Malaysia continues to draw international attention as one of Asia’s most attractive retirement destinations, and for good reason. With affordable living, excellent healthcare, modern infrastructure, and the long-running Malaysia My Second Home (MM2H) programme, the country is increasingly recognised by foreign observers as a place where lifestyle and value come together.

Here at ExpatGo, along with our sister publications, we write about MM2H and retiring in Malaysia rather frequently. But we are here, writing as seasoned expat residents who are admittedly quite fond of Malaysia and the favourable lifestyle we feel it offers. But what about “outsiders”? How do they see it?

When overseas publications turn their attention to Malaysia, it often provides a fresh perspective for those of us who already live here. Recently, Kiplinger’s Retirement Report carried a feature citing Malaysia as an “exceptional retirement destination,” highlighting not only the affordable cost of living, but also the breadth of experiences and conveniences available to expats.

Jean-Francois Harvey, founder and managing partner of Harvey Law Group, told Kiplinger’s that Malaysia allows retirees to live well on a modest budget. “The country offers a cost of living approximately 54% lower than in the U.S.,” he said. “A single retiree can enjoy a high quality of life on around $1,500 per month. Its tropical climate and breathtaking landscapes — from Penang’s beaches to Sabah’s jungles — create a vibrant lifestyle.”

That comment resonates strongly with many expats here who can attest to just how far their dollars, pounds, or euros stretch compared to their home countries. The appeal is compounded by Malaysia’s upper-middle-income economy, now larger than Denmark’s, and its world-class infrastructure, particularly in healthcare. English is widely spoken, crime rates are relatively low, and for those who like predictable weather, the climate is consistent year-round, if a bit heavy on rainfall.

STRONG REGIONAL ACCESS

Malaysia also scores highly on geography. Singapore is just a short drive away, Bangkok is two hours by air, and Bali can be reached in under three. It’s this enviable position — right at the crossroads of Southeast Asia — that makes the country such a convenient base not only for retirees, but for travellers and investors alike.

Kiplinger’s noted that thriving expat communities and political stability add to the country’s appeal. That rings true in Kuala Lumpur, Penang, and Johor Bahru, the three locations Harvey highlighted as top picks for retirees.

WHERE RETIREES ARE SETTLING

Kuala Lumpur has the edge as the country’s largest city and its global brand. Though the city proper counts just over two million residents, the metro population is a sprawling 8.8 million. With its unmistakable skyline, KL makes a statement — from the once-world’s-tallest Petronas Twin Towers to the new Merdeka 118, now the second-tallest building in the world.

But beneath the skyscrapers, life is remarkably livable. The Economist Intelligence Unit recently ranked KL second only to Singapore among Southeast Asian cities for quality of life. Factors such as infrastructure, culture, healthcare, and food played key roles. The culinary scene in particular has long been a standout, combining the country’s three major cuisines — Malay, Chinese, and Indian — with an ever-expanding international roster.

Rent is also affordable compared to global standards. Even in KL city centre, a furnished apartment can often be found for under $1,000 a month. That sort of value is increasingly hard to match in other capital cities.

Penang, meanwhile, remains one of Malaysia’s brightest draws. Known as the “Pearl of the Orient,” Penang is celebrated for its blend of heritage and modern comforts. Its capital, George Town, is a UNESCO World Heritage Site, with colonial architecture and street food culture that’s recognised worldwide. For retirees, Penang delivers affordability, reliable health care, and a vibrant cultural life. Festivals and celebrations — from Chinese New Year to Oktoberfest — are an ingrained part of the island’s rhythm.

Johor Bahru rounds out the top three. Its proximity to Singapore has long shaped the city’s development, and retirees often view JB as a convenient and cost-effective alternative to the island republic next door.

THE VISA LANDSCAPE

Of course, no discussion of retiring in Malaysia is complete without reference to MM2H. Kiplinger’s called it “highly appealing for American retirees” because of its long-term flexibility and tax advantages. The visa, available in Silver (five years), Gold (15 years), and Platinum (20 years) tiers, currently exempts foreign-sourced income from Malaysian tax, a feature that’s been especially attractive to retirees drawing pensions or investment income abroad.

But there’s a catch, and one familiar to expats already here: the financial thresholds. Applicants are required to show substantial fixed deposits and, depending on the tier, property investments as well. For example, the Gold tier calls for a $235,000 property purchase and a $500,000 deposit. For some, these requirements are comfortably within reach, but for others, they can be prohibitive.

Harvey told Kiplinger’s that MM2H “is a compelling choice for affluent retirees seeking stability and a high-quality lifestyle,” but cautioned that each individual’s resources will determine whether the programme makes sense. The approval process usually takes between two and four months, depending on documentation.

For those who qualify, the appeal is clear: renewable long-term residency, property ownership opportunities, and tax-exempt offshore income. When compared to many other retirement visas around the world, MM2H remains competitive.

HEALTHCARE AND DAILY LIFE

Beyond cost of living and visas, healthcare is often the decisive factor for retirees. Here again, Malaysia shines. The country has become a hub for medical tourism, with modern hospitals, internationally trained doctors, and relatively low costs. Private health insurance can be obtained for under $50 a month. For many retirees, the combination of quality, accessibility, and affordability is a decisive point in favour of Malaysia.

Day-to-day life also carries plenty of appeal. Expats regularly cite the warmth of local communities, the ease of travelling domestically — from island getaways like Langkawi and Tioman to mountain retreats in Cameron Highlands — and the sheer variety of dining and shopping options. Whether in KL’s modern malls, Penang’s hawker centres, or Johor’s café culture, retirees in Malaysia rarely complain of boredom.

THE BOTTOM LINE

Kiplinger’s conclusion was that retirees looking for a dynamic Asian destination with Western comforts and easy access to regional hotspots should put Malaysia on their shortlist. The country’s balance of affordability, modern infrastructure, and lifestyle offerings make it stand out in a competitive region.

From our vantage point as expats living here, it’s encouraging to see outside voices echo what many of us already know: Malaysia can be a superb place to call home, whether for a few years or for the long haul. Challenges remain — not least in navigating visa requirements and adapting to tropical living — but the rewards are substantial.

For those weighing up their options, Kiplinger’s assessment simply adds another layer of validation: Malaysia is no longer a hidden gem. It’s a destination increasingly recognised on the world stage for the quality of life it offers.

To read the original Kiplinger’s article in its entirety, click here.