Authored by the expert who managed and guided the team behind the Malaysia Property Pack
Yes, the analysis of Johor's property market is included in our pack
Johor's property market in early 2026 is riding a wave of momentum, driven by the Johor-Singapore Special Economic Zone (JS-SEZ) and the imminent opening of the RTS Link connecting Bukit Chagar to Singapore's Woodlands.
Foreign buyers, particularly Singaporeans who now account for over 40% of property inquiries in Johor Bahru, are reshaping demand patterns in specific neighborhoods, from border-adjacent condos to masterplanned communities in Iskandar Puteri.
This guide breaks down exactly where yields are strongest, which micro-areas have improved recently, and which ones carry hidden risks that many buyers overlook.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Johor.
We constantly update this blog post with fresh data and new developments, so bookmark it and check back regularly.
What's the Current Real Estate Market Situation by Area in Johor?
Which areas in Johor have the highest property prices per square meter in 2026?
As of early 2026, the three most expensive residential areas in Johor are Danga Bay waterfront, the Bukit Chagar/JB Sentral corridor near the CIQ border checkpoint, and Puteri Harbour in Iskandar Puteri, where prime condominiums command premium prices due to their proximity to Singapore and waterfront positioning.
In these top-tier Johor neighborhoods, typical prices range from RM 6,500 to RM 12,000 per square meter for newer high-rise developments, with the widest spread in Danga Bay where sea-facing units can fetch significantly more than comparable inland stock.
Each of these premium areas commands high prices for distinct reasons:
- Danga Bay: Waterfront lifestyle appeal plus direct access to JB's commercial core and cross-border narrative
- Bukit Chagar/JB Sentral: Walking distance to the RTS station and CIQ, making it the ultimate commuter play
- Puteri Harbour: Marina lifestyle with proximity to Medini's educational and employment nodes
- Medini: Policy-backed growth zone within Iskandar Malaysia's development framework with tax incentives
Which areas in Johor have the most affordable property prices in 2026?
As of early 2026, the most affordable residential areas in Johor where foreigners can legally purchase include older neighborhoods like Larkin, Tampoi, and Pasir Gudang in the Johor Bahru district, as well as secondary towns like Kluang, Batu Pahat, and Muar further from the Singapore border.
In these more affordable Johor locations, property prices typically range from RM 2,500 to RM 5,000 per square meter for older condominiums and apartments, though foreigners must ensure units meet the RM 1 million minimum threshold and do not fall into restricted categories like low-cost housing.
The main trade-offs in these lower-priced Johor areas include older building stock with higher maintenance requirements in Larkin and Tampoi, weaker tenant demand and thinner resale liquidity in secondary towns like Kluang and Batu Pahat, and longer commute times to Singapore for Pasir Gudang which relies primarily on industrial worker demand.
You can also read our latest analysis regarding housing prices in Johor.
Which Areas in Johor Offer the Best Rental Yields?
Which neighborhoods in Johor have the highest gross rental yields in 2026?
As of early 2026, the Johor neighborhoods delivering the strongest gross rental yields include Mount Austin (Taman Austin Perdana) at 4.5% to 6.5%, Taman Molek at 4.0% to 6.0%, Skudai at up to 7.3% for smaller units, and select Medini projects at 4.0% to 5.8%, where mid-range purchase prices combine with steady tenant demand.
Across Johor Bahru as a whole, typical gross rental yields range from 5.2% to 6.3% depending on location and property type, with the market average sitting around 5.5% to 6.25%, which compares favorably to most Southeast Asian cities.
Each high-yield Johor neighborhood delivers above-average returns for specific reasons:
- Mount Austin (Taman Austin Perdana): Deep pool of local Malaysian tenants seeking affordable family-sized homes
- Taman Molek: Stable residential character with strong mid-market rental demand from working professionals
- Skudai: Proximity to universities creates consistent student housing demand pushing yields above 7%
- Medini: Corporate and education-related tenant segments from Iskandar's integrated development nodes
Finally, please note that we cover the rental yields in Johor here.
