Selling Property as a Foreigner: RPGT + Getting Your Money Out (2026)

📅 Last verified: June 2026. Tax rates and remittance rules change. Anything marked should be reconfirmed with LHDN (the tax authority) or a licensed professional before acting.


The short version

  • You can sell — but plan for RPGT, a 7% withholding, state consent for the new buyer, and (if MM2H-tied) a 10-year lock.
  • RPGT: 30% if you sell within 5 years, 10% from year 6. The clock is the lever.
  • Your buyer’s lawyer holds back 7% of the price for LHDN; you get the balance, with refunds settled later.
  • Net proceeds can generally be repatriated — Malaysia has no exchange-control block on genuine property proceeds. †

You can sell — with four things to plan

  1. RPGT (Real Property Gains Tax) on your gain: 30% in years 1–5, 10% from year 6. Hold longer, pay less.
  2. The 7% withholding. The buyer’s solicitor retains 7% of the sale price and remits it to LHDN as a deposit against your RPGT; you receive the balance, and any over-payment is refunded after assessment. You don’t get 100% on the day — plan your cash-flow around it. †
  3. State consent. The transfer to your buyer also needs the state’s consent — the same step you went through buying in, so factor the time.
  4. MM2H lock. If the property was tied to your MM2H (Malaysia’s long-stay visa) application, a 10-year no-sell rule may apply. Check before you list. → When your property is tied to MM2H

Getting your money out

Malaysia is generally open on repatriation — genuine net sale proceeds can be remitted abroad through the banking system, subject to the usual documentation. † Keep your purchase records and tax clearance clean; that paperwork is what makes the outward transfer smooth.

The timing lever

RPGT rewards holding. The gap between selling in year 5 (30%) and year 6 (10%) is often the single biggest number in your exit. Sell on the calendar, not the impulse.

Work the numbers on the RPGT guide + calculator; time the transfer with state consent.


On the way in, location decides your return. On the way out, timing does. Sell on the calendar, not the impulse.

Planning your exit? Message me on WhatsApp — I’ll help you map the RPGT, the timing and the paperwork.


General information only — not tax or legal advice. Rates and remittance rules change and vary case by case; confirm with LHDN and a licensed professional. Figures marked † move most often. Author: Jacky Yong, licensed real estate negotiator (REN 77674), Vivahomes Realty Sdn Bhd (E(1)1670).

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