How to Check a Property Developer in Malaysia

8-step checklist to verify any developer before signing the SPA or paying a deposit. Protect your RM300K-1M investment.

Complete guide with official portal links, red flags, and data tools.

Quick Checklist (Save This)

Step 1. Check APDL License (Advertising Permit & Developer License)

Why This Matters

Legally required under Act 118. No APDL = illegal to sell housing units. This is the #1 most important check.

How To Do It

  1. 1Ask the developer for their APDL number — it must appear on all marketing materials
  2. 2Go to teduh.kpkt.gov.my and search under 'Senarai Pemaju'
  3. 3Verify the APDL is still valid (not expired) and matches the specific project
  4. 4If they can't provide APDL — walk away immediately

Red Flag

Developer says 'APDL is pending' or 'not needed for this project'

Step 2. Check KPKT Blacklist

Why This Matters

KPKT maintains lists of developers who abandoned projects, violated tribunal awards, or operated without licenses. 246 developers are on the abandoned projects list alone.

How To Do It

  1. 1Visit ehome.kpkt.gov.my → 'Senarai Hitam Pemaju'
  2. 2Check all 4 categories: unlicensed, abandoned, tribunal violators, unpaid fines
  3. 3Also check 'Senarai Pemaju Sakit' (troubled developers) — separate from blacklist
  4. 4Search by company name AND director names (developers sometimes start new companies)

Red Flag

Company name is very new but directors have links to blacklisted companies

Step 3. Check SSM Company Registration

Why This Matters

Verify the company is legally registered, still active, and has sufficient paid-up capital. Dormant or winding-up companies are red flags.

How To Do It

  1. 1Search the company name at ssm.com.my
  2. 2Verify company status is 'Active'
  3. 3Check paid-up capital — major developers have RM10M+ paid-up capital
  4. 4Check if there are any winding-up petitions or judicial management orders

Red Flag

Paid-up capital under RM500K for a large project, or company incorporated less than 1 year ago

Step 4. Check REHDA Membership

Why This Matters

REHDA (Real Estate & Housing Developers' Association Malaysia) members are vetted and follow industry best practices. Not mandatory, but a good trust signal.

How To Do It

  1. 1Visit rehda.com and search the developer directory
  2. 2REHDA members must follow a code of ethics
  3. 3Non-REHDA developers aren't necessarily bad, but membership is a positive signal

Red Flag

Developer claims REHDA membership but isn't listed on the website

Step 5. Visit Completed Projects

Why This Matters

The best verification is physical. Completed projects show build quality, maintenance standards, and how the developer treats buyers after handover.

How To Do It

  1. 1Drive to 2-3 of their completed developments
  2. 2Check: road conditions, landscaping, common area maintenance
  3. 3Look for: cracks, water stains, poor drainage, broken facilities
  4. 4Talk to residents — ask about defect rectification and management company
  5. 5Check if the project was delivered on time (ask residents when they moved in vs promised date)

Red Flag

Developer has no completed projects, or completed projects show poor maintenance

Step 6. Check Buyer Reviews Online

Why This Matters

Real buyer experiences reveal what marketing materials don't — construction quality, after-sales service, hidden costs.

How To Do It

  1. 1Search '[developer name] review' on Google
  2. 2Check PropertyGuru reviews for their projects
  3. 3Search Lowyat forum (forum.lowyat.net) — most honest Malaysian property discussions
  4. 4Check Facebook groups for specific developments
  5. 5Look for recurring complaints vs one-off issues

Red Flag

Multiple complaints about the same issue (late delivery, defects not fixed, unresponsive management)

Step 7. Check Transaction Data (Resale Performance)

Why This Matters

How a developer's properties perform in the resale market tells you everything. Rising PSF = quality. Declining PSF = problems.

How To Do It

  1. 1Search the project on NewProjek's transaction data
  2. 2Check PSF trend — is it appreciating or declining?
  3. 3Compare to district average — is it above or below?
  4. 4Check transaction volume — high volume = liquid market, easy to sell later
  5. 5Look at the ROI since launch — does the project beat FD returns?

Red Flag

PSF consistently declining while the district average is rising

Step 8. Check the SPA (Sale & Purchase Agreement)

Why This Matters

The SPA is your legal protection. Schedule H (strata) and Schedule G (landed) are standardized under HDA — any deviation is a red flag.

How To Do It

  1. 1Ensure the SPA follows Schedule G (landed) or Schedule H (strata) format
  2. 2Check the completion date — 36 months for landed, 48 months for strata
  3. 3Verify LAD clause — 10% p.a. for late delivery
  4. 4Check the defect liability period — must be 24 months
  5. 5Have a lawyer review before signing — never sign without legal advice

Red Flag

Developer uses a non-standard SPA or removes LAD clause

Frequently Asked Questions

How much does it cost to check a property developer in Malaysia?
Free. The KPKT TEDUH portal, eHome blacklist, and SSM basic search are all free. NewProjek's transaction data preview is also free. You only pay if you want a full transaction report (RM69.90) or a lawyer to review your SPA (RM500-2,000).
Can I trust a developer that isn't on the blacklist?
Not being blacklisted is the minimum bar — it doesn't mean the developer is good. Always do the full 8-step check, especially visiting completed projects and checking transaction data for resale performance.
What if the developer doesn't have APDL?
Do not buy. It's illegal for a developer to advertise or sell housing units without APDL. Report them to KPKT (03-8891 4000 or aduan@kpkt.gov.my). Even if the price seems attractive, you have zero legal protection under HDA without APDL.
Should I hire a lawyer before buying from a developer?
Yes, always. A lawyer will review the SPA, check for non-standard clauses, verify the land title status, and ensure your interests are protected. Budget RM500-2,000 for legal fees — a tiny cost relative to a RM300K-1M property purchase.
How do I check a developer's delivery track record?
Visit their completed projects and ask residents when they received vacant possession vs the SPA date. Also check KPKT's 'Senarai Pemaju Sakit' (troubled developers list) for projects with delivery issues. NewProjek's transaction data shows the earliest transaction date, which indicates when handover happened.

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