Which Areas in Johor Are Best for Short-Term Vacation Rentals?
Which neighborhoods in Johor perform best on Airbnb in 2026?
As of early 2026, the top-performing Airbnb neighborhoods in Johor include the Bukit Chagar/JB Sentral area near the Singapore border, Danga Bay waterfront, Medini (particularly units near Legoland), and Mount Austin, with average daily rates ranging from RM 200 to RM 350 and occupancy heavily skewed toward weekends and Malaysian school holidays.
In these best-performing Johor short-term rental areas, top hosts generate monthly revenues between RM 3,000 and RM 6,000, though the market-wide average annual revenue of around RM 44,000 reflects the modest 44% median occupancy rate that makes Airbnb a risky primary strategy.
Each successful short-term rental neighborhood in Johor attracts guests for different reasons:
- Bukit Chagar/JB Sentral: Border convenience attracts Singaporean weekend visitors and business travelers
- Danga Bay: Waterfront leisure positioning draws tourists and event-related weekend demand
- Medini: Family tourism driven by Legoland Malaysia and nearby attractions
- Mount Austin: Food and nightlife cluster effect attracts domestic short-trip visitors
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Johor.
Which tourist areas in Johor are becoming oversaturated with short-term rentals?
The Johor areas showing the clearest signs of short-term rental oversaturation include high-density condo clusters in Danga Bay waterfront, several Medini/Iskandar Puteri high-rise developments, and parts of the JB city center where investor-heavy buildings compete aggressively on price.
In oversaturated Johor Airbnb markets, you can find hundreds of near-identical listings in single developments, with Johor Bahru now hosting over 5,000 active Airbnb listings, many concentrated in a handful of waterfront and Iskandar towers.
The clearest warning sign of Airbnb oversaturation in Johor is when your building has dozens of comparable units running frequent discounts just to secure bookings, combined with the 44% market-wide occupancy rate that forces many hosts into price wars that compress returns below long-term rental alternatives.
Which Areas in Johor Are Best for Long-Term Rentals?
Which neighborhoods in Johor have the strongest demand for long-term tenants?
The Johor neighborhoods with the deepest and most consistent long-term rental demand include Mount Austin (Taman Austin Perdana), Taman Molek, the Tebrau corridor (including Taman Johor Jaya and Permas Jaya), and select well-managed projects in Medini/Iskandar Puteri.
In these high-demand Johor rental markets, vacancy periods are typically short at two to four weeks for well-priced units, with properties in Mount Austin and Taman Molek particularly quick to rent due to their established residential character and local amenities.
Each strong rental neighborhood in Johor attracts specific tenant profiles:
- Mount Austin: Young Malaysian families and working professionals seeking affordable suburban living
- Taman Molek: Middle-income families valuing established schools and neighborhood stability
- Tebrau corridor: Industrial and logistics workers from nearby employment centers
- Medini: Corporate professionals and education sector employees from Iskandar's business nodes
What makes these Johor neighborhoods especially attractive to long-term tenants is their combination of practical daily amenities, reasonable commute times to major employment areas, and functional layouts that suit family living rather than investment-grade finishes that look good but do not improve rentability.
Finally, please note that we provide a very granular rental analysis in our property pack about Johor.
What are the average long-term monthly rents by neighborhood in Johor in 2026?
As of early 2026, average monthly rents in Johor's main neighborhoods range from around RM 1,800 to RM 2,500 for condos in Mount Austin, RM 2,000 to RM 3,500 in Taman Molek, RM 2,000 to RM 4,000 in Medini, and RM 2,300 to RM 5,000 for premium units in the JB city center and Puteri Harbour.
For entry-level apartments in Johor's most affordable rental neighborhoods like Larkin, Tampoi, or older Permas Jaya stock, tenants typically pay between RM 1,200 and RM 1,800 per month for basic but functional units.
In mid-range Johor neighborhoods like Taman Bukit Indah or Taman Impian Emas, monthly rents for standard family-sized condos and terrace houses typically fall between RM 2,000 and RM 2,800, offering a balance of affordability and livability.
