Budget hotels and youth hostels are available in most cities and around most tourist destinations. As with most budget accommodations, some are more reliable than others. Be cautious when selecting budget accommodation to avoid places that house illegal vice activities.
Larger cities will have YMCAs that are safe bets. Another noticeable budget hotel chain is Tune Hotels, (http://www.tunehotels.com/) an affiliate of the budget airline, Airasia. They are expanding and have hotels at numerous locations throughout the country
5 star hotels, service apartments and resorts are located in larger cities like Kuala Lumpur, Penang, Johor Bahru, Kota Kinabalu and Kuching. Also, almost all islands have upscale resorts and spas for the wealthy traveller. Malaysia is renowned for having among the cheapest 5-star hotels in the world.