How much rent should you charge?
In Malaysia, the right rent starts from what the place costs you to own each month, plus the months you expect it empty, plus the profit you want. The empty month is what gets left out: rent set exactly at your monthly cost loses money every year. This calculator works out all three, then compares the result with your area.
- Cost of owning per year
- RM 18,900.00
- Monthly cost if never empty
- RM 1,575.00
- Added because of the empty month
- + RM 143.18
- Break-even rent
- RM 1,718.18
- Suggested rent
- RM 2,018.18
- Against your area
- Over the local rate. Your costs demand more than the area pays.
How does this calculator work?
The yearly cost divided by the months actually let gives the break-even rent. An empty month is carried by the months that are let, not by all twelve, which is why break-even is higher than the monthly cost. The profit you want is added on top.
Frequently asked questions
Start from what the place costs you to own each month, add what the months you expect empty cost, then add your profit. Then compare that against three similar units in the same neighbourhood, not the whole city.
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