Foreigners do not need a special permit to rent in Malaysia: with a valid passport and pass (Employment Pass, Student Pass, MM2H and so on) you can rent a condo, a terraced house or a single room. Market data from October 2026 put a one-bedroom flat in central Kuala Lumpur at about RM2,810 a month (around RMB 4,580) and about RM1,465 outside the centre; Penang and Johor Bahru are cheaper. Unlike the Chinese “one month deposit, three months upfront” (押一付三) habit, the Malaysian norm is “2+1+½”: two months’ security deposit, one month’s advance rent and half a month’s utility deposit, so you pay roughly 3.5 months’ rent when you sign.
Three more things to know in advance. Tenancy agreements must be stamped, and since 1 January 2026 the parties self-assess and pay the duty on MyTax. Malaysia still has no dedicated Residential Tenancy Act, so deposit disputes are handled through the contract and the civil courts. And rental scams mostly start with online ads; paying a “booking fee” before viewing is the biggest risk. Below we cover cities, costs, contracts, documents, websites and scam protection. Conversions use RM1 ≈ RMB 1.63 (fxfeed, 27 October 2026).
Cities and areas popular with Chinese residents
Malaysia has a large ethnic Chinese population, so Chinese signage, food and schools are everywhere, and new arrivals from China usually find the language barrier lower than in many countries. The areas below are those Chinese tenants often mention; treat them as a starting point and check listings and safety in person:
- Kuala Lumpur and the Klang Valley: Mont Kiara has many expatriates and international schools, with well-equipped but pricier condos; Cheras, Puchong and Bukit Jalil have established Chinese communities and better value; Petaling Jaya is convenient for commuting.
- Penang: George Town and Tanjung Tokong suit retirees and long stays; Bayan Lepas is close to the industrial zone and the airport.
- Johor Bahru: next to Singapore; some people live in JB and work or accompany children’s schooling across the border; the city and new developments around it have a large condo supply.
If you are still deciding whether to settle long term, start with our Malaysia overview and choose a city that fits your visa.
Rent levels: three cities compared
The figures below are Numbeo crowd-sourced data (updated October 2026). They show the rough level for ordinary apartments, not official statistics; high-end condos (for example in Mont Kiara or near KLCC) can be well above average.
| City | 1-bed centre | 1-bed outside | 3-bed centre |
|---|---|---|---|
| Kuala Lumpur | RM2,810 (≈RMB 4,580) | RM1,465 (≈RMB 2,390) | RM5,047 (≈RMB 8,230) |
| Johor Bahru | RM2,125 (≈RMB 3,460) | RM1,600 (≈RMB 2,610) | RM3,678 (≈RMB 6,000) |
| Penang | RM1,648 (≈RMB 2,690) | RM939 (≈RMB 1,530) | RM2,497 (≈RMB 4,070) |
| For comparison: Shanghai | RMB 6,856 | RMB 3,795 | — |
A central one-bedroom in Kuala Lumpur costs about two-thirds of its Shanghai equivalent. Utilities are extra: Numbeo lists about RM257 a month for basic utilities in an 85 m² flat in KL and about RM107 for broadband. For full day-to-day costs see cost of living in Malaysia.
Deposits: “2+1+½” versus China’s 押一付三
No law fixes deposit amounts in Malaysia; the following is market practice, and your contract prevails:
| Item | Common in Malaysia | Common in China |
|---|---|---|
| Security deposit | 2 months’ rent | 1 month |
| Advance rent | 1 month (often used as the first month’s rent) | 3 months, then paid quarterly |
| Utility deposit | Half to one month | Usually none |
| Other | Access card deposit, stamp duty, possibly a lawyer’s drafting fee | Agency fee, often one month’s rent |
At RM2,000 a month, “2+1+½” means about RM7,000 (≈RMB 11,400) at signing, then monthly rent. Deposits are usually returned within about 30 days after the move-out inspection, and deductions should be backed by repair invoices. For moving money out of China legally before you go, see foreign exchange and personal FX quotas.
Stamp duty on tenancy agreements: self-assessment from 2026
As of October 2026, Malaysian tenancy agreements must be stamped, and two changes apply:
- From 1 January 2025: the exemption for agreements with annual rent of up to RM2,400 was removed, and rates run from RM1 to RM7 per RM250 of annual rent depending on the term (reported by The Sun).
- From 1 January 2026: tenancy agreements fall under Phase 1 of the Stamp Duty Self-Assessment System (STSDS). You need a Tax Identification Number (TIN), log in to MyTax, upload the agreement, calculate the duty yourself and pay (LHDN official page).
| Term | Duty per RM250 of annual rent | Example: RM2,000/month |
|---|---|---|
| 1 year or less | RM1 | RM96 |
| Over 1 up to 3 years | RM3 | RM288 |
| Over 3 up to 5 years | RM5 | — |
| Over 5 years | RM7 | — |
According to the LHDN FAQ, instruments must be submitted within 30 days of signing; stamping within three months after the deadline costs RM50 or 10% of the unpaid duty (whichever is higher), and later than that RM100 or 20%. The tenant usually pays the duty, but that is custom and can be agreed otherwise. An unstamped agreement may have limited value as evidence in court, so get the stamped copy before you pay the deposit.