At the premium end in neighborhoods like Horizon Hills, Austin Heights, or Puteri Harbour, high-end landed homes and luxury condos command monthly rents from RM 3,500 to RM 5,000 or more, driven by expatriate and high-income local demand.
You may want to check our latest analysis about the rents in Johor here.
Which Are the Up-and-Coming Areas to Invest in Johor?
Which neighborhoods in Johor are gentrifying and attracting new investors in 2026?
As of early 2026, the Johor neighborhoods attracting the most new investor attention include the Bukit Chagar/JB Sentral catchment around the future RTS station, selected pockets of Danga Bay where new retail amenities are improving livability, Medini projects that solve daily convenience problems, and Kulai for buyers prioritizing affordability over Singapore commuting.
These gentrifying Johor neighborhoods have experienced annual price appreciation of 5% to 10% over the past two years, with RTS-adjacent properties in Bukit Chagar seeing even stronger gains of 18% to 20% in anticipation of the rail link opening in late 2026.
Which areas in Johor have major infrastructure projects planned that will boost prices?
The Johor areas with the strongest infrastructure-backed growth catalysts are the Bukit Chagar/JB Sentral zone served by the RTS Link, and the broader Iskandar Puteri/Medini corridor supported by the IRDA development framework and JS-SEZ integration.
The flagship infrastructure project transforming Johor's property landscape is the RTS Link, a 4-kilometer cross-border rail connecting Bukit Chagar station to Singapore's Woodlands North, expected to begin operations in late 2026 with a six-minute journey time and capacity for 10,000 passengers per hour in each direction.
Historically, major infrastructure completions in Johor have delivered price uplifts of 15% to 30% in immediately adjacent properties, with the RTS corridor already showing 18% to 20% anticipatory gains and some select projects near the station doubling in value over the past year.
You'll find our latest property market analysis about Johor here.
Which Areas in Johor Should I Avoid as a Property Investor?
Which neighborhoods in Johor with lots of problems I should avoid and why?
The Johor investment patterns most likely to cause problems include high-density investor-heavy condo towers with chronic oversupply, properties in restricted categories that foreigners cannot legally purchase, and micro-locations with weak tenant depth where vacancy eats into your returns.
Specific problem patterns to watch for in each Johor neighborhood type:
- Certain Danga Bay waterfront clusters: Hundreds of comparable units competing on price with weak occupancy
- Some Medini/Iskandar Puteri high-rises: Oversupply from aggressive investor marketing creating price wars
- Restricted property categories: Low-cost units, certain terrace formats, and Bumiputera quota units foreigners cannot buy
- Remote suburban pockets: Weak daily amenities and poor connectivity that collapse tenant demand
For these problematic Johor areas to become viable investment options, they would need either significant supply absorption through sustained demand, infrastructure improvements that genuinely enhance connectivity and livability, or building management upgrades that address maintenance and vacancy issues.
Buying a property in the wrong neighborhood is one of the mistakes we cover in our list of risks and pitfalls people face when buying property in Johor.
Which areas in Johor have stagnant or declining property prices as of 2026?
As of early 2026, the Johor property segments showing the weakest price performance include older undifferentiated condominiums far from transport nodes, investor-heavy towers where hundreds of comparable units compete, and rural/outer suburban areas lacking significant infrastructure investment.
These underperforming Johor segments have experienced price stagnation of 0% to 2% annual growth over the past three years, compared to 5% to 10% gains in prime RTS-adjacent and Iskandar Puteri locations, with some individual buildings even seeing slight nominal declines.
The underlying causes of stagnation differ by Johor area type:
- Older suburban condos: Competition from newer launches with better amenities and no differentiation
- Investor-heavy high-rises: Oversupply from speculative building waves and identical unit competition
- Rural Johor districts: Lack of infrastructure investment and weak employment drivers
- Affordable segment (under RM 500,000): Historically highest overhang concentration in this price band
Which Areas in Johor Have the Best Long-Term Appreciation Potential?
Which areas in Johor have historically appreciated the most recently?
