Hi guys,

I have a few questions in mind regarding tenancy agreement in Malaysia.

From what I read, the steps to make a legal tenancy agreement is to have signature from both parties then stamp it in LHDN. I would like to know how true is this.

Other than this, I'm also having another problem which is the tenant decides to stop renting the unit after 4 months. This is a bad thing for me as I've spent a few thousands renovating the unit and also paid 1 month commission for the agent. Is there anyway to add in a clause which requires the tenant to rent at least a minimum 6 months?

Lastly, which kind of format would be used for a legal agreement? Can this be used? Tenancy Agreement

Thanks in advance.

This post has been edited by mudz: Dec 28 2012, 08:02 PM

better get a proper tenancy agreement signed and stamped. w/o one, in the case tenant cabut after 4 months, nothing u can do except scold the agent and agent probably just laugh.

a typical tenancy agreement is 1yr firm + 1yr renewable option. which means tenant cannot terminate before 12 months; must pay all even if he leaves early. if he wants to renew for 12 months after 1st 12 months, a letter to confirm will do, no need for agent commission or stamping anymore.

a diplomatic cause is common - if tenant is expat and sent away fron country, the agreement is terminated whenever he leaves, no penalty.

having said that, any agreement can be customised to suit both parties, no hard mandatory rules, really.

This post has been edited by AVFAN: Dec 28 2012, 08:02 PM

Bro, do you have a proper tenancy agreement. Can you share the template or a sample of the agreement.
Many thanks.

tenancy agreement already stated duration 1, 2 yr or more. You can forfeit the deposit if tenant stay only 4 months. Tis is usually the terms for the agreement. The problem is enforcement.
Are you going to enforce? Police will not enforce tis between you and him only.

Once you tell him about loss deposit he will usually choose not to pay you rent until he finishes his deposit. Question is how are you going to remove him without him finishing his 2 month deposit by staying until 2 month deposit is untilize.

So are you brave enough to open up a can of whoop ass?

really sorry that i dont have a ready one to share here but any agent would have it.

If you simply google it, you'll get a sample in 2 seconds.

Haha, I did that too, but i modify myself also.

2 year tenancy
if break within 1 year compensate 12 months rental

Thanks. Will do it!

if tenancy is renewed, do we need to draw up new tenancy and sign and stamp or just a one page letter with a rm10 stamp?

Preferably new tenancy agreement. Unless your old one had a clause "Renewed automatically with same terms and conditions" but you will still need to re stamp if you want to declare.

"Renewed automatically with same terms and conditions" add this clause only if you monitor all your tenants closely and they are good tenants.
Example==> tadika /day care/ cooperate client

Usually I will go for 2 year tenancy for female client such as nurse...
5 years tenancy for tadika
No 1 year tenancy so far.

quite right... for residential, it was commonly 2yr+1yr or 2+2.
but due to many available houses and highrise now for rental, many tenants start to insist on 1+1.
in my experience, most of them get out after 1 yr because they find a better one nearby with same or slight rental incr.
this says the yield for rental props is flat or getting lower as there is ample supply for rental.
there are many cases where a good rental is achieved for 1 yr, then stays empty for 1yr before next tenant comes in.
this is happening in many places. when situation will reverse, nobody knows.

for commerical operations, it is usually longer, maybe 3+1, 3+2, or in the case of banks in shoplots, 3+3+3, total 9 yrs with a provision for a capped rental incr every 3 yrs.
again as previously mentioned, there are no hard and fast rules. both sides need to agree, according to prevailing and anticipated future market conditions.

This post has been edited by AVFAN: Dec 29 2012, 10:01 AM

to safeguard and lock tenant while you property in their top choice, U have to go for 2 years and select your tenant wisely no rush.
Add value your property to find for good tenant
This is How I help my client rent out 53 properties in same way.

Are you an agent? If so, I might need your service around summer next year.

both
Realtor : Certified International Property Specialist, US && member of NAR, US && MIEA
Buyer : Accumulate property as money making machine

Guys - i got a questions!

my Tenant A had to be transferred and his colleague, Tenant B who is replacing him would like to take over my unit. Currently the tenancy agreement is under Tenant A.

What's the best method to handle this? do i come out with another Tenancy agreement under Tenant B?

many thanks sifus!

Hi there. U said a letter of confirm will do if the renewable option is in the original agreement. What kind of letter of confirm? And must it be stamped? How is the procedure like? Please advice.

Hi guys, my tenancy agreement is 1yr firm + 1yr renewable option. If my tenant wants to renew for 12 months after 1st 12 months, what should I do? Do I need to go for stamping or anything else?

Thanks a lot=)

Hi, it's anyone having a template of tenancy agreement renewal ?