I've been living in George Town, Penang for nearly four years and I love it.
Malaysia's long been on the top expat lists, due to its cost of living, relaxed lifestyle, safe environment and efficient infrastructure. Southeast Asia is known for low living costs. Although Penang Island is more expensive than most of peninsular Malaysia and even mainland Penang State, it offers a very affordable and enjoyable expat life.
It’s easy living. Penang is friendly. Locals are accepting of foreigners and customer service is helpful and amenable. If you're concerned about language barriers, English is widely spoken and on display. It's relatively easy to learn the lingo here because of the prevalence of English accompanying the official language of Bahasa Melayu.
A UNESCO World Heritage site, George Town is charmingly chaotic in the way that Asian cities often are, yet bills are affordable, electricity and broadband are reliable, phone networks are strong and the tap water is safe to drink.
So if you're considering expat life in a new country, here's a snapshot of what to expect of Penang.
Short on time? Here's the cheat sheet:
💭Living in Penang is ideal for those itching for a warm climate in a safe, lively, and cosmopolitan environment.
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☂️Although the traffic and the heat can drive some wild,
🏖️Living in Penang is a great choice for those searching for easy lifestyle that's accepting of foreigners.
The Social Scene in Penang
Don't be concerned about making friends in your new life. Anyone can join the social clubs and activity groups and expats host coffee mornings and ‘mingles’ aimed at introducing newbies to Penang life. Everyone is curious about newcomers. Weekly e-newsletters list social activities and sales; the author of one is a gold mine of useful contacts for absolutely anything.
There's a lot going on. While Penang doesn’t get the international gigs or shows of Kuala Lumpur, there’s plenty of entertainment and George Town buzzes at night. One of the things I love most about living in Penang is the cosmopolitan and tolerant population, made up of diverse Malaysians and foreigners.
Penangites love to claim that their state and island form the food capital of Malaysia, if not the world. You'll never be short of food options and fusions here.
Living Just North of the Equator
We shouldn’t progress without mentioning the weather. It’s simple. Hot and humid.
UK friends have asked, in October/November, “Is it getting cooler now?”
The answer’s no. It’s a serious consideration if you're contemplating becoming a Penang expat. This kind of heat is not for some. On the other hand, a warm climate can have health advantages and every home, shop and restaurant has air conditioning.
Cost of Living in Penang
So let’s get into the nitty gritty. All costs below are in Malaysian Ringgits. At the time of writing, the exchange rate was MYR1 = USD0.24.
Rent
It's going to be your biggest expense, so how much?
You could well ask “How long is a piece of string?” As in any country, accommodation type and location play a part. Most expats favour the condominiums but a proportion opt for 'landed property' - either bungalows or semi-detached houses.
A seriously large condo apartment along the prestigious Gurney Drive (I’m talking 420-950m2) will set you back anything from MYR5,000-15,000 monthly. Apartments are very appealing in this location and most have superb sea and island views.
A bit further out to Tanjung Bungah, condos and houses rent for MYR3,000-9,000. Cheaper still is Batu Ferringhi, 15km from George Town. All condos have free-use gyms and pools.
The lower rental ranges in each area may include properties in need of generous TLC. Maintenance is not usually high on a landlord’s agenda here.
Many apartments come fully furnished; this can include crockery and utensils. We had a slight disadvantage in choice because we imported our household, but, in our favour, unfurnished places are cheaper.
Be aware that realtors demand a fee of one month’s rent from both landlord and tenant. It’s lamented as being ‘illegal’ but no one seems prepared to do anything about it. You’ll be charged a security deposit of a month’s rent and often a utilities deposit of half that. Utility accounts are in the landlord’s name, although the tenant pays the bills.
Rents in Penang are still low in comparison to Western countries, if higher than peninsular Malaysia.
Utilities
In this climate, cooling is essential. Your highest utility expense will be electricity.
Usage is split into cost bands and peak/off-peak times. In our apartment (450m2) we don’t run the a/c often, preferring to use the fans and open windows and doors to the breeze. Our bill is MYR100-150 monthly. Friends in smaller places pay as little as MYR70. Conversely, those in massive apartments paid for by employers often max their a/c, with electricity bills in four figures.
Fresh water and sewerage system charges are negligible at MYR12 per quarter and MYR72 bi-annually respectively.
Broadband, Phone & Home Entertainment
Our monthly bill for unlimited 1Gbps broadband is MYR211. You can pay less for lower speeds. Our unlimited calls and data package is MYR150 monthly.
TV packages come with the provider’s channels, plus streaming apps such as Netflix, HBO, Prime and BBC Player. Basic plans cost around MYR60 monthly and ‘Max’ or ‘Epic’ plans are up to MYR200.