The Johor areas that have delivered the strongest price appreciation over the past five years include Johor Bahru City Centre (40% to 50% since 2020), Iskandar Puteri (30% to 40%), Medini (25% to 35%), and select RTS-adjacent projects that have doubled in value.
Specific appreciation performance by Johor neighborhood:
- JB City Centre/Bukit Chagar: 40% to 50% appreciation driven by RTS anticipation and urban renewal
- Iskandar Puteri: 30% to 40% growth from planned city development and JS-SEZ integration
- Medini: 25% to 35% increase from commercial and residential launch momentum
- Serviced apartments market-wide: 20.4% year-on-year jump in Q2 2025 transaction values
The main driver behind above-average appreciation in these Johor areas has been the convergence of concrete infrastructure catalysts, particularly the RTS Link and JS-SEZ, rather than speculative demand, with cross-border connectivity creating genuine structural value for Singapore-adjacent properties.
By the way, you will find much more detailed trends and forecasts in our pack covering there is to know about buying a property in Johor.
Which neighborhoods in Johor are expected to see price growth in coming years?
The Johor neighborhoods positioned for the strongest price growth through 2027 and beyond include Bukit Chagar/JB Sentral (benefiting from RTS station opening), select Medini micro-pockets with improving livability, and premium landed masterplans in Iskandar Puteri like Horizon Hills and Eco Botanic.
Projected growth rates for high-potential Johor neighborhoods:
- Bukit Chagar/JB Sentral: 5% to 10% annual growth expected as RTS operations begin in late 2026
- Medini (best-positioned projects): 3% to 7% annual appreciation from JS-SEZ employment growth
- Horizon Hills/Eco Botanic: Steady 3% to 5% growth from owner-occupier demand and scarcity
- Prime Iskandar Puteri overall: 20% to 35% compounded appreciation projected over 3 to 5 years
The single most important catalyst for future Johor property price growth is the RTS Link opening, which will fundamentally change the commuting equation for the 300,000+ Malaysians who currently cross to Singapore daily, transforming JB from a border town into a genuine extension of Singapore's residential catchment.
What Do Locals and Expats Really Think About Different Areas in Johor?
Which areas in Johor do local residents consider the most desirable to live?
Local Malaysian residents in Johor consistently rate Taman Molek, Horizon Hills, Eco Botanic, and established Tebrau corridor neighborhoods like Taman Bukit Indah as the most desirable places to live, valuing stability and practical daily convenience over flashy waterfront views.
Each locally-preferred Johor neighborhood offers distinct qualities:
- Taman Molek: Established residential character with mature trees, good schools, and family-friendly atmosphere
- Horizon Hills: Security, masterplanned green spaces, and premium landed living in Iskandar Puteri
- Eco Botanic: Modern gated community with nature-integrated design and strong community feel
- Taman Bukit Indah: Proven suburban location with comprehensive amenities and steady appreciation
These neighborhoods typically attract established Malaysian families with children, middle to upper-middle income professionals, and business owners who prioritize school quality, safety, and long-term residential stability over investment returns.
Local Johor preferences often diverge from foreign investor targets, with Malaysians generally preferring landed homes in established suburbs while foreigners focus on high-rise condos near the Singapore border, creating two somewhat separate markets with different price dynamics.
Which neighborhoods in Johor have the best reputation among expat communities?
Expat communities in Johor gravitate toward Puteri Harbour for lifestyle appeal, Medini for integrated convenience, and the JB City Centre/CIQ-adjacent area for Singapore commuting, with each serving different expat profiles and priorities.
Each expat-favored Johor neighborhood attracts specific types of foreign residents:
- Puteri Harbour: Marina lifestyle, waterfront dining, and resort-like living for leisure-focused expats
- Medini: Proximity to international schools, hospitals, and business nodes for working professionals
- JB City Centre/CIQ area: Commute-first convenience for those working in Singapore daily
- Horizon Hills: Family-oriented expats seeking landed homes in a secure, masterplanned environment
The typical expat profile in these Johor neighborhoods includes Singaporean second-home owners seeking weekend retreats, Malaysia My Second Home (MM2H) participants, professionals working in Iskandar's multinational companies, and retirees attracted by lower living costs compared to Singapore.
