Malaysia Rules on Short Term Rental

While home-sharing has gained popularity across the world thanks to websites like Airbnb which allow people to list or rent short-term lodging, different places in Malaysia have varying rules regarding this.

In the country’s capital, it appears there is no licence requirement for homestays or home-sharing, said an Airbnb host who asked not to be identified.

“It depends on the property manager of a residential building. They may prohibit home-sharing activities if they cause trouble to long-term residents living in the property,” he explained.

To verify, a spokesperson from Kuala Lumpur City Hall (DBKL) said: “As long as you’re using your flat for residential purposes (which includes rental), there is no need for you to apply for a business licence or permit”.

Similarly, there are currently no rules prohibiting short-term rentals in Petaling Jaya, said City Councillor Tang Fuie Koh. However, he warned that this does not mean that residents are allowed to do so.

When asked if home owners need to convert their land title from residential to commercial if they intend to lease their residences for either short-term or a long period of time, the Petaling Jaya City Council (MBPJ) councillor explained that this is not required unless it’s for commercial use, like homes for the elderly.


Meanwhile, the Federal Government currently has no intention to regulate the home-sharing sector, according to a representative from the Urban Wellbeing, Housing and Local Government Ministry.

“The Tourism and Culture Ministry also has no jurisdiction over the matter,” added an officer from the agency.

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