There's a mind-boggling array of TV boxes and Firestick type devices available. My advice is to chat with other expats and locals on arrival to find what suits you. All options are affordable.
Petrol
What can I say? MYR2.05-3.17 per litre depending on grade. We're very lucky!
Groceries & Eating Out
Local produce, chicken, fish and seafood are inexpensive. Imported goods, lamb and beef cost at least the same as in the UK and Australia. Major supermarkets are stocked with international brands.
As for eating out, you can fine-dine at overseas prices, buy from hawker stalls in your local kopitiam for less than MYR25 or choose from a myriad of restaurants serving every kind of cuisine imaginable for MYR40-100 per person.
Alcohol is expensive, due to government taxes. It’s the only commodity that’s far more expensive here. Asian beers are cheapest but if, like me, you’re not into beer, you have to accept that you’re going to fork out for spirits and wine. Cocktails in most places are reasonable, but be aware that the actual alcohol content may be minimised. Follow me to find the establishments that don’t cheat!
Clothing, Shoes & Electronic Goods
Asian brands are good value, imported and designer items are the same price as overseas. The online shopping platforms offer generally low prices, but quality varies.
Well known electronics makes are widely available at similar prices to overseas. You can get decent bargains during sales.
Getting About
Bus fares are very cheap and Grab, the Asian equivalent of Uber, is brilliant. It rarely costs us more than MYR10 per trip around town.
Healthcare & Insurance
Healthcare is top class and indeed Malaysia is famous as a ‘medical tourism’ destination. Minor procedures, consultations and dental work are pay as you go and cheaper than in Western countries but for hospitalisation it’s essential to have health insurance. This can be a significant expense of up to MYR5,000 yearly.
Location, Location, Location
Penang Island is very safe, but burglaries can occur and individual landed properties tend to be the targets. Most expats, even those who swore they would never do apartment living – like me – opt for a condo because it’s ‘lock up and leave’ safe.
Here's a very brief summary of the most popular expat locations.
Gurney Drive, Pulau Tikus
- Prestigious, water-fronted, convenient.
- Adjacent to two major shopping malls.
- Easy access to George Town.
- Predictably expensive.
Tanjung Tokong, Straits Quay & Tanjung Bungah
- Good local amenities.
- Convenient access to George Town.
- Popular with expats.
Batu Ferringhi
- The tourist hub of Penang.
- Has the best beaches and is known for spectacular sunsets.
- Downside – there’s only one road in, snaking along the coast. If there’s heavy traffic or, at worst, an accident, you stay put until it’s cleared.
Long-Term Visa Options
There are visas for employment, spouses and digital nomads – pretty self explanatory – but one of the most common visas for foreigners is the Malaysia My Second Home (MM2H) programme.
MM2H offers expats inviting incentives to reside here and spend their money, provided certain financial requirements are met. While in recent years the requirements have become way more onerous, I think it can still be a good deal, depending on your personal circumstances.
It’s best to seek professional advice for current information on any of the available visas. I would definitely recommend using an agent to help you. It’s not essential but their expertise will go a long way in smoothing the process.
If you’re a certified teacher in your home country, you might also want to look into teaching at an international school in Malaysia. These tend to be steady jobs with good incomes.
In Summary Then, What's Good & Not So Good?
From George Town to other parts of Penang Island, here's a brief rundown of what you can expect if you decide to move here, too.
The Pros
- Safe, friendly and laid-back.
- Prices are low compared to Western countries.
- Established expat community.
- Excellent, affordable healthcare.
- Reliable, efficient infrastructure and utility services and safe tap water.
- Cosmopolitan mix of people and cuisines.
- It’s never cold.
The Cons
- Heat and humidity.
- Congestion - everyone drives and the traffic jams can be frustrating.
- Extensive new development. High rises (which then remain empty) and vast areas of land reclamation are controversial.
- Not particularly cycle friendly, nor very suitable for anyone with mobility issues. Footways and levels are random so your walking journey can seem like an obstacle course.
- Swim in the sea with caution – stinging jellyfish are prevalent.
Will You Move to Penang?
Even on my very first visit in 2016, I felt comfortable here and I’m not alone in hoping the residency requirements never change so I can stay for the rest of my life.
We did our research thoroughly and weren’t surprised or disappointed by anything, but there were, inevitably, some discoveries:
- I've always enjoyed long walks, but although hiking is popular, I’ve found being out in the sun and humidity for prolonged exercise off-putting.
- Smaller apartments and AirBnbs may not have an oven and often have no mechanism for heating water.
- Storms blow up SUDDENLY. A rising wind is an alarm signal to batten down the hatches or risk damaged doors and windows and even contents.
With cheap, easy access to all Southeast Asian destinations, Penang is an ideal hub for those who love this part of the world.
Come for a reconnoitre!
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