Cheras Property Investment 2026: KL's Most Underrated Rental Market

Ask a KL property agent where yields are strongest and they will point you to Cheras dead last. It is not glamorous. There is no expat premium. No heritage district. No Silicon Valley narrative. Cheras is where working KL lives — hawker stalls, night markets, auto repair shops, and row after row of mixed-use shophouses. It is as unglamorous as property investment gets.

It is also where the math works.

The MRT Kajang Line turned Cheras from a car-dependent suburb into a 30-minute commute to KLCC. Condo prices remain RM300-500K — 40-50% below city center equivalents. Yields of 4.5-6% are achievable because rents have risen faster than prices. The tenant pool is deep: young professionals, students from Tunku Abdul Rahman University of Management and Technology (TARUMT), and middle-income families who need space and connectivity at prices they can afford.

This guide breaks down Cheras by micro-area, identifies which MRT-adjacent condos deliver the best yields, and walks through a worked cashflow for a RM400K investment.

The MRT Effect — What Changed

Before the MRT Kajang Line opened in 2017, Cheras property was priced for car commuters. The drive to KLCC during peak hours could take 45-60 minutes. Rental demand was local — people who worked in Cheras or nearby Kajang. Prices reflected this isolation.

The MRT changed everything. Key stations in Cheras — Taman Pertama, Taman Midah, Taman Connaught, Taman Suntex, Bandar Tun Hussein Onn — connected tens of thousands of residents to KLCC in under 30 minutes. Suddenly, a RM350K condo near Taman Pertama MRT was competing for the same tenants as a RM700K unit in Bangsar. Not on luxury — on commute time.

Measurable impacts:

The MRT did not just improve Cheras commute times. It created a new asset class: affordable condos with KLCC-competitive commute times. That asset class did not exist before 2017.

Popular Condos Near MRT Stations — Price and Yield

Development Nearest MRT Station Walk Time Typical Price (RM) Typical Rent (RM/mo) Gross Yield
Eko Cheras Taman Mutiara MRT 5 min 400K–550K 1,800–2,300 4.8–5.4%
M Vertica Maluri MRT (interchange) 3 min 450K–600K 2,000–2,500 5.0–5.3%
Cheras Sentral Taman Pertama MRT 8 min 300K–420K 1,400–1,800 5.1–5.6%
Tmn Connaught (older condos) Taman Connaught MRT 5-10 min 250K–350K 1,100–1,500 5.0–5.5%
Vista Mahogani Taman Midah MRT 10 min 280K–380K 1,200–1,600 5.0–5.3%
Iris Residence Bandar Sungai Long 15 min (feeder) 350K–450K 1,400–1,700 4.6–4.8%
De Centrum Residences Taman Suntex MRT 8 min 380K–500K 1,600–2,000 4.8–5.0%

Key takeaways:

Tenant Profile — Who Rents in Cheras?

Understanding Cheras tenants helps you furnish, price, and manage your investment correctly.

Young professionals (30-40% of tenants). Ages 23-35. Working in KLCC, Golden Triangle, or KL Sentral. Earning RM3,000-6,000/month. They chose Cheras because RM1,500-2,000/month gets them a full-sized condo that would cost RM2,800-3,500 in Bangsar. They commute by MRT. They value WiFi, aircon, and proximity to food options. They sign 12-month leases and are moderately price-sensitive.

Students (20-25% of tenants in specific areas). TARUMT's main campus is in Setapak, but its Cheras location (formerly known as TAR College) and proximity to several other institutions create student demand in northern Cheras. Students typically share units — 2-3 per apartment. They pay RM500-800 per person. Total unit rent is competitive but management can be more intensive. Lease aligned with academic year.

Middle-income families (25-30% of tenants). Dual-income households earning RM6,000-12,000 combined. Prefer 3-bedroom units with 1,000+ sqft. Value school proximity, markets, and community feel. Longer tenancies — 2-3 year leases common. The most stable tenant segment but the smallest pool in terms of new tenant acquisition.

Budget-conscious singles and couples (10-15%). Studio or 1-bedroom seekers. Very price-sensitive. Higher turnover. Best served by smaller, newer units near MRT stations.

Cheras is a volume market. You will not find the single perfect expat tenant paying RM5,000/month. You will find a deep pool of decent tenants paying RM1,400-2,200/month who need affordable, connected housing. The volume is the advantage — low vacancy risk because the replacement tenant is always available.

South Cheras vs North Cheras — The Divide

Cheras stretches roughly 15km from the KL city fringe southward. Not all of Cheras is equal. The north-south divide matters for investors.

North Cheras (within KL boundary):

South Cheras (Kajang-adjacent, partly in Selangor):

Investor guidance: North Cheras within the KL boundary and direct MRT walking distance delivers superior yield and lower vacancy. South Cheras offers lower entry prices but the MRT premium weakens as you move further from stations. If your strategy depends on the MRT tenant — and it should — stay north.

