Three payments, and only two of them are deposits
Johor landlords quote terms as "2 + 1 + 0.5". That is three payments on signing day, and only two of them are deposits.
- Security deposit, two months' rent. Held against unpaid rent and damage. It comes back after you move out, less anything the landlord can prove.
- Utility deposit, half a month's rent. Held against the last electricity and water bills, and sometimes gas or internet. Once the final bills are paid it should come back in full.
- Advance rental, one month's rent. This is your first month's rent paid early. It is used up in month one and does not come back.
For a fully furnished unit some landlords ask 2 + 1 + 1, with the extra half month held against the furniture and appliances. An access card or key deposit, usually RM50 to RM100, sits on top. None of this is set by law. Malaysia has no cap on a residential deposit, so a landlord may ask for three months and you may offer one and a half. It is worth asking, most of all on a unit that has been listed for a while or when you can sign for two years.
What that comes to on Johor Bahru rents today
On 6 October 2026 RentalJB carried 65 homes for rent, asking from RM1,100 to RM8,500 a month. The median was RM2,500. Twenty-one asked RM2,000 or less, 19 asked between RM2,001 and RM3,000, and 25 asked more than RM3,000. Here is the deposit money at five of those rents.
| Monthly rent | Security (2 months) | Utility (0.5 month) | Comes back (2.5 months) | Advance, not returned | Comes back on 2 + 1 + 1 |
|---|---|---|---|---|---|
| RM1,100 lowest on the site | RM2,200 | RM550 | RM2,750 | RM1,100 | RM3,300 |
| RM2,000 most common, 8 of 65 | RM4,000 | RM1,000 | RM5,000 | RM2,000 | RM6,000 |
| RM2,500 median | RM5,000 | RM1,250 | RM6,250 | RM2,500 | RM7,500 |
| RM4,000 | RM8,000 | RM2,000 | RM10,000 | RM4,000 | RM12,000 |
| RM8,500 highest on the site | RM17,000 | RM4,250 | RM21,250 | RM8,500 | RM25,500 |
The listings on this site show the rent, not the deposit terms, so ask for the terms in writing before you view. A landlord who wants 2 + 1 + 1 on a RM4,000 house is holding RM12,000 of your money, and you should know that before you fall for the kitchen.
The line to notice is RM2,000 a month. On standard terms the refundable part at that rent is exactly RM5,000, which is also the most you can claim through the Small Claims procedure. Forty-four of the 65 homes listed here ask more than that. Rent one of them, have the whole deposit withheld, and the claim belongs in the ordinary Magistrates' Court. The higher the rent, the more the move-in paperwork is worth.
What a landlord can take out of it
There is no tenancy law in force, so deductions follow the agreement and the Contracts Act 1950. The principle is short: the landlord can keep what a breach cost, and has to be able to show it. Speedhome, which runs move-outs on its own rental platform, lists six grounds that stand up:
- Rent still owing on the day you leave, shown on a rent ledger.
- Damage you caused beyond fair wear and tear, shown by move-in and move-out photos and a repair quote or receipt.
- Unpaid electricity, water or internet bills that the agreement makes yours, shown by the final bill.
- A breach of a specific clause, such as subletting or keeping a pet where the agreement forbids it.
- Leaving early, limited to the amount the early termination clause states.
- Cleaning or restoration that the agreement requires and you did not do, at the quoted cost.
What does not stand up: faded paint, light scuffs on the skirting, flooring worn where people walk. That is fair wear and tear. A landlord who repaints the whole unit after a normal tenancy and bills the tenant is making a deduction that, according to Speedhome, the Small Claims courts regularly overturn. Read your own agreement before you argue, though. Some require professional cleaning or an aircon service before handover. If yours does, book it, keep the receipt and send a copy with the keys.
How long the landlord has to pay it back
No Malaysian law sets a deadline. The Residential Tenancy Bill that would create one was still being finalised when The Star reported on it on 4 August 2026. Until it is law, the deadline is whatever your agreement says. The common wording is 14 or 30 days after the keys are returned, and that number binds the landlord. If the agreement is silent, the test is a reasonable time, and RinggitPlus notes that courts generally treat 30 days as reasonable.
Two things tenants assume and should not. The deposit is not your last month's rent unless the agreement says it can be used that way, and many agreements forbid it. Stop paying rent for the final two months and you have handed the landlord a breach to deduct for. The landlord also owes you no interest on the money, however long it was held, unless the agreement says so.
Move-in day decides the refund
Speedhome's platform data for the first quarter of 2026 says the most common cause of a deposit dispute that goes past negotiation, by a wide margin, is that there is no dated photo record from move-in day. Without one the landlord cannot prove the damage is yours, and you cannot prove it was there before you. One walk through the unit fixes that.
- Go through the inventory list with the landlord or agent, item by item. Write down every stain, chip and appliance that does not work before either of you signs.
- Photograph and video every room, wall, floor and appliance. Send the files to the landlord by WhatsApp or email the same day, so both sides hold a dated copy that does not depend on one phone.
- Pay the deposits by bank transfer and ask for a receipt that shows the security and utility amounts separately.