Which areas in Johor do locals say are overhyped by foreign buyers?
Local Johor residents commonly view certain Danga Bay waterfront towers, some Medini high-rise developments, and Forest City as overhyped by foreign buyers who pay premium prices for marketing narratives that do not translate into proportionate rental returns or daily livability.
The reasons locals consider these Johor areas overvalued differ by location:
- Danga Bay waterfront towers: Scenic views command price premiums but rents do not justify the gap
- Medini investor-focused high-rises: Future narrative sold to foreigners while local demand remains thin
- Forest City: Ambitious island project that remains largely empty despite massive Chinese investment
Foreign buyers typically value sea views, modern facilities, and the "Singapore story" marketing narrative in these Johor areas, while locals prioritize practical factors like daily grocery access, school proximity, established communities, and realistic rental demand that actually exists today rather than promised for the future.
By the way, we've written a blog article detailing the experience of buying a property as a foreigner in Johor.
Which areas in Johor are considered boring or undesirable by residents?
Johor residents generally consider remote outer suburban developments, older industrial-adjacent areas like parts of Pasir Gudang, and poorly-connected new townships without established amenities as boring or undesirable places to live.
The specific issues making certain Johor areas less desirable:
- Remote new townships: Lack of established retail, dining, and community life despite modern buildings
- Industrial-adjacent areas: Pollution concerns, truck traffic, and limited lifestyle amenities
- Poorly-maintained older developments: Deteriorating common areas and security issues
- Car-dependent suburbs: Weak public transport and long commutes to employment centers
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Johor, we always rely on the strongest methodology we can and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why It's Authoritative | How We Used It |
|---|---|---|
| NAPIC (National Property Information Centre) | Malaysia's official government property statistics portal run by the federal valuation department. | We used NAPIC as our base truth for state-level housing cycles and overhang data. We cross-checked all private-sector price signals against their official publications. |
| PTG Johor (Pejabat Tanah dan Galian) | Johor's official land administration portal publishing foreign acquisition rules. | We used PTG Johor to verify what foreigners can and cannot buy in Johor. We flagged minimum thresholds and restricted categories based on their official guidance. |
| LHDN (Inland Revenue Board Malaysia) | Malaysia's primary tax authority for stamp duty and property gains tax. | We used LHDN to explain transaction costs and RPGT rates affecting foreign buyers. We referenced their official rate schedules for holding period calculations. |
| MRT Corp | The official Malaysian project authority for the RTS Link rail development. | We used MRT Corp to anchor our infrastructure-driven price growth analysis. We mapped RTS-adjacent neighborhoods to expected demand uplift based on their published timelines. |
| IRDA (Iskandar Regional Development Authority) | The federal statutory body overseeing Iskandar Malaysia's development. | We used IRDA to frame Medini and Iskandar Puteri as policy-backed growth zones. We tied their development framework to specific neighborhood investment cases. |
| iProperty/Brickz | Malaysia's leading property portal with transaction-based price data. | We used iProperty transaction medians for neighborhood-level price signals. We converted their per-square-foot data to square meters and calculated yield estimates. |
| AirDNA | Widely-used short-term rental analytics provider with consistent methodology. | We used AirDNA to quantify Johor's Airbnb market performance. We analyzed their occupancy, ADR, and revenue data to assess short-term rental viability by neighborhood. |
| Knight Frank Malaysia | Global property consultancy producing institutional-grade market research. | We used Knight Frank reports to cross-check our neighborhood conclusions. We validated that our analysis does not contradict major professional research findings. |
| EdgeProp/JLL Malaysia | Mainstream property publication citing JLL's professional market briefings. | We used EdgeProp's JLL coverage to validate Johor's recent price momentum. We referenced their Q3 2025 data showing Johor leading residential price increases. |
| Global Property Guide | Independent property research platform tracking rental yields across markets. | We used Global Property Guide to benchmark Johor yields against regional comparables. We validated our neighborhood yield estimates against their city-level data. |
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