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LAW & REALTY: Tenancy Agreement

I found an interesting article from Malaysian Bar website.
So, i think some of you might be interested to read it.

LAW & REALTY: Tenancy Agreement

Contributed by Nicole Tan Lee Koon
The Sun, Friday, 03 August 2007 08:31am


A TENANCY agreement is defined as a contract signed by landlord and tenant which states all the terms and conditions of rent of a property. Tenancy is similar to a lease except that it is created for a term not exceeding three years. Unlike a lease, it cannot be registered.

Deposits

Tenants usually pay a security deposit of two months’ gross rental and another month’s rent as utility (water and electricity) deposit. Rent is usually paid one month in advance. Therefore, if the rental is RM500, the amount payable upon execution of the tenancy agreement is RM2,000.

The rights of landlords and tenants

The landlord and tenant are bound by the terms of the tenancy agreement. Their rights are provided for in the said agreement. The principle of freedom to contract ensures a win-win situation for both parties provided that there is a consensus ad idem (“meeting of minds”). Therefore, it is not true that there is only one standard tenancy agreement. An astute person would ensure that the terms are not one sided. The practice in Malaysia is that the legal fees for the tenancy agreement are borne by the tenant. However, there is no hard and fast rule. The fees can be borne by a landlord providing that the lawyer is acting for the landlord and the tenant is unrepresented.

Tenancy agreements usually last a year to three years. Renewal with a possible rent adjustment must be mutually agreed upon. The usual practice is that the tenant is given the first option to renew the tenancy of which the tenant must give notice of such intention three months before the expiry of the tenancy.

Usually, the tenant is prohibited from sub-letting the demised premises to another party. However, the tenant may be able to do so with the landlord’s consent.

Another pertinent point to look for by the landlord is the provision for a deposit for the breaking of wall(s) in the event the tenant is renting two or more contiguous units. A related issue is that the tenant must not make any alterations to the exterior or interior of the demised premises without the previous consent in writing of the landlord.

The tenant is supposed to yield up the demised premises with all fixtures and fittings belonging to the landlord upon the determination of the tenancy in good and tenantable repair and condition, fair wear and tear excepted. The tenant shall make good at their own expense any damage caused to the demised premises or fixtures and fittings therein as a result of the tenant’s act or neglect.

The landlord is supposed to pay all quit rent and assessment imposed or charged upon the owner of the demised premises; and to maintain upkeep and repair whenever necessary the roof, main structure, external walls, main drains and pipes of the demised premises.

Notice of termination

A notice of termination or notice to vacate must be given to the tenant within the period stated in the tenancy agreement before its expiration. The landlord has the right to vacant possession of the premises from the tenant without payment of any compensation.

Recovery of possession

Even though there is a term of the tenancy agreement which allows the landlord to evict the tenant and/or to recover possession of the demised premises upon the nonpayment of rent, the Malaysian legal system is pro-tenant. The landlord is prohibited from evicting the tenant and/or to recover possession of the demised premises without a court order. However, even if the landlord manages to eventually evict the non-paying tenant, the landlord finds it difficult to recover unpaid rents.

Sometimes, unscrupulous tenants would suddenly leave the demised premises without informing the landlord. When the landlord breaks the lock to take possession of the demised premises, the landlord is then slapped with a civil suit claiming for an astronomical amount for the landlord’s purported “self-help”.

The current practice now is for the landlord to lodge a police report and break the lock in the presence of a police officer in order to avoid further complications. A prudent landlord would even take photos of the interior of the demised premises to ensure that the tenant would not later claim loss of properties.

The writer is a member of the Conveyancing Practice Committee, Bar Council, Malaysia www.malaysianbar.org.my.

Note: This column is brought to you by the Malaysian Bar Council for your information only. It does not constitute legal advice. You should, therefore, seek professional legal advice for your specific needs. Neither the Malaysian Bar nor the Sun Media Corp Sdn Bhd shall be liable to any reader who suffers losses as a result of relying on this column.

