The Securities Commission Malaysia (SC) has released a new property crowdfunding framework, following revisions made to its Guidelines on Recognised Markets here today. Eligibility criteria Under the property crowdfunding scheme, at the initial phases, only eligible properties and homebuyers will be allowed to participate. Some of the eligibility criteria of homebuyers are that the individual has...
SC Proposed requirements in relation to a homebuyer Permitted homebuyers The property crowdfunding scheme is to enable a first-time homebuyer to access funding to purchase his first residential property. Whilst there is no definition of the term “first-time homebuyer”, the SC is guided by the various government incentives relating to a first-time homebuyer. For example, under My First Home Scheme,...
The SC has to date embarked on various efforts to enable businesses to benefit from wider accessibility to market-based financing avenues to meet their financing needs, as well as utilising technology to enable greater investor participation. In this regard, the SC has introduced the equity crowdfunding (ECF) and peer-topeer (P2P) financing frameworks in the capital market to allow for alternative...
Crowdfunding has been gaining more attention these past few years thanks to sites like Kickstarter and real estate crowdfunding is no different. Nonetheless, it is still a relatively new term on the Malaysian market and locals have been questioning the benefits of this venture. Here are 8 reasons to consider Property Crowdfunding: Low minimum investments - Buying a property generally requires a...