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Market AnalysisFebruary 2025 · 6 min read

Top 5 Highest Net Rental Yield Areas in KL

Data-driven rankings from 25,000+ government transactions and 8,700+ live rental listings — with full financing costs modelled.

4.37%

average net yield across the top 5 areas

Most property investors in Malaysia rely on gut feel and agent recommendations when picking an area. MoveMatch does it differently: we cross-reference JPPH government transaction records with live rental listings from Mudah.my, then model realistic financing costs to calculate the net rental yield for every neighbourhood in Kuala Lumpur. Below are the five areas that came out on top.

Methodology

  • Sales data: JPPH government property transaction records, Kuala Lumpur, 2022–2024 · Condominium / Apartment / Flat types only
  • Rental data: Mudah.my listings scraped Dec 2024 · KL only · IQR outlier removal applied
  • Metric: Net yield = (effective annual rent − mortgage − maintenance − stamp duty − letting fee) ÷ sale price × 100
  • Financing assumptions: 10% down payment · 90% loan at 3% p.a. over 25 years · full EMI (principal + interest) counted as expense
  • Other assumptions: 8% vacancy · 0.75% maintenance p.a. · stamp duty amortised over 10-year hold · 0.5 months letting fee p.a.
  • Minimum thresholds: ≥5 recorded sales and ≥5 active rental listings per area

At a Glance

#AreaMedian PriceMedian RentNet Yield
1PPR Pudu UluKuala Lumpur Town CentreRM 160,000RM 2,100/mo7.82%
2Pangsapuri Bandaraya SetapakMukim SetapakRM 182,500RM 1,800/mo4.38%
3Bandar Baru Wangsa Maju Sek 1Mukim SetapakRM 220,000RM 2,100/mo4.03%
4Desa Pantai FlatMukim Kuala LumpurRM 220,000RM 1,850/mo2.84%
5Desa PetalingMukim PetalingRM 150,000RM 1,250/mo2.78%

Area Breakdown

1

PPR Pudu Ulu

Kuala Lumpur Town Centre

7.82%

net rental yield

Median Sale Price

RM 160,000

Median Monthly Rent

RM 2,100/mo

Govt. Transactions

7 sales

Rental Listings

30 listings

A People's Housing Programme (PPR) development positioned just minutes from KLCC, PPR Pudu Ulu offers one of the most affordable entry points in central KL. Even after accounting for a full mortgage payment, maintenance, and vacancy, investors pocket a 7.82% net yield — the highest on this list and one of the few KL properties that remains strongly cash-flow positive under standard financing assumptions.

2

Pangsapuri Bandaraya Setapak

Mukim Setapak

4.38%

net rental yield

Median Sale Price

RM 182,500

Median Monthly Rent

RM 1,800/mo

Govt. Transactions

6 sales

Rental Listings

1,041 listings

With over 1,000 active rental listings, demand here is undeniable. Setapak's affordability corridor — anchored by AEON Setapak and proximity to major universities — keeps vacancy rates low. A median price well below RM200k keeps financing costs manageable, delivering a 4.38% net yield with strong tenant liquidity.

3

Bandar Baru Wangsa Maju Sek 1

Mukim Setapak

4.03%

net rental yield

Median Sale Price

RM 220,000

Median Monthly Rent

RM 2,100/mo

Govt. Transactions

58 sales

Rental Listings

437 listings

The most transaction-rich area on this list — 58 government-recorded sales over three years — gives strong statistical confidence to the 4.03% net yield figure. MRT access, walkable amenities, and a deep tenant pool of young working adults make Wangsa Maju Sek 1 a standout pick for data-backed investors seeking both yield and liquidity.

4

Desa Pantai Flat

Mukim Kuala Lumpur

2.84%

net rental yield

Median Sale Price

RM 220,000

Median Monthly Rent

RM 1,850/mo

Govt. Transactions

27 sales

Rental Listings

34 listings

Bordering Bangsar and Old Klang Road, Desa Pantai Flat benefits from location premiums its neighbours command without the price tag. After full financing costs, investors net 2.84% annually — modest on paper, but the area's mid-valley spillover demand and sub-RM250k entry suggest meaningful capital appreciation upside alongside the yield.

5

Desa Petaling

Mukim Petaling

2.78%

net rental yield

Median Sale Price

RM 150,000

Median Monthly Rent

RM 1,250/mo

Govt. Transactions

26 sales

Rental Listings

69 listings

At a median transaction price of just RM150,000 — the lowest on this list — Desa Petaling presents the most accessible entry for first-time property investors. Despite the low absolute rent, financing costs on such a small loan are proportionally light, keeping net yield at 2.78% with room to improve as the Cheras–Petaling corridor develops.

What Drives Positive Net Yield in KL?

A consistent pattern emerges: the highest net yields come from affordable public or flat-grade housing in locations where rental demand from workers and young families outpaces the low capital cost of ownership. PPR-grade properties around KLCC and the Setapak–Wangsa Maju corridor are the standout performers — generating real positive cash flow even after a full mortgage is serviced.

Mid-market properties in the RM200k–RM250k range produce net yields in the 2–4% band. This doesn't mean they're poor investments — the monthly mortgage principal repayment is building equity, and capital appreciation adds a separate return layer that net yield alone doesn't capture. But investors who need positive monthly cash flow from day one should focus on the lower price tiers where rent-to-price ratios are most favourable.

These figures assume standard financing at 3% and typical cost rates. Always conduct full due diligence with your own numbers before investing.

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