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Sime Darby Parade of Homes



Last last Saturday i read an advertisement at The Star newspaper.
It is regarding Sime Darby Parade of Homes programme.
They offered promotional package for home ownership of houses of them.
Low down payment, Free Stamp Duty, free legal fee, Zero Interest during construction, early bird rebate, low interest rate with arranged financier and many more.
They are many development projects offered under this package.

Ara Damansara
Bandar Bukit Raja
Bukit Jelutong
Denai Alam
melawati
Nilai Impian
Planters' Haven
Putra Heights
Subang Jaya Tropika Paradise
USJ Heights

Of course if u ask me which i love the most, i will answer Putra Heights!
I just love the location.
Unfortunately, looking at my financial ability, hm.. :(
so, i just surveying Tropika Paradise.. since the price tag seems reasonable.
did some google.. i notice this is a ready to move-in units
i wondered how can it is listed under this scheme.



so i called the agent from the hp no advertised.
en azhar on the phone.
He told me that this condo is already completed 8 years ago.
The developer sold 50% of the units and keep the remaining 50% for SJMC nursing staffs.
Then Sime Darby took over. They dont want any staff quarters here.
reputation is concerned, might be..
He told me that the are two types: low rise and high rise.

For low rise units, the price is rm 221k. 1170 sft.
booking fee is rm1k.
however, only units on 4th floor available. the others are grabbed.

For the high rise, the lowest price is rm257,000. 1360sft.
booking fee is rm1.5k.
Early bird discount is applicable for 7th floor unit upwards.

there is 10% discount. meaning that they will arrange a 90% loan for you.
beforehand u pay 1k or 1.5k booking.. and that's all.
after the purchasing transaction settled, they will redeem the booking fee since you loan already cover everything.
They arranged with maybank, HSBC and CIMB to offer BLR - 2.3% for the home loan.
considering the current BLR is 5.5%, meaning that only 3.2%.

maitenance fee is 20 cents psft for the low rise
and 23 cents for the high rise.
and there is 1 year maintenance fee waived too.

En azhar roughly estimated that for a 30 year loan tenure, the monthly installment will be around rm1130.
The projected rental income there is rm1300.
however, after do some calculation, my monthly commitment will be around rm1442 for a high rise condo. If the rental rate is rm1300, definitely a negative cashflow.

If u want to buy for own stay, it is OK.
But since it is for investment purpose, i closed the case.
:)
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urgent task - tenancy agreement

urgent task for this morning.
apart from my daily official work, i need to prepare 2 sets of tenancy agreements.
the first one is a blank agreement
need to be used by my ex-officemate, riduan for his house.
the other one is the sample completed agreement.
because riduan afraid he do not know what to fill in and where to fill in.
it is his first experience as a landlord.

oh yes, remember my entry about house for rent at anggerik perdana.
this is the house concerned.
alhamdulillah a reader of my blog interested with the house
and contacted riduan.
at least my blog contributes something to my friends.
that is making me so proud.

so, as a good friend (ehem ehem), i want to prepare the agreement by this morning.
at noon, need to email to riduan.
he wanted to meet the tenant this evening for the agreement signing and deposit payment ceremony.. chewah..
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jawatankuasa penduduk sementara

pukul 9.30 pagi tadi ada perjumpaan penduduk2 pangsapuri teratai.
kami bermesyuarat utk membentuk satu jawatankuasa penduduk sementara.
then prepare kertas cadangan kepada developer so that kami boleh amik kunci surau.
Tanpa jawatankuasa tu, developer takkan bg kunci surau kat kami.
begitu rupanya...

sejak bulan okt 2008 pangsapuri ni start hand over kunci, surau belum dibuka pun lagi.
sedih kan..
pangsapuri teratai kat sebelah tu, dah siap buat majlis ceramah maulidur rasul lagi..
ada makan2.
surau kami, kunci pun takde.
so, ini adalah usaha pertama kami.
perjumpaan ini diketuai oleh pakcik shahidan, ayah ex-officemate saya.
nak kena lantik pengerusi, naib pengerusi, bendahari, AJK tu sumer.
dan dapatkan senarai kehadiran.
saya dilantik jd pemeriksa kira2.. hahaha
mentang2 saya suka kira duit.. dan berkira2 bila nak keluar duit.
hehe
seb baik jugak sementara jer..

