As a tenant, there may be various reasons why you may need to terminate your tenancy agreement before the expiry date in Malaysia. However, it is important to note that breaking a lease agreement is a serious matter and should not be taken lightly. Before you decide to terminate your tenancy agreement prematurely, it is essential to understand the legal and financial implications as well as the proper procedure to follow.
Here are some of the things you need to know:
1. Check your agreement terms
Before you proceed with breaking your lease agreement, it is vital to review the terms of your tenancy agreement. Most lease agreements typically have a specific clause for early termination, including the required notice period and penalties should you breach the terms.
2. Provide written notice
The next step is to provide written notice to your landlord or property management company of your intention to terminate the tenancy agreement early. Your notice should include your reason for termination and the date on which you intend to vacate the property.
3. Pay the penalty fee
In most cases, terminating your tenancy agreement before the expiry date will result in a penalty fee. The amount of the penalty is usually specified in the lease agreement. It is important to note that failure to pay the penalty fee may affect your credit score and future ability to rent a property.
4. Find a replacement tenant
In Malaysia, landlords are legally required to mitigate their losses by making reasonable efforts to find a replacement tenant. As a tenant, you can help expedite the process by finding a replacement tenant yourself. However, you will need to seek approval from your landlord before assigning your tenancy to someone else.
5. Consider negotiating with your landlord
If you are experiencing financial hardship or have other legitimate reasons for terminating your lease agreement early, consider negotiating with your landlord. You may be able to reach a compromise that benefits both parties.
In conclusion, terminating a tenancy agreement before the expiry date in Malaysia is a serious matter that requires careful consideration and adherence to legal procedures. If you are considering breaking your lease agreement, be sure to review your agreement terms, provide written notice, pay any penalty fees, find a replacement tenant, and consider negotiating with your landlord. By taking the right steps, you can avoid unnecessary legal and financial complications.