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Oversupply Pockets — Where to Be Careful

Cheras is broadly undersupplied for MRT-adjacent rental stock. But pockets of oversupply exist:

Older walk-up apartments in non-MRT areas. Cheras has significant aging housing stock — walk-up apartments built in the 1980s-1990s, more than 1km from any MRT station. These struggle to attract tenants at reasonable yields because they cannot compete on connectivity or build quality. Avoid unless you are getting an exceptional price and the rental math works even with higher vacancy assumptions.

SOHO/serviced apartment developments. Some newer Cheras developments marketed as "SOHO" carry commercial titles with higher utility rates and assessment charges. Yields look attractive until you factor in the higher operating costs. Verify the property title type before committing.

Large-format developments far from MRT. Certain mega-developments in South Cheras have hundreds or thousands of units competing for a limited tenant pool. When occupancy drops below 80%, the race to the bottom on rental pricing begins. Check occupancy rates at the development level, not the area level.

The Cheras-Kajang border zone. Properties straddling the KL-Selangor boundary can have confusing jurisdictional issues — different assessment authorities, different utility rates, different development charges. Clarity on which local authority governs your property saves headaches later.

Risks — What to Watch

Aging stock. The most affordable Cheras properties are the oldest. Buildings from the 1980s-1990s may need major renovation — plumbing, wiring, lift replacement. These capital expenditures can wipe out years of rental profit. Inspect before buying. Budget for renovation if the building is 25+ years old.

Management quality variation. Cheras building management corporations range from professional to dysfunctional. Poor management means dirty common areas, broken lifts, security issues — all of which depress rental value. Visit the building at 7pm on a weekday to assess the reality, not the marketing.

Student tenant management. If your strategy involves student tenants (TARUMT area), prepare for higher wear-and-tear, noise complaints from neighbors, and lease gaps during semester breaks. Student tenants boost yield but increase management effort.

Traffic congestion. Despite MRT improvements, Cheras roads remain heavily congested during peak hours. For tenants who drive, this is a frustration that affects retention. MRT-adjacent tenants care less about road traffic, which reinforces the importance of station proximity.

Rental growth ceiling. Cheras rents are constrained by tenant income levels. Unlike Mont Kiara where expat housing allowances support premium rents, Cheras tenants are paying from their own salary. Rental growth above 3-5% annually is unlikely unless significant new demand enters the market. Model conservative growth.

Worked Cashflow: RM400K Condo Near Taman Pertama MRT

Assumptions:

Item Monthly (RM)
Rental income +1,800
Mortgage payment -1,640
Maintenance fee + sinking fund -220
Assessment rate (DBKL) -80
Insurance (prorated) -25
Vacancy allowance (5%) -90
Net monthly cashflow -255

Gross yield: 5.40%

The property is RM255/month cashflow negative. Mortgage principal repayment is approximately RM620/month — so net equity buildup exceeds the cash outflow by RM365/month. You are paying RM255 to build RM620 in equity. That is a wealth-building trade-off many investors accept.

With Islamic financing at 3.95%:

Item Monthly (RM)
Rental income +1,800
Financing installment -1,530
Maintenance fee + sinking fund -220
Assessment rate (DBKL) -80
Insurance (prorated) -25
Vacancy allowance (5%) -90
Net monthly cashflow -145

Islamic financing reduces the monthly outflow to RM145. A 5% rental increase (RM1,800 to RM1,890) plus modest vacancy improvement gets this close to breakeven within 12-18 months.

Stress test — what if rent drops to RM1,600?

Item Monthly (RM)
Rental income +1,600
Financing installment (Islamic) -1,530
Maintenance fee + sinking fund -220
Assessment rate (DBKL) -80
Insurance (prorated) -25
Vacancy allowance (8%) -128
Net monthly cashflow -383

Even in a stress scenario with depressed rent and higher vacancy, the monthly outflow is RM383 — manageable for most investors. The downside is contained because the entry price is moderate and the mortgage is correspondingly small.

The Cheras Investment Thesis

Cheras works because of a simple equation: MRT connectivity + affordable prices + deep tenant pool = sustainable yield.

It is not the highest-yield area in Malaysia. Ipoh and parts of Iskandar Malaysia offer better raw numbers. But Cheras combines yield with market depth, liquidity, and institutional infrastructure that smaller markets cannot match. You can find a tenant in 2 weeks. You can sell the property in 3-6 months. You can refinance with any major bank. The ecosystem works.

Buy in Cheras if:

Skip Cheras if:

Cheras is the blue-collar workhorse of KL property investment. No glamour. Solid numbers. Run yours on our cashflow calculator. Note that Cheras condos at RM300-500K sit below the RM1M foreigner minimum price threshold — this is a local-buyer advantage zone. For a similar contrarian play driven by a different catalyst, compare with Cyberjaya's data center story.

For the full KL sub-area comparison, see our KL property investment guide. For yield calculation methodology, read rental yield calculation.

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