nnt setiausaha akan prepare proposal.
dapat je kunci surau tu nnt, pakcik shahidan kata kita semua akan kumpul balik.
buat mesyuarat betul2..
dan lantik jawatankuasa tetap.
hm.. saya dah berkira2.. kami kena beli langsir utk surau ni.
tp langsir rumah saya pun tak settle lagi..
seb baik rumah saya mengadap kawasan semak.. sblh kiri kebun pisang. sebelah kanan loji kumbahan.
hahaha

nota:mlm ni saya nak gi tengok teater sirah junjungan. thn lepas dah tgk, thn ni nak tengok lagi. tp saya tak ada digital camera. tak boleh la tangkap gmbr dgn vanidah imran lagi..
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shopping experience at ikea

i think most of us know that this week is the last week for ikea sale.
lots of items offered an unavailable price.
lots and lots people are coming in
and coming out with items purchased.. full in few plastic bags.. and boxes too
and ikea bosses are smiling..
thousands and thousands money pumping in..
(that's why ikea's owner is the 5th richest man in the world!)

among the customers
are my friend, kak jue and I
last Sunday we went there.. ikea sale! come on.. lets do something on it.

we parked in at 11.30 am.
we drove out at 3.45 pm.. wah..
i bought:
- 3 curtain rod sets priced at rm29.90
- 1 ready made curtain in purple also for rm29.90
- 3 set of 'Lots' square mirror at rm17.90. regular price is rm25.
- 1 red dustbin for my working room for rm9.90
- 1 beautiful rug for my kitchen for rm9.90
- 1 small alarm clock for rm1.90
- 1 box of alkaline AA battery for rm5.90
and few small small items
total is around rm282. All for my beloved my very own house at anggerik perdana where i am stying now.

and kak jue, she bought 1 set of dining table and dining chairs for 4 person, solid wood priced at only rm199.
what a good price!
and it was the most popular sold items on the day.
she also bought
- curtain rods
- 1 rugs
- 1 big size transparent vase for the living room for rm39
- and other items, also for her beloved house. Total spending valued more than rm400

fuh.. it was a very tiring yet exciting shopping experience.
but for sale items we grab, there was surely no regrets!

note: sha said she eagers to come to my housewarming.. to witness a house of ikea lovers.. hehe
on my side, wait until the curtain rods got beautiful curtains on it.
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wahai perempuan.. mari lah membeli rumah

saya nak tujukan entri ni utk semua perempuan.. especially yang belum berkahwin.

lately banyak kes2 perceraian berlaku. kawin arini, dua bulan lagi dah duduk2 asing2.
ada yg tak sampai 2 minggu pun kawen.

so, saya nak bg nasihat dan pandangan.
marilah kita yang perempuan bujang ni membeli rumah sebelum berkahwin.
guna duit sendiri.
sebab, kalau kita beli selepas berkahwin, rumah tu akan jd harta sepencarian.
walaupun 100% guna duit kita.
lelaki pun mcm tu gak sbnrnya. bila beli lepas berkahwin, akan jadi harta sepencarian.

so, cuba bayangkan.
anda semua pulun simpan duit.
cukup duit, anda beli rumah. mungkin duduk dgn suami atau mungkin tidak.
suami ni, hari ni dia suami kita. esok mungkin suami orang lain jugak.
apabila perceraian berlaku, suami yg menceraikan anda dengan tidak segan silu akan ke mahkamah menuntut harta sepencarian rumah yg anda beli dgn perit jerih tu.
dia memang ada hak.
kalau rumah tu terus dipertikaikan, ada kemungkinan mahkamah terpaksa arahkan rumah tu dijual.
dan hasil jualan dibahagi mengikut pembahagian yg mahkamah dah tetapkan.
tak ke anda terkebil2?

