Standard procedures for renting property in Malaysia
 
 
Step 1
 
To Pay One (1) month earnest deposit on letter of offer / acceptance
 
This is the booking deposit, and the amount is usually equivalent to one monthís rent. After the landlord signed the Letter of Intent and accept this deposit, he cannot rent the said property to any other party. This deposit will become part of the security deposit or advance rental after the legal Tenancy Agreement is signed.
 
Step 2
 
Within seven (7) days from date of acceptance both parties signs the Tenancy Agreement. Upon signing the tenant to pays up balance
 
1) Security deposit :  One month’s rent for every year of lease or 2 months for furnished unit
2) Utilities deposit
3) Gov’t stamp duty and agreement fees
 
Upon payment, Tenant receives keys and take possession of property
 
When the lease term ends, the security deposit will then be refunded without interest. However, the landlord reserves the right to deduct from the deposit all costs, damages and expenses arising from the tenant for breaching any of the covenants stated in the Tenancy Agreement.
 
Step 3
 
The Tenancy Agreement is sent to stamp office for stamping. A few days later landlord & tenant receives the stamped copy of the agreement
 
The Tenancy Agreement will have to be stamped by the Inland Revenue Authority of Malaysia. Only after the Tenancy has been stamped then it becomes a valid legal document. This is to protect the interest of both contracting parties.
 
The stamp duty is usually borne by the tenant and computed as follows :
 
 

Rental Amount – 200 x 12 (divide by 250)

+
Round up to nearest dollar then multiply by the no. of years of lease
+
RM10 for each duplicate copy
+
RM150 for tenancy agreement fees
 
 
Note : Rental rates are inclusive of monthly service charges. Tenant pays for the utilities bills such as water, sewerage, electricity & telephone.
 
 
What are the fees are associated with renting property?
 
1) Tenancy Agreement
2) Govít stamp duties
3) Agentís fee
 
Most apartment house rules do no allow pets dog, cat, etc. If you have a family pet, you need to check with the agent or owner before signing the agreement.
 
 
 
Updated : 12/09/2007 Close Window