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Best Airbnb Markets in Malaysia (2026)

Based on Airbtics data from January 2025 to December 2025, this page shows the top Airbnb locations to invest in Malaysia with key statistics and information, like short-term rental regulations, number of listings, occupancy rate, average daily rate, and annual revenue. This allows you to discover the most profitable cities to invest in, buy, and own Airbnb rental properties in Malaysia.

The Airbtics Market Score indicates how attractive a location is for investing in an Airbnb rental property. We determine this score based on the following criteria:

  1. Short-term rental yield: The ratio between annual revenue and property price, as a percentage. Locations with higher Airbnb rental yield score better.
  2. Short-term rental regulations: How STR-friendly the local Airbnb rules and laws are. Markets with more lenient regulations get a higher score.
  3. Market size: The number of Airbnb listings. Larger vacation rental markets get a higher score as it is easier for investors to buy and sell properties.
  4. Growth: How fast the market is becoming saturated. Priority is given to markets that are already developed but are not approaching saturation yet.
  5. Seasonality: To what degree Airbnb performance is affected by seasonality. Less seasonal impact is preferred as investors can enjoy a more stable short-term rental performance throughout the year.
Learn more about how we collect the data and accuracy

Last updated: February, 2026

Malaysia Short-Term Rental Market Overview (Full-Year 2025 Analysis)

National averages across all Malaysia markets
Average Occupancy Rate i
45.20%
Average Annual Revenue i
RM41,409
Average Daily Rate (ADR) i
RM242
YoY Supply Growth i
22.30%
YoY Revenue Change i
1.26%

Top 15 Malaysia Cities for Airbnb in 2026

Position Market Grade Market Name Regulation No of Listings Avg. Occupancy Rate Avg. Daily Rate Revenue Short-term Rental Yield Rent Gap
1C+Kuala lumpur
Lenient
20,01359%RM237RM52,47812.3%34.5%
2B+Johor bahru
Lenient
4,70745%RM270RM46,46412.3%34.5%
3DMelaka
Lenient
3,92636%RM228RM31,56312.3%34.5%
4BKota kinabalu
Lenient
2,50358%RM256RM55,89812.3%34.5%
5CPetaling jaya
Lenient
2,16951%RM180RM34,77412.3%34.5%
6C+Ipoh
Lenient
2,04835%RM256RM34,24712.3%34.5%
7CShah alam
Lenient
1,87543%RM190RM30,86512.3%34.5%
8C+George town
Lenient
1,67960%RM275RM61,87812.3%34.5%
9DIskandar puteri
Lenient
1,60748%RM232RM42,41712.3%34.5%
10AKuching
Lenient
1,56249%RM247RM45,52812.3%34.5%
11EGenting highlands
Lenient
1,31031%RM256RM31,12212.3%34.5%
12ACameron highlands
Lenient
1,14236%RM289RM39,86612.3%34.5%
13D+Penang
Lenient
88041%RM266RM41,00212.3%34.5%
14C+Klia - nilai
Lenient
85742%RM166RM26,47612.3%34.5%
15BLangkawi
Lenient
75644%RM285RM46,55412.3%34.5%

Find the Best Airbnb Markets with Our Interactive Tool

Use our interactive Market Explorer to find the best places to start an Airbnb in Malaysia. Compare multiple markets side by side, apply filters like regulations, budget (property or rent prices), and market size, and even export the results to Excel.

Explore Interactive Tool

📊 Want a deeper dive into Malaysia's STR market?

Explore our comprehensive 2025 Short-Term Rental Market Report for Malaysia, featuring detailed market trends, supply analysis, and year-over-year insights.

View 2025 Market Report

Why Invest in Airbnb Malaysia in 2026?

In recent years, Malaysia has emerged as one of the best locations for investing in short-term rentals thanks to its popular tourist attractions, thriving business activities, growing digital nomad presence, and vibrant cities like George town, Kota kinabalu and Kuala lumpur. With millions of international visitors coming each year, the demand for vacation rental accommodations is growing, making Airbnb Malaysia a lucrative option for both local and foreign investors.

Due to strong demand from travelers, Malaysia offers competitive average daily rates (ADR), healthy occupancy rates, and attractive revenue potential in the best Airbnb markets. Whether you're looking to start your first Airbnb business with a modest budget or to add a luxury short-term rental property to your portfolio, Malaysia has a profitable location to meet your budget and aspirations as an investor.

Market Saturation Analysis: Malaysia

Benchmark: Markets are categorized relative to Malaysia's national averages (Supply: +22.3%, Revenue: +1.3%). Markets above the national average are marked with ↑, while those below are marked with ↓.

🟢

Healthy Growth

Supply > avg, Revenue > avg
Expansion with demand keeping up

  • Kuching Supply: +28.6% | Revenue: +11.0%
  • Klia - nilai Supply: +23.0% | Revenue: +9.3%
  • Kuala lumpur Supply: +27.0% | Revenue: +9.2%
  • Penang Supply: +27.6% | Revenue: +3.6%
🟡

Early Saturation

Supply > avg, Revenue ≤ avg
Competition rising

  • Shah alam Supply: +36.4% | Revenue: -6.4%
  • Genting highlands Supply: +30.7% | Revenue: -26.1%
🔵

Under-the-Radar

Supply ≤ avg, Revenue > avg
Hidden opportunities

  • Cameron highlands Supply: +20.5% | Revenue: +16.8%
  • Langkawi Supply: +18.9% | Revenue: +16.2%
  • Kota kinabalu Supply: +19.2% | Revenue: +5.8%
  • Johor bahru Supply: +21.7% | Revenue: +2.8%
🔴

Declining

Supply ≤ avg, Revenue ≤ avg
Risky markets

  • Melaka Supply: +18.5% | Revenue: -9.4%
  • Iskandar puteri Supply: +16.7% | Revenue: -7.7%
  • Petaling jaya Supply: +12.6% | Revenue: -2.7%
  • Ipoh Supply: +17.9% | Revenue: -2.5%
  • George town Supply: +15.1% | Revenue: -0.9%

Best Cities for Airbnb in Malaysia by Budget

Top 3 Affordable & Mid-Range Airbnb Markets: $500,000 & Below

These markets offer accessible investment opportunities with lower to moderate property prices, suitable for investors seeking entry-level or mid-range options.

  1. Johor bahru
    • Property price: RM285,000
    • STR revenue: RM46,464/year
    • Yield: 17.4%
  2. Ipoh
    • Property price: RM285,000
    • STR revenue: RM34,247/year
    • Yield: 12.2%
  3. Shah alam
    • Property price: RM285,000
    • STR revenue: RM30,865/year
    • Yield: 14.2%

Top 3 Best Places for Airbnb Arbitrage in Malaysia

  1. George town
    • STR revenue: RM61,878/year
    • Rent gap: RM16,740
  2. Kota kinabalu
    • STR revenue: RM55,898/year
    • Rent gap: RM12,286
  3. Johor bahru
    • STR revenue: RM46,464/year
    • Rent gap: RM11,891



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