so, nasihat saya, beli lah sebuah rumah sebelum anda berkahwin.
kecil pun takper
kos rendah pun takpe
ikut kemampuan sendiri

dan jgn wujudkan keadaan suami anda banyak menyumbang ke atas pembayaran pinjaman rumah tu
atau mengubahsuai rumah tu

supaya anda ada tempat berteduh apabila ditinggalkan.
supaya anda ada harta yang anda tahu dia tak ada hak untuk menuntut.

suami anda bukan 100% milik anda
tapi insya allah
rumah yang anda beli sebelum berkahwin adalah 100% milik anda.

(saya tidak bermaksud anda tidak boleh mempercayai suami anda.
suami anda mungkin lelaki terbaik di muka bumi ini.
cuma saya ingin mengingatkan agar
kita menyediakan payung sebelum hujan..)
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Senarai terbaru 20 terkaya di dunia

senarai ni saya ambil dari Berita Harian hari ni, yang dikeluarkan Majalah Forbes. Boleh la dijadikan motivasi.

1. Bill Gates (AS$40 bilion - Microsoft - Amerika Syarikat)

2. Warren Buffett (AS$37 bilion - Berkshire Hathaway - AS)

3. Carlos Slim dan keluarga (AS$35 bilion - Telecoms - Mexico)

4. Lawrence Ellison (AS$22.5 bilion) - Oracle - AS)

5. Ingvar Kamprad dan keluarga (AS$22 bilion - Ikea - Sweden)

6. Karl Albrecht (AS$21.5 bilion) - Aldi - Jerman)

7. Mukesh Ambani (AS$19.5 bilion) - petrokamia - India)

8. Lakshmi Mittal (AS$19.3 bilion) - besi - India

9. Theo Albrecht (AS$18.8 bilion) - Aldi - Trader Joe's - Jerman
10. Amancio Ortega (AS$18.3 bilion) - Zara - Sepanyol)

11. Jim Walton (AS$17.8 bilion) - Wal-Mart, AS)

12. Alice Walton (AS$17.6 bilion) - Wal-Mart - AS)

13. Christy Walton dan keluarga (AS$17.6 bilion) - Wal-Mart, AS)

14. S. Robson Walton (AS$17.6 bilion) - Wal-Mart AS)

15. Bernard Arnault (AS$16.5 bilion) - LVMH - Perancis.

16. Li Ka-shing (AS$16.2 bilion) - Hong Kong.

17. Michael Bloomberg (AS$16 bilion) - Bloomberg, AS)

18. Stefan Persson (AS$14.5 bilion) - Hennes and Mauritz, Sweden)

19. Charles Koch, AS$14 bilion - pembuatan, tenaga - AS)

20 David Koch (AS$14 bilion) - pembuatan, tenaga - AS) - AFP
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vista angkasa - tenancy continue

tak sempat nak cerita banyak.
cuma saya nak bgtau, untuk rumah vista ni, saya sambung je dengan penyewa lama.

Diorg ni org indon.. cuma ketuanya ada kad pengenalan penduduk tetap.
kak munirah yg rekemen suh sambung sebab dia kata tenant ni ok. bayar sewa dan jaga rumah dgn baik. (tapi sbnrnya kak munirah sdr tak pernah tgk keadaan rumah tu sejak penyewa ni sewa.. hehe)
asalnya saya letak rm1300 sebulan. tp mereka minta diskaun.. sbb dulu diorg sewa rm1100 je sebulan dengan kak munirah. below rental market price.

tp lepas bincang, oleh kerana mereka tenant pertama saya, dan saya baik ati dan mereka berjaya buat muka sedih, saya setuju turunkan ke rm1250 sebulan.
deposit dr kak munirah sebanyak 2 bulan iaitu rm1100 x 2 = rm 2200 saya amik.
balance deposit diorg kena topup bulan ni sekali dgn sewa dan duit stamping.

