Real Estate in Malaysia:
Invest & Live in 2026
From renting a luxury condominium to strategic acquisition, discover the ultimate guide to navigating the Malaysian real estate market as a French speaker.
Partner of major expatriation players
A passion born in the field
Since my arrival in Kuala Lumpur several years ago, I have seen the skyline transform radically. In 2026, Malaysia is no longer just an affordable expatriation destination; it has become a sophisticated real estate hub. My legitimacy to speak to you about this market comes not only from the numbers, but from my personal experience: I have rented, bought, and resold properties here.
Homeownership as a foreigner is a dream come true for many, thanks to a stable and incentive-based legal framework. Whether you follow our YouTube videos or our detailed guides, our goal remains the same: demystify administrative procedures and secure your capital. We have explored every neighborhood, from Mont Kiara to Penang, to offer you this expert vision.
The "Living in Malaysia" team
Expats and Investors since 2018
The Market at a Glance
Regional Prices and Comparisons
In 2026, Malaysia maintains its competitive advantage. The price per m² in Kuala Lumpur remains 3 to 4 times lower than in Singapore and about 30% lower than in Bangkok, while offering superior infrastructure.
RM 12,000
Average price per m² (High-end, KL)
4.5% - 6%
Average rental yield
"The legal framework is your best ally. Unlike other Southeast Asian countries, Malaysia allows Freehold ownership for foreigners."
This is a major specificity that attracts Western investors seeking legal security equivalent to that of Europe.
Easy Rental
A premium studio in Bukit Bintang rents for between RM 3,000 and RM 5,000.
See budgets →Growth Areas
- 📍 KLCC: Prestige Safe Bet
- 📍 Mont Kiara: Expat Heart
- 📍 Penang: Retirement & Digital Nomads
- 📍 Johor Bahru: Tech Hub / Singapore
Townhouses & Landed Properties: The luxury of space.
The Legal Framework for the Foreign Buyer
Buying in Malaysia is not an "Open Bar". The Malaysian state protects its local market by imposing restrictions on non-resident buyers. These rules are crucial to avoid disappointment.
Minimum purchase thresholds
Each state (Selangor, Kuala Lumpur, Penang, Johor) sets its own minimum purchase threshold for foreigners. In 2026, in Kuala Lumpur, this threshold is generally set at 1 million Ringgit (RM). In some states, such as Selangor, it can rise to 2 million for certain types of properties. Why? To ensure that foreigners invest in the "high-end" segment and do not compete with locals in the entry-level market.
There are also exceptions through residence programs such as the MM2H (Malaysia My Second Home) or PVIP, which can sometimes offer easier purchase conditions according to current government circulars.
Freehold vs Leasehold: The capital distinction
- Freehold: You own the land and the building in perpetuity. This is the option most sought after by international investors for a wealth transfer strategy.
- Leasehold: You own the property for a limited period, generally 99 years. At the end of the lease, the property reverts to the state, unless an extension is paid. The price is often 10 to 20% cheaper, but resale is more complex as the lease decreases.
Taxation: RPGT and Stamp Duty
Real estate investment is accompanied by unavoidable taxes. The Real Property Gains Tax (RPGT) is the tax on capital gains upon resale. For foreigners, if you resell before 5 years, expect heavy taxation (about 30%). After 5 years, this rate drops significantly to stabilize long-term investment.
Stamp Duty is paid upon transfer of ownership. It is progressive: from 1% on the first RM 100,000 up to 4% for the portion exceeding RM 1,000,000. For more financial details, see our page on Taxation in Malaysia.
2026 Investment Simulator
Instantly calculate your acquisition costs and potential rental profitability.
Forecast Analysis
*These calculations are based on 2026 rates. Consult a lawyer for a precise study.
The Sequential Purchase Process
Sourcing & Due Diligence
Choice of certified agent and property visit. Verification of location and rental potential.
Booking & SPA
Payment of a deposit (2-3%) and drafting of the Sale & Purchase Agreement by an independent lawyer.
Financing & Consent
Obtaining a bank loan (for non-residents) and obtaining state consent for the purchase.
Transfer & Possession
Final payment, registration of the title deed, and handover of keys (Vacant Possession).
Where to invest in 2026?
Location is the #1 factor for success. A condominium 2km away can see its profitability vary from single to double.
Kuala Lumpur (The Heart)
The KLCC segment for prestige, or Mont Kiara for constant demand from expat families. Opportunity: Areas close to the new MRT3 (Circle Line) stations whose value will increase by 2027-2028.
Explore KL →Penang (The Pearl)
Gurney Drive and Tanjong Tokong are the favorite spots. Very high demand for seasonal rentals and retirees under MM2H. Style: Sea-view apartments with hotel services.
Johor Bahru (The Bridge)
The imminent opening of new high-speed links with Singapore is boosting the Iskandar Puteri market. Ideal for those working in Singapore but living in Malaysia to divide their cost of living by three.
East Coast & Islands
Riskier but very profitable in the luxury Airbnb segment. However, watch out for monsoon seasons which impact attendance. See the islands →
Official Resources & Partner Guides
Frequently Asked Questions (FAQ)
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