- Get the agreement stamped. An unstamped agreement cannot be used as evidence until the duty and penalty are paid. The tenancy agreement guide has the 2026 duty worked out.
Move-out is the same routine in reverse: a joint inspection with a signed list of defects, the final TNB and water bills paid with proof, and a message recording the date you handed back every key and access card. The refund period in your agreement usually runs from that handover.
If the deposit is not returned
- Ask in writing. Send a WhatsApp message quoting the refund clause and the date you returned the keys. Ask for an itemised list of deductions with a receipt or photo for each line.
- Send a formal request. Use email or registered post. State the tenancy period, the deposits paid, any deductions you accepted at the inspection, the balance owed and your bank account.
- Letter of demand. If 14 days pass with no reply, send a letter of demand giving a further 14 days. You can write it yourself. RinggitPlus puts a solicitor's letter at RM300 to RM500, and it tends to get read.
- Small Claims, up to RM5,000. The claim is filed at the Magistrates' Court on Form 198. Neither side may bring a lawyer, and the landlord has 14 days to file a defence on Form 199. The guides I checked put the filing fee at RM10 or RM20. RinggitPlus says cases are usually heard within one to three months. Bring the stamped agreement, proof of payment, both sets of photos and the message trail.
- Above RM5,000. The claim goes to the Magistrates' Court, which hears civil claims up to RM100,000. You can still represent yourself, but weigh a lawyer's fee against the sum you are chasing.
Skip the Tribunal for Consumer Claims. Its filing fee is lower, but a tenancy is an interest in land and sits outside its jurisdiction, so a deposit claim filed there is likely to be turned away.
If you are the landlord
The same rules protect you. A deduction backed by a signed inventory, dated photos and a contractor's receipt stands. A round figure "for repairs" does not. Send the itemised list inside the period your agreement gives, and return the undisputed balance without being chased. If you have a unit to let in Johor Bahru or Iskandar Puteri, start on the landlords page.
Before you transfer the money
Ask for the deposit terms in writing before the viewing. Have the refund period written into the agreement as a number of days. Ask whether professional cleaning, an aircon service or repainting is expected at move-out, and get the answer into the agreement too. Then do the photo walk on day one. If any of that meets resistance, you have learnt how the refund conversation will go later, and there are 64 other homes on the residential list.
Renting in Johor Bahru, or stuck on a deposit?
Tell me the area, budget and move-in month and I will send matching units with their deposit terms stated. If you are about to sign, send me the deposit clause and I will tell you what I would change.
WhatsApp Chris +60 10-369 8656 Submit a rental requirementQuestions people ask about rental deposits
How much is the rental deposit in Johor Bahru?
The usual terms are 2 + 1 + 0.5: two months' rent as security deposit, one month's rent in advance and half a month as utility deposit. On the median asking rent of RM2,500 among the 65 home listings on RentalJB on 6 October 2026, that is RM5,000 security, RM1,250 utility and RM2,500 advance, RM8,750 in total. Some landlords ask 2 + 1 + 1 for a fully furnished unit.
Is the rental deposit refundable in Malaysia?
The security deposit and the utility deposit are refundable after you move out, less deductions the landlord can prove, such as unpaid rent, unpaid bills or damage beyond fair wear and tear. The advance rental is your first month's rent and is not returned.
How long does a landlord have to return the deposit?
No Malaysian law sets a deadline, because no Residential Tenancy Act is in force. The period in your tenancy agreement applies, commonly 14 or 30 days after the keys are returned. If the agreement says nothing, the landlord has a reasonable time, and 30 days is generally treated as reasonable.
Can a landlord keep the deposit for repainting or cleaning?
Not for normal ageing. Faded paint, light scuffs and worn flooring are fair wear and tear and are not deductible. A landlord can charge the actual cost of cleaning or restoration only where the agreement requires the tenant to do it and the tenant did not, backed by a quote or receipt.
Can I use my deposit as the last month's rent?
Only if the tenancy agreement allows it, and many agreements forbid it. The deposit is security against damage and arrears. If you stop paying rent for the final months without that clause, the landlord can treat it as unpaid rent and deduct for it.
What can I do if my landlord does not return my deposit?
Ask in writing for an itemised list of deductions, then send a formal request and a letter of demand. If that fails, a claim of up to RM5,000 can be filed under the Small Claims procedure at the Magistrates' Court on Form 198, with no lawyers on either side. Larger claims go to the Magistrates' Court, which hears civil claims up to RM100,000.
Is there a legal limit on how much deposit a landlord can ask for?
No. Malaysian law sets no cap on a residential rental deposit. Two months' security plus half a month for utilities is market practice, so the amount is open to negotiation and a landlord can also ask for more.
More on RentalJB
Rents are asking rents from the 65 residential listings on RentalJB on 6 October 2026. Deposit practice, deductions and court steps were checked on 6 October 2026 against Speedhome (20 June 2026), RinggitPlus (28 July 2026) and UrusPro (checked against court and Attorney General's Chambers sources on 15 September 2026); the status of the Residential Tenancy Bill is from The Star, 4 August 2026. Court fees and forms can change, so confirm at the court counter before filing. This guide is general information from a licensed real estate negotiator, not legal advice. For a dispute, speak to a lawyer.