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Rental yield by area in Malaysia

Malaysia's national gross rental yield is around 5.19% (Q1 2026), but the spread between areas is wide — and proximity to the right infrastructure is most of the story.

By Marcus Tan · Updated 1 January 2026

Figures verified June 2026 · GlobalPropertyGuide, Q1 2026 (~5.19%)

Gross rental yield by neighbourhood

Indicative gross yields, Q1 2026. Net yields are lower after costs.
NeighbourhoodRegionGross yield
Tanjung TokongPenang3.5–4.5%
Tanjung BungahPenang3–4%
GeorgetownPenang2–3.5%
Batu FerringhiPenang3–4.5%
Gurney DrivePenang3–4%
Pulau TikusPenang3–4%
Bayan LepasPenang4–6%
Batu KawanPenang4–5.5%
Mont KiaraKuala Lumpur3.5–5%
KLCC / Bukit BintangKuala Lumpur4–6%
BangsarKuala Lumpur4–5.5%
Damansara HeightsKuala Lumpur3.5–5%
Desa ParkCityKuala Lumpur3–4%
Taman Tun Dr Ismail (TTDI)Kuala Lumpur4–4.8%
Ampang Hilir / U-ThantKuala Lumpur3–4%
Sri HartamasKuala Lumpur4–4.8%
Bangsar SouthKuala Lumpur4.5–6%
JB Sentral / Bukit ChagarJohor6–8%
Iskandar Puteri / MediniJohor4–6%
TebrauJohor5–7%
Permas JayaJohor5–6.5%
Mount AustinJohor5–7%
Bukit IndahJohor4–6%
Kota DamansaraSelangor4.5–6%
Damansara Utama (Uptown)Selangor4.5–5.5%
Subang Jaya (SS15)Selangor4–5.5%
CyberjayaSelangor4.5–6%

What drives the spread

Johor's RTS corridor leads (6–8%) on cross-border commuter demand. KL prime (4–6%) is driven by corporate tenants. Penang island (3–5.5%) trades yield for scarcity and lifestyle — heritage Georgetown sits lowest because owners price for capital and character, not cash flow.

Higher headline yield often signals higher risk or slower appreciation. The best risk-adjusted positions usually pair solid yield with a clear demand driver you can name.

Frequently asked questions

Around 5.19% gross nationally (Q1 2026). Johor's RTS corridor runs higher (6–8%), KL prime 4–6%, and Penang island 3–5.5%.

Heritage Georgetown trades on capital appreciation and character rather than cash flow, so owners accept lower gross yields (2–3.5%) for scarcity and lifestyle value.

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