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Get the Details Right: Setting Up a Tenancy Agreement in Malaysia

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Are you a tenant or landlord in Malaysia looking for the perfect tenancy agreement that will be beneficial to both parties? It can be tricky to nail the details down, but don't worry – this post is here to help.

The tenancy agreement is one of the most important documents when it comes to renting out a property, whether it's an apartment, house, commercial space or office. It's essentially a contract between the tenant and the landlord that sets out their rights and obligations during the tenancy period.

But before you start hammering out all the tiny details of your agreement, take a deep breath – we'll show you how to get all those pesky details right so that neither party feels like they got shortchanged in terms of rights and responsibilities.

From rental price and maintenance & repairs to utilities & services and termination & renewal, we'll explain everything you need to know about tenancy agreements in Malaysia. So sit back, relax and read on – we've got you covered!

What Is a Tenancy Agreement and Why Is It Important?


Like a dragon guarding its golden hoard, a tenancy agreement is an important document that guards the rights of both landlords and tenants in Malaysia. Think of it as the official contract between both parties that protects each one's interests.

It specifies all the important details, including:

  • Rental price: How much you'll be paying in rent each month.
  • Maintenance and repairs: Who should cover which expenses?
  • Utilities and services: What are they responsible for?
  • Termination and renewal: When should either party give notice?
  • Tenant's obligations: What is expected of them during the tenancy period?
  • Landlord's obligations: What are their duties?

The importance of a signed tenancy agreement is that it sets out clear expectations for both parties, helping to protect everyone involved. It also helps to prevent any potential disputes along the way—and who doesn't want that? So, don't forget to get your dragon (tenancy agreement) ready before you move into your new home!

Types of Tenancy Agreements in Malaysia

Having a tenancy agreement in Malaysia put into writing is like signing a wedding contract – it sets out all the obligations and responsibilities of both parties as they enter the relationship. But, unlike actual weddings, there are a few different kinds of tenancy agreements, each tailored to fit all kinds of rental relationships.

The first is the rather regal sounding "fixed-term lease agreement." This one lasts for a set amount of time, usually between 6 months and two years. The tenant pays rent repairs and utilities during this period and the landlord gives basic upkeep of the property in return. Then there's the "month-to-month tenancy agreement" which as you might have guessed carries on for a month at a time leaving either party free to end it every 30 days (or renew it).

Finally, we have "special tenancies", generally intended for short term stays or special circumstances such as students from overseas or senior citizens with low income. Both sides outline specific details in this type of agreement – rental price, maintenance and repairs, utilities and services, termination and renewal processes etc. – so that expectations are crystal clear.

So get your pen ready; making sure all these details are addressed in your tenancy agreement will help ensure that your relationship with your tenant (or landlord) will remain a peaceful one!

What Should Be Included in Your Agreement: Rental Price, Maintenance and Repairs, Utilities and Services

If you're a landlord or tenant in Malaysia, you definitely want to pay attention to the details of your tenancy agreement. Not only will it set out the expectations between you and the other party, but it can also protect your rights and safety. Here are a few important aspects that should be included:

Rental Price


This is probably the first thing that comes to mind when setting up a tenancy agreement in Malaysia. But not only should your agreement clearly state the rental price, it should also stipulate how (and when) payment must be made. This allows both parties to be on the same page when it comes to payments and avoid any misunderstandings or issues down the line.

Maintenance and Repairs


The maintenance and repairs clause outlines who is responsible for what in terms of repair work. The landlord is usually expected to take care of structure and exterior repairs, while tenants typically have to foot the bill for their own furniture, fittings and decorative items.

Utilities and Services


Who will be responsible for paying for utilities such as water, gas or electricity? Again, this needs to be explicitly stated in your tenancy agreement so there's no doubt about who pays what. This goes for any additional services as well such as housekeeping or gardening—get all these details sorted from the get-go!

Tenant's Obligations


Nobody likes to be bossed around, especially when it comes to your home. But when it comes to signing a tenancy agreement in Malaysia, both tenant and landlord have responsibilities they must meet. And most of the restrictions that matter are part of the tenant's obligations—that's you!

You've got lots of things to take care of when a tenancy agreement is in place. Here are just a few:

  • Paying the rent on time: A biggie here, but this isn't something you should let slide—it's the most basic expectation and failing to pay can land you in serious trouble.
  • Keeping the property clean and free from vandalism: Not only is this an obligation for tenants, it's also an act of respect for your home. Be sure that guests don't do any damage either!
  • Respecting the terms of the tenancy agreement: Make sure you read through every clause before signing on the dotted line. That way, there'll be no surprises for either party down the line if something goes wrong.
  • And lastly, communication between landlord and tenant has to remain open and honest: If there needs to be repairs done or if there are any issues with respect to safety or disrepair, don’t just ignore them—let your landlord know right away so they can take care of it as soon as possible.

Landlord's Obligations


If you find yourself on the landlord side of the equation, then you know there are plenty of obligations that come on your shoulders when setting up a tenancy agreement in Malaysia. From looking after maintenance and repairs to making sure your property is up to code and providing utilities and services—it's enough to make anyone dizzy!

But let's break it down and make it simple, because there are a few key items your Tenancy Agreement must include:

  • Rental Price: This is fundamental to any lease agreement, including all details of payments like amount due, method of payment, and when and how often payments must be made.
  • Maintenance and Repairs: This clause outlines which repairs are landlord responsibilities (like major structural issues) versus tenant responsibilities (like minor day-to-day upkeep).
  • Utilities and Services: Here you can outline the utilities provided such as electricity and water, as well as any additional services like cleaning or repairs that are included in the rent.
  • Termination and Renewal: Make sure to list any notice period required for a tenant wishing to terminate their lease as well as any renewal terms regarding rent increases after expiration dates when applicable.
  • Tenant's Obligations: Finally, this clause outlines all duties liable by tenants such as paying rent on time, taking care of the property, proper disposal of garbage etc., depending on local laws or rules set out by you as the landlord beforehand.


As a landlord in Malaysia, it's important that these key points get covered thoroughly in your Tenancy Agreement to ensure an even contract between both parties—so consider carefully all these components before signing anything!

Termination and Renewal of the Tenancy Agreement


Forget to think about the termination and renewal of your tenancy agreement and you may be stuck with a dud contract! Don't let that happen—make sure you know what's in the agreement so that when it comes time to extend or end the lease, everything is sorted.

First up, understand how long you (or your tenant) can stay. This is handy to know if things don't end up working out and you want to end the agreement before it's due. It's also important if you want to stay longer than initially agreed upon, because then you'll need an extension.

Then there's the issue of what happens when a tenant vacates. Again, this should all be laid out in the tenancy agreement, from how much notice must be given through to who is responsible for cleaning and repairs before exiting.

The same goes for renewals—it helps if everyone knows what needs to happen when it comes time to renegotiate terms and conditions. This could include rent increases, changes in utilities or other services, as well as different rules on length of stay and maintenance responsibilities.

Overall, getting the details right in your tenancy agreement means both parties can avoid future hassles—win-win!


So, if you're a tenant or landlord in Malaysia, remember you can't just 'wing it' when it comes to tenancy agreements - get the details right! Cover all your bases, be prepared to negotiate a fair agreement that covers all the relevant points like rental price, utilities, maintenance, and tenant/landlord rights and obligations. Don't be afraid to get creative - add clauses that specifically reflect the needs of both parties. When everybody's happy and everything's in writing, you can start counting the days until you can move into the ideal home or start collecting those rental payments!


Also Check: How to Rent Your House in Malaysia