Malaysia's Forest City MM2H: a 10-year pass that comes with a condo
The SEZ/SFZ tier drops the fixed deposit to $32,000 if you're 50 or older. The price: you buy a Forest City home of at least RM500,000 (about $123,000) and keep it for 10 years.
This is the entry-level mainland tier of Malaysia My Second Home, tied to one development in Johor, across the strait from Singapore. You don't have to prove any income. The developer says 593 applicants were approved between October 2024 and March 2026.
Start with your money
Two pots of money parked in Malaysia
This tier asks for a fixed deposit in a Malaysian bank and a Forest City home you can't sell for 10 years. There's no income test and no permission to work, so it lines up best with money you already have.
- Retiree 50+ living on savings or a pension: the strongest case, with the lowest deposit and no minimum-stay rule
- Investor aged 21 to 49: it works, but the deposit doubles and your household must log 90 days a year
- Remote worker: this pass doesn't allow work in Malaysia, so the DE Rantau Nomad Pass is the cleaner fit
- Want to work with no property purchase: Sarawak's S-MM2H allows work, with a flat RM500,000 deposit (about $123,000)
The numbers that decide it
$32,000
Fixed deposit, age 50+
USD 65,000 if you're 21 to 49
~$123,000
Minimum Forest City home
RM500,000, developer units only
10 years
First pass, multiple entry
Then renewable in 5-year blocks
90 days
Yearly stay, under 50 only
Dependents' days count too
The catch
Your visa is only as liquid as Forest City
Here's the catch: the home must come straight from the Forest City developer, and you can't sell it for 10 years (trading up to a pricier unit is allowed). Resale units don't qualify, while one agent reports purchases are cash only, with no loans.
- Only one of the four planned islands has been built
- No official occupancy figures exist; one independent estimate put completed towers at 15% to 30% occupied in February 2026
- The developer's side claims close to 20,000 residents across 26,000 finished units
- Majority developer Country Garden reported US$194 billion in liabilities at the end of 2022
- The five-minute RTS Link from Johor Bahru to Singapore is targeted to open at the end of 2026; its station is in central Johor Bahru, not Forest City
What the pass does and doesn't allow
Live anywhere in Malaysia
You must own in Forest City, but nothing requires you to live there.
No job, no business
Work is off-limits, even a company director seat. Only the Platinum tier allows work.
Bring the family
Spouse, children under 21, single unemployed children 21 to 34, disabled children, and parents or in-laws.
Malaysian coverage under 60
Under-60s need a Malaysian health policy. Everyone takes a medical exam in Malaysia after approval.
No path to PR
MM2H can't convert to permanent residence, and Malaysia doesn't allow dual citizenship.
Come and go for 10 years
Multiple entry throughout. The pass follows your passport's validity, so renew the passport early.
The process
From licensed agent to passport sticker
You can't apply on your own: a MOTAC-licensed agent files for you, and one agent reports two to three months to a decision. Anyone previously refused MM2H is ineligible. If you hold an employment or spouse pass now, you'll give it up to get MM2H stamped.
- Hire a licensed agent. The professional fee is fixed at RM40,000 (about $9,800) plus 8% SST
- Gather documents: a passport with 18+ months left, police clearance for everyone 18 and over, marriage and birth certificates
- Get conditional approval, then pay the one-time RM1,000 (about $245) participating fee
- Open the fixed deposit and buy your Forest City unit; the developer says within 90 days of approval
- Take the medical exam in Malaysia and buy Malaysian insurance if you're under 60, then the pass is endorsed
What it costs, all in
For one applicant 50 or older, plan on about $166,000 committed: the $32,000 deposit, a home of at least RM500,000 (about $123,000), and roughly $10,800 in agent, tax and government fees. Under 50, the bigger deposit pushes it to about $199,000. Most of that stays yours as a deposit and a condo, and up to half the deposit can be withdrawn after approval for a home, education or medical costs. On top: RM500 (about $123) per person per year for the pass, RM2,500 (about $614) processing per dependent, Malaysian insurance, and RM300 to renew after year 10. Dollar figures use the September 2026 exchange rate.
People who can help
Christine Reynolds
Paraguay Local Guide, Malaysia Local Guide
Christine Reynolds is a local guide for Malaysia and Paraguay.
Hunter Schultz
Healthcare Coach
Hunter Schultz is a healthcare coach who helps people plan care and coverage abroad.
ExpatInsure
Global Health Insurance
ExpatInsure arranges global health insurance. Under 60, MM2H also requires a Malaysian policy, so ask how the two fit together.
MyExpatTaxes
U.S. Expat Tax Service
MyExpatTaxes prepares U.S. tax returns for Americans living abroad.
Taxes
What Malaysia and the IRS each want
Malaysia exempts foreign income that resident individuals bring in through December 31, 2036, as long as it was taxed where it arose. Tax residency turns on days in the country (182 or more), not on your visa.
- There's no U.S.-Malaysia income tax treaty and no totalization agreement
- Your deposit alone tops the $10,000 FBAR threshold, so file FinCEN Form 114 for every year you hold it
- Malaysian banks report U.S. account holders to the U.S. under FATCA
- The exemption doesn't cover income from a Malaysian partnership business
Questions Americans ask about the Forest City MM2H
Will Malaysia tax my U.S. pension or investment income?
Generally not through December 31, 2036. Malaysia exempts foreign income that resident individuals bring into the country, provided it was taxed where it arose and doesn't come from a Malaysian partnership business. You still file U.S. returns, and there's no U.S.-Malaysia tax treaty.
Do I have to live in Forest City to get this visa?
No. You have to buy a home in Forest City, Johor, directly from the developer, but nothing requires you to live there. Holders can base themselves elsewhere in Malaysia, such as Kuala Lumpur or Penang.
Can I sell my Forest City property later?
Not for 10 years. The rules bar selling the home during that period, though you can trade up to a higher-value residence. There are no official occupancy figures for Forest City, so plan on this being money you can't easily get back.
Can I bring my spouse, children or parents on the SEZ MM2H?
Yes. Eligible dependents are a spouse, children under 21, single unemployed children aged 21 to 34, disabled children of any age, and parents or parents-in-law. Each dependent pays a RM2,500 (about $614) processing fee and RM500 (about $123) a year for the pass.
Does the MM2H SEZ visa lead to permanent residency or citizenship?
No. MM2H is a long-stay pass that can't be converted to permanent residence. Malaysia also doesn't allow dual citizenship, so naturalizing would mean giving up your U.S. passport.
How many days a year do I have to spend in Malaysia?
If the principal applicant is 21 to 49, the household needs 90 cumulative days in Malaysia each year, and dependents' days count toward it. Miss it and you can't renew. Agents report that principals 50 and older have no minimum stay.
Can Americans apply for the MM2H SEZ/SFZ visa?
Yes. U.S. citizens can apply, but only through a MOTAC-licensed MM2H agent; direct applications aren't accepted. The principal applicant must be at least 21 and needs a passport with at least 18 months of validity. Anyone previously rejected under MM2H is ineligible.
Can I work in Malaysia on the MM2H SEZ pass?
No. Employment and business activity aren't allowed on this tier, and that includes serving as a company director. Only the MM2H Platinum tier permits work. Sarawak's separate S-MM2H program does allow work.
Is Forest City your best way into Malaysia?
Weigh it against Silver, Sarawak's S-MM2H and the DE Rantau pass with an advisor who knows the trade-offs.
Why not you?