences is IJM Land's newest tower at The Light Waterfront in Gelugor: 145 semi-furnished three-bedroom homes on levels 11 to 39 of a 39-storey block, above the Merione Grand commercial floors, with just five homes per floor. It launched on 13 September 2026 and is due in December 2029. It's freehold. There are three layouts of about 1,055, 1,195 and 1,206 sq ft, each with two or three parking bays. IJM advertises them from about RM1.58M to RM1.94M. It's the lower-ticket way into The Light Waterfront next to Lightwater Residences, and the five-per-floor layout keeps it quiet. Every unit clears Penang Island's RM1M foreign-buyer minimum. The trade-off is a three-year wait for completion.

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 area — 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. The Gurney area 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 WhatsApp

Zac usually replies within a few hours during Penang business hours.

Bottom line at RM1.8M: cash buyer clears RM 2,041,300 in total. With a 70% bank loan, cash needed at signing is RM 781,300. 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 RM241,300 above the purchase price — RM144,000 stamp duty, RM54,000 levy, RM18,000 legal, RM10,000 state consent fee, RM6,300 loan stamp duty (on 70% loan), RM6,000 disbursements, RM3,000 valuation. A 100% cash buyer clears RM2,041,300 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.

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