sebab saya kena buat agreement baru. ha, yg ni saya dah biasa, sebab walaupun ni rumah sewa pertama saya, tapi saya pernah beberapa kali uruskan rumah sewa adik saya.

agreement sewa rumah saya panjang.. 16 muka surat tak termasuk lampiran.
saya amik dr buku renesial leong. dia bg kat buku dia.
agak2 indon tu larat nak baca tak?hehe

bil2 utiliti ada nak kena kira blk dgn diorg
sbb indah water, bil air dan bil api diorg ada tunggakan.
tunggakan indah water rm816 masa k munirah beli dr owner pertama, saya dah settlekan tadi guna duit kak munirah bagi.
tinggal duit maintenance dan cukai pintu yg saya kena setllekan guna duit kak munirah tu.
skang saya tgh cari plumbing yg bagus dan tak ketuk saya.
sbb nak baiki paip bawah sink rumah tu yg rosak.

tanya kak ina opis lama, dia tak ada contact. pakcik dia yg saya harapkan rupanya tak buat paip. buat interior design je.
saya tgh cari lagi.
nak tanya wilson, mekanik motor saya pulak.
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kenanga apartment, anggerik perdana for rent


my friend, riduan wants to rent out his brand new apartment at taman anggerik perdana. It is a medium cost apartment, kenanga apartment. It has 3 bedroom and 2 bathroom, with one bathroom attached to the master bedroom. The condition is fabulous since it is a new unit, just handed over to the owner.

Where is Taman anggerik perdana? it is located at Jalan semenyih, the main road from kajang to Semenyih. Travel from Kajang, u will reach anggerik perdana first before bandar teknologi kajang, then followed by Bandar Sunway Semenyih. It is about 10 minutes to bandar Kajang, 8 minutes to semenyih town, 20 minutes to putrajaya (via kajang silk) and 35 minutes to KL ( kajang silk and PLUS Highway). It also easy accessible to Kajang Silk Highway, PLUS Highway, LDP, and the latest Lekas Highway. Using Silk Highway, u can skip all the traffic jam at Kajang town.

The apartment is near to primary school, technical secondary school and government clinic. Rental asking price is RM 400. Facing to the scenery of Bandar Teknologi Kajang, u can clearly see the primary school in front.





UPDATE: THE APARTMENT HAS BEEN RENTED OUT. THANK YOU
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vista angkasa - loan repayment due! oh no!

i have not informed my mailing address changes to alrajhi.
now i get the return.
only last week my ex-housemate passed me two letters from alrajhi. One stated that they have reimbursed rm96,630.83 to the chargee bank and rm3,502.02 for my MRTA of the vista angkasa purchasing.
They informed me that the installment from the full amount of loan will effective on 1 February 2009 even though full reimbursement is not be completed. (Some other bank will request you to pay the installment only when they have paid in full..because you only have right to collect the rent when the payment is complete. But, i don't know.. Islamic banking with their 'fair' business concept)...
They also remind me to ensure sufficient payment to my saving account for auto debit before end of month.
I swear to god that i understand the due date of the installment will be on the end of this month.
and i truly believe it and informed my lawyer, shuna.

Until tonight i got an sms from alrajhi reminding me that i have a due payment of my home loan.
erk!! what is it?
reaching home from uitm, i quickly revise those two letters from alrajhi.
owh.. the other one letter is dated on 13/1/2009 stating that my installment will start on 1 Februari 2009..
the sms is correct.. my 1st payment is due.. :(

moral of the story:
1) read letters from your banks / insurance carefully and clearly
2) change mailing address at your bank's and important billing account ASAP the changes happens to ensure important letters receive at your hand on time
3) never believe your ex-housemate will inform you ASAP if any important letters delivered to the house. They might to busy to entertain them.
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Disclaimer

This blog is for information and experience sharing. The authors are not responsible for any loss or damages caused by the manipulation and application of information obtained from the blog.

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