There is no tenancy act, so the agreement is the rulebook
Malaysia still has no Residential Tenancy Act in force. The proposed law has been in drafting for years and, as of 2026, has not been tabled in Parliament. So there is no government tribunal, no standard deposit cap and no fixed notice period for a rented home. What you and the other party sign is what binds you, read together with a few older laws:
- Contracts Act 1950. The agreement is an ordinary contract. Deposit deductions, late rent and early exit all come down to what it says.
- Specific Relief Act 1950, section 7(2). A landlord cannot take the unit back without a court order. Changing the locks or cutting the water is not a lawful eviction, however much rent is owed.
- Distress Act 1951. For unpaid rent, a landlord can apply to court for a warrant of distress, carried out by a court bailiff.
- Civil Law Act 1956. A tenant who stays on after the tenancy ends can be charged double rent for the overstay.
One more line worth knowing. A term of up to three years is a tenancy and needs no registration. Go past three years and it becomes a lease, which has to be registered on the land title under the National Land Code. Nearly every home I rent out in Johor is on a one or two year tenancy with an option to renew, and I would keep it that way.
What you pay before you get the keys
Johor landlords follow the "2 + 1 + 0.5" habit: two months' rent as security deposit, one month's rent in advance, half a month as utility deposit. It is a convention, not a law, which means it can be negotiated, and also that nothing stops a landlord asking for more.
On 3 October 2026 the five newest home listings on RentalJB asked between RM1,400 and RM8,500 a month, from a studio in Bandar Seri Alam to a 3+1 bedroom unit in the city centre. Here is the upfront money at four rents inside that range:
| Monthly rent | Security (2 months) | Advance (1 month) | Utility (0.5 month) | Paid upfront |
|---|---|---|---|---|
| RM1,400 | RM2,800 | RM1,400 | RM700 | RM4,900 |
| RM2,000 | RM4,000 | RM2,000 | RM1,000 | RM7,000 |
| RM2,200 | RM4,400 | RM2,200 | RM1,100 | RM7,700 |
| RM8,500 | RM17,000 | RM8,500 | RM4,250 | RM29,750 |
Stamp duty and the agreement fee come on top. Before any of that, many landlords take a booking fee, usually counted towards the first month's rent. Get a receipt that says so, and that says what happens to it if either side backs out.
Stamp duty on a tenancy agreement in 2026
Duty is worked out on the annual rent, in blocks of RM250, rounded up. The rate per block depends on how long the lease runs. The old exemption on the first RM2,400 of annual rent no longer applies, so the full year's rent is counted.
| Length of lease | Duty per RM250 of annual rent |
|---|---|
| Up to 1 year | RM1 |
| More than 1 and up to 3 years | RM3 |
| More than 3 and up to 5 years | RM5 |
| More than 5 years | RM7 |
The same four rents, worked through:
| Monthly rent | Annual rent | Blocks of RM250 | 1-year lease | 2 or 3-year lease |
|---|---|---|---|---|
| RM1,400 | RM16,800 | 68 | RM68 | RM204 |
| RM2,000 | RM24,000 | 96 | RM96 | RM288 |
| RM2,200 | RM26,400 | 106 | RM106 | RM318 |
| RM8,500 | RM102,000 | 408 | RM408 | RM1,224 |
Each duplicate copy costs another RM10. So a tenant taking a RM2,000 unit for one year hands over RM7,000 in deposits and advance rent, RM96 in duty and RM10 for the second copy: RM7,106 before the agreement fee.
Notice what a two-year term does. The duty triples, from RM96 to RM288 on that same unit. That is still cheap for a rent that cannot go up for 24 months, and it is why I rarely talk a tenant out of a two-year lease on cost grounds.
By convention the tenant pays the duty and the agreement fee. Neither is fixed that way by law, and the fee itself has no legal scale, so ask for the ringgit figure before anyone starts drafting.
The clauses I read twice
Term and renewal
The start date, the end date and whether you have an option to renew. An option that says "at a rent to be agreed" protects nobody. Ask for the renewal rent, or a cap on the increase, to be written in. With the RTS Link to Singapore due to open around the start of 2027, a tenant near the JB city centre who signs for one year without that line is handing the landlord a free repricing.
Deposits and how they come back
The agreement should say what can be deducted (unpaid bills, damage beyond fair wear and tear) and how many days after handover the balance is returned. The security deposit is not the last two months' rent. Most agreements say so in plain words, and tenants who stop paying near the end are the ones who lose the argument.
