Penang vs Langkawi Property Investment 2026: Yields, MM2H & Strategy
Penang or Langkawi? Both Malaysian islands offer foreign buyers freehold ownership from RM 1 million, but the two markets operate on fundamentally different investment logic. Penang is an urban economy anchored in semiconductor manufacturing and a deep MM2H ecosystem — delivering year-round rental demand from corporate expatriates, international students, and Western retirees at 4–5.5% gross yields. Langkawi is a pure lifestyle and tourism play, with Andaman Sea pool villas, duty-free status, and short-term Airbnb income that peaks sharply in December–March before collapsing during the June–October monsoon season.
This analysis covers rental yields by zone, seasonality curves with monthly occupancy data, MM2H infrastructure by island, secondary market liquidity, foreign buyer rules, and a capital strategy verdict across seven investor profiles. Whether you are optimising for income stability, capital appreciation, MM2H retirement, or a short-term rental operation, the data here tells you which island fits your strategy — and where the risks others overlook are hiding.