A comfortable retirement works out cheaper in Vietnam — around £1,700/month for a couple, versus £1,900 in Malaysia (about 11% more).
Cost of living, side by side
| Malaysia | Vietnam | |
|---|---|---|
| Modest (couple/mo) | £1,200 | £1,100 |
| Comfortable (couple/mo) | £1,900 | £1,700 |
| Premium (couple/mo) | £3,200 | £2,900 |
Indicative monthly estimates for a couple — real costs vary by location, lifestyle and exchange rates.
Malaysia: Foreigners can own property above a state-set minimum price threshold.
Vietnam: Foreigners can own apartments (with ownership-term limits); land itself remains state-owned.
Malaysia: The MM2H (Malaysia My Second Home) programme is the classic long-stay route for retirees.
Vietnam: Longer-stay options are more limited than elsewhere in Asia — check current routes carefully.
Malaysia: Malaysia offers excellent, affordable private healthcare, with Penang and Kuala Lumpur regional medical hubs staffed by English-speaking doctors; expats typically use private hospitals and insurance, with consultations often just £10-40 and cover reasonably priced.
Vietnam: Major cities have good international hospitals (FV Hospital in Ho Chi Minh City, the Vinmec network) with English-speaking, often Western-trained staff at a fraction of Western prices; many expats keep international insurance (roughly £70-450 a month by age and cover) and may travel abroad for complex care.
Malaysia: Foreign-source income including pensions remitted to Malaysia by residents can be taxable under rules that tightened from 2024, but MM2H visa holders benefit from a specific exemption on foreign income, while locally earned income is taxed progressively; take advice on your set-up.
Vietnam: Vietnamese tax residents (183+ days or a permanent home) are taxed on worldwide income on a progressive scale up to 35%, with relief under the UK-Vietnam double-tax treaty; there is no dedicated retirement visa, so residency and pension taxation both need professional advice.
Malaysia: Tropical, hot and humid all year (high 20s to low 30s C) with no real seasons, just wetter monsoon spells; highland areas like the Cameron Highlands stay noticeably cooler. Malaysia is generally safe and unusually easy for English-speakers, as English is very widely spoken, driving is on the left like the UK, and the mix of cultures makes it comfortable for British retirees.
Vietnam: Tropical but varied by region: the south is warm year-round with a wet season (May-October), the centre around Da Nang is driest and best from February to August, and the north has a cooler winter. Vietnam is very safe with low crime and welcoming to foreigners, though English is less widely spoken outside cities; traffic is intense and driving is on the right, so many retirees avoid driving themselves.
Malaysia: Foreigners must buy above a state minimum price (commonly RM600,000 to RM1 million, higher in KL and Selangor); from 2026 foreign buyers pay 8% MOT stamp duty plus legal fees, so budget roughly 9-11% in one-off costs, with completion over a few months.
Vietnam: Foreigners cannot own land, only apartments in approved buildings on a renewable 50-year leasehold (capped at 30% of a block); expect around 10% VAT (usually in the price), a 0.5% registration fee, a maintenance or sinking fund near 2%, and legal costs, with independent legal checks essential.
Malaysia: Penang (George Town, Tanjung Bungah) for heritage, food and top hospitals, Kuala Lumpur for a big international city base, the wider Klang Valley for suburban options, and the cooler Cameron Highlands for a change of climate; many retirees choose Penang.
Vietnam: Da Nang for an affordable, laid-back beach city popular with retirees, Ho Chi Minh City (Districts 2/Thu Duc and 7) for the best hospitals and amenities, historic Hoi An nearby, and Hanoi for northern culture.
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