Who repairs what
The usual split is that the landlord looks after the structure, wiring and plumbing, and the tenant handles small repairs and anything they break. "Small" needs a number. Put a ringgit threshold in the agreement, and name who services the air conditioners and how often.
Bills and building charges
Tenants normally pay electricity, water, sewerage and internet. Maintenance fee, sinking fund, quit rent and assessment stay with the owner. If your agreement says otherwise, the rent should be lower to match.
Early exit
Without an early termination clause, leaving before the end normally costs you the security deposit, and the landlord can claim the remaining months. If you work in Singapore or on a contract, ask for a diplomatic clause: after a fixed minimum stay, commonly 12 months on a two-year term, you can leave with two months' written notice if you are posted away.
The inventory
For a furnished unit, a signed list of every item with photos taken on handover day is worth more than any clause above. It is how you get RM4,000 back instead of arguing about a sofa.
For landlords: what the agreement does for you
A stamped agreement is the document a court asks for when you claim arrears or possession. It is also where you ban subletting and short-stay use, set the late payment interest and get the right to show the unit in the last two months. Copy the tenant's IC or passport and, for a foreign tenant, the work pass or visa, and attach them. The costs above are small against a single month of lost rent. If you have a unit to let, list it with RentalJB and I will take you through the paperwork.
What I would do
If you are the tenant: read the renewal, deposit and exit clauses before you pay the booking fee, not after. Ask for two years if you like the unit. Photograph everything on day one. If you are the landlord: stamp within the 30 days, every time. It costs RM96 on a RM2,000 unit and it is the only version of the agreement a court will read.
Send me the rent, the term and the clause that worries you. I will tell you whether it is normal for Johor.
Looking for a place, or about to sign?
Tell me the area, budget and move-in month, or send the draft agreement you were given. I work on rentals across Johor Bahru and Iskandar Puteri every week.
WhatsApp Chris +60 10-369 8656 Submit a rental requirementQuestions people ask about tenancy agreements
Is a written tenancy agreement required in Malaysia?
No statute forces you to sign one for a short tenancy, and Malaysia has no Residential Tenancy Act in force as of 2026. That is exactly why you want it in writing. The agreement is the only place your rent, deposits, repairs and exit terms are recorded, and a stamped copy is what a court will look at if things go wrong.
How much is stamp duty on a tenancy agreement in 2026?
Duty is charged per RM250 of annual rent, rounded up: RM1 for a lease of up to one year, RM3 for more than one and up to three years, RM5 for more than three and up to five years, and RM7 beyond five years. The old RM2,400 exemption no longer applies. At RM2,000 a month that is RM96 for one year and RM288 for two or three years, plus RM10 for each duplicate copy.
Who pays the stamp duty and agreement fee, tenant or landlord?
By convention the tenant pays both, and most Johor agreements are written that way. It is a habit, not a legal rule, so it can be split or moved to the landlord if you agree it before signing. The agreement fee is not fixed by law either, so ask for the figure in ringgit before anything is drafted.
How much deposit do landlords in Johor Bahru ask for?
The usual pattern is 2 + 1 + 0.5: two months' rent as security deposit, one month's rent in advance and half a month as utility deposit. That is 3.5 months of rent before you get the keys, for example RM7,000 on a RM2,000 unit. Both deposits are refundable at the end, less unpaid bills and damage beyond normal wear.
Can a landlord lock me out or cut the water if I am late with rent?
No. Section 7(2) of the Specific Relief Act 1950 stops a landlord from taking back possession without a court order, so changing the locks or cutting utilities is not a lawful way to evict. The landlord's legal routes are a court claim for possession and, for arrears, a warrant of distress under the Distress Act 1951.
What happens if the tenancy agreement is stamped late?
It should be stamped within 30 days of signing. If it is late by up to three months the penalty is RM50 or 10% of the unpaid duty, whichever is higher. After three months it is RM100 or 20%. Until duty and penalty are paid, the agreement cannot be used as evidence in court.
Can I end a tenancy early in Malaysia?
Only if the agreement gives you a way out. Without an early termination or diplomatic clause, a tenant who leaves early normally loses the security deposit and can be asked for the rent on the remaining months. If your job could move you, get the clause written in before you sign, with the notice period stated in months.
Rentals on RentalJB
Stamp duty rates, the 30-day deadline and penalties are as published for 2026 and were checked on 3 October 2026; confirm the current position on LHDN's MyTax portal before you stamp. Rents quoted are asking rents from listings on RentalJB on that date. This guide is general information from a licensed real estate negotiator, not legal or tax advice. For a dispute, speak to a lawyer.