Documents foreigners need
- Passportideally valid for the whole tenancy; landlords want a copy of the photo page
- PassEmployment, Dependant, Student Pass or MM2H, ideally covering the lease term
- Proof of incomeemployer letter, last three payslips or bank statements
- Sign and stampcheck the clauses, pay stamp duty and get the stamped agreement
- Handoverphotograph every room and sign for access cards and keys
If your pass expires before the lease ends, the landlord may ask for a renewal clause or a local guarantor. Pass conditions are covered in our Malaysia visa guide; if you will look for a job first, read working in Malaysia.
Rental websites and channels
- PropertyGuru, iProperty, EdgeProp: many whole-unit condo and house listings, filterable by rail station and price.
- Mudah.my: general classifieds with many private landlords; verify more carefully.
- SPEEDHOME: some units offer a “zero deposit” option; check each listing.
- ibilik: mainly room rentals, suitable for students and short transitions.
- Chinese community channels: WeChat groups, Xiaohongshu and Facebook groups are fast but unmoderated, so they carry the highest risk.
On arrival, consider booking one to two weeks of accommodation while you view flats; see hotels and short stays in Malaysia. You can also compare costs with renting in Singapore and renting in Thailand.
Common scams and where to get help
The typical pattern: an “urgent” listing below market rate, a landlord who is “out of town” and cannot show the unit, and a request to transfer a “deposit” or “booking fee” to a personal account. Rule: do not pay anything before viewing (or at least a live video viewing) and before verifying the landlord’s identity and ownership.
Before transferring money, you can check whether an account or phone number has been linked to fraud on the police Semak Mule portal. If you are scammed, Malaysia’s government portal advises calling the National Scam Response Centre (NSRC) on 997 within 24 hours of discovering it (24 hours a day as of October 2026), contacting your bank and filing a report at the nearest police station (MyGOV guidance).
Status of the Residential Tenancy Act
The Ministry of Housing and Local Government (KPKT) has been drafting a Residential Tenancy Bill for years, with proposals such as standard terms and a tenancy tribunal. The Edge reported that the deputy minister told the Dewan Negara on 4 August 2026 that the bill was still being finalised, and FMT reported on 12 August that it had not been tabled. As of October 2026 we found no report that it has been passed. Until then, tenants are protected mainly by the contract, and deposit disputes go through civil proceedings. Reading the early termination, repairs and deposit refund clauses carefully before signing works better than fighting afterwards.
If you plan to stay, treat renting as a trial period and decide after a year or two whether to buy property in Malaysia; and remember health insurance for your family.
FAQ
Do foreigners need a guarantor to rent in Malaysia?
Usually not. Landlords may ask for a local guarantor or a larger deposit only if your pass is about to expire or your proof of income is weak.
How long are Malaysian tenancies?
One year with an option to renew for another year is common; two-year terms also exist. Ending early usually costs part of the deposit, depending on the early termination clause.
Who pays stamp duty, and how?
By custom usually the tenant, but it is negotiable. From 2026 it is self-assessed on MyTax within 30 days of signing, with penalties for late stamping.
Is renting in Malaysia expensive compared with Japan or Singapore?
Kuala Lumpur is clearly cheaper than Singapore, and moving in is simpler than in Japan; for the Japanese process see renting in Japan.
Sources
- LHDN – Sistem Taksir Sendiri Duti Setem (STSDS) (accessed October 2026)
- LHDN – Stamp Duty FAQ (updated 31 Dec 2025) (accessed October 2026)
- The Sun – Significant changes to stamp duty from 2025 (accessed October 2026)
- MyGOV – Safety and Community: Cybersecurity (NSRC 997, Semak Mule) (accessed October 2026)
- The Edge Malaysia – Residential Tenancy Bill being finalised (4 Aug 2026) (accessed October 2026)
- Free Malaysia Today – Don’t delay tabling Residential Tenancy Bill to 2027 (12 Aug 2026) (accessed October 2026)
- PropertyGuru – Utility deposit and rental deposits in Malaysia (accessed October 2026)
- SPEEDHOME – Can foreigners rent a house or condo in Malaysia? (accessed October 2026)
- Numbeo – Cost of Living in Kuala Lumpur (updated 26 Oct 2026) (accessed October 2026)
- Numbeo – Cost of Living in Johor Bahru (updated 22 Oct 2026) (accessed October 2026)
- Numbeo – Cost of Living in Penang (updated 24 Oct 2026) (accessed October 2026)
- Numbeo – Cost of Living in Shanghai (updated 26 Oct 2026) (accessed October 2026)
- fxfeed – MYR/CNY exchange rate (27 Oct 2026) (accessed October 2026)
