With Zero Deposit, if the rental is damaged, who pays in Malaysia?
The tenant still pays for damage they caused — Zero Deposit only changes the upfront cash, not who is on the hook at move-out. SPEEDHOME's protection-claims process reviews the evidence and funds the landlord up to the protection limit, and the tenant reimburses SPEEDHOME for tenant-caused loss under the tenancy agreement.
The phrase "zero deposit, rumah rosak, siapa tanggung" is the most-typed variation of this question in Malaysia, and the honest answer is: Zero Deposit is a managed rental-risk system that replaces the upfront cash deposit, not the tenant's basic responsibility. You still owe the rent, you still owe the utility bills, and you still owe the cost of damage you cause beyond fair wear and tear. The SPEEDHOME-only angle is the claim and recovery workflow — the unit still qualifies, the tenancy agreement still governs, the protection pays the landlord faster, and the tenant is invoiced for their share of proven loss. SPEEDHOME Editorial · Updated June 2026 · Reads of the SPEEDHOME Zero Deposit product terms and Malaysian tenancy practice.
What Zero Deposit actually replaces — and what it does not
Zero Deposit replaces the cash security + utility deposit that the tenant would otherwise hand to the landlord. It does not replace the tenancy agreement, the rent obligation, or the tenant's liability for damage they cause.
The cleanest way to read it: at move-in, the cash stack drops from the traditional 2 + 1 + ½ lines to roughly one month's advance rent. From that point on, the tenancy runs exactly like a normal one — rent is due on the agreed date, utility bills are the tenant's responsibility, and the inventory condition at move-in sets the baseline for move-out. The replacement is a managed process, not a financial guarantee product.
| Move-in cash line | Traditional tenancy | SPEEDHOME Zero Deposit (where the unit and tenant qualify) |
|---|---|---|
| Security deposit (typically 2 months' rent) | Cash held by landlord | Replaced by SPEEDHOME's managed rental-risk system |
| Utility deposit (typically ½ month's rent) | Cash held by landlord | Replaced by SPEEDHOME's managed rental-risk system |
| Advance rental (1 month) | First month's rent | First month's rent — same as a traditional tenancy |
| Total cash at key handover | ~3.5 months of rent | ~1 month of rent |
The two honest limits: not every listing qualifies, and for severe end-of-tenancy damage beyond fair wear and tear, the standard protection claims process applies. You can browse rentals and look for the Zero Deposit badge on each live listing to see which units currently qualify.
Who is responsible for damage during the tenancy
The tenant is responsible for damage they cause, fair wear and tear is neither party's bill, and the landlord carries structural and pre-existing defects. The tenancy agreement is the source document that decides which line each item falls into.
Most move-out arguments in Malaysia come from the same three categories of damage, and most of them resolve once both sides look at the move-in record. The legal floor for the landlord's right to retain or recover is general contract law: retention or recovery is limited to proven loss, not the landlord's gut feel about what the unit "should" look like.
| Damage category | Who pays | Evidence that settles it |
|---|---|---|
| Tenant-caused damage (broken fittings, holes, stains, missing fixtures) | Tenant | Move-in vs move-out photos or video, repair quote or invoice, dated correspondence |
| Accidental damage by a guest or contractor the tenant brought in | Tenant | Same evidence plus the tenancy agreement's guest / contractor clause |
| Fair wear and tear (faded paint, worn carpet under heavy-traffic paths, ageing seals, minor scuffs) | Neither — landlord carries it as the cost of letting the unit | Photos showing the same condition existed at move-in or that the wear is consistent with normal use |
| Pre-existing defects (leaking roof, ageing wiring, faulty water heater at move-in) | Landlord | Move-in inventory signed by both parties, dated photos |
| Structural / latent defects (foundation, plumbing behind walls) | Landlord, except where the tenant's act caused it | Inspection report, contractor's diagnosis, age of the component |
| Damage from a natural event (flood, fire from lightning, structural storm damage) | Insurance (if any) and the landlord's structural risk, not the tenant | Incident report, weather data, insurance claim reference |
The single biggest dispute-killer is the move-in video. Send it to the landlord on the day keys change hands; store it where neither side can edit it after the fact. The second-biggest is a move-in inventory signed by both parties with dated photos of every wall, floor, fixture, and appliance. The third is to keep repair quotes or invoices for any incident during the tenancy — even small ones.
What "fair wear and tear" actually means in Malaysian tenancy practice
Fair wear and tear is the natural ageing of a unit from normal, careful use — and it is not the tenant's bill. It sits with the landlord as the ordinary cost of letting a property over time.
Examples that usually count as fair wear and tear: a small number of picture-hook holes filled at handover, paint that has faded under window UV over a 12-month tenancy, a fridge gasket that has stiffened with age, carpet that has flattened in the main walkway, or a sliding-door roller that has worn after thousands of cycles. Examples that do not count: a cracked tile from a dropped object, a burn mark on the countertop, a wall painted a non-neutral colour without written consent, a missing curtain rod, a stained mattress, or a pet-damaged door.
A useful rule of thumb: if the same condition would have happened even with the most careful tenant, it is fair wear and tear. If a reasonable tenant could have prevented it, it is on the tenant. When in doubt, photos and a short written record decide it.
How the SPEEDHOME protection-claims process actually works
When a tenancy ends and the landlord flags damage, SPEEDHOME runs a documented protection-claims process: evidence review, tenant response, scope-and-cost check, then a payout to the landlord up to the protection limit, with the tenant invoiced for their share of the assessed loss.
The mechanism matters because it is the SPEEDHOME-only answer to the "kalau rosak rumah siapa tanggung" question. The protection is not an open cheque — it is a managed process with a documented evidence standard.
| Step | What happens | What the tenant does |
|---|---|---|
| 1. Move-out inspection | SPEEDHOME / landlord and tenant walk the unit, photos and notes captured | Be present, point out anything already in the move-in record, take your own copy of every photo |
| 2. Claim filed | Landlord submits the damage list with evidence and repair quotes | You receive the list and have a stated window to respond in writing |
| 3. Evidence review | SPEEDHOME checks the claim against the move-in record, the tenancy agreement, and the repair scope | Respond with your own evidence — photos, receipts, contractor notes — within the stated window |
| 4. Protection decision | SPEEDHOME funds the landlord up to the protection limit for tenant-caused loss | You receive the decision and the supporting evidence |
| 5. Tenant invoicing | SPEEDHOME invoices the tenant for the assessed tenant-caused share | Pay the invoiced amount; raise a dispute with new evidence if you believe the assessment is wrong |
The honest line at the bottom: this is faster than a cash deposit because the landlord does not need to chase the tenant for the first cheque — and the tenant's liability is still documented and recoverable. The protection pays the landlord, the tenant reimburses SPEEDHOME. That is the entire flow.
What the tenancy agreement controls vs what Zero Deposit does
The tenancy agreement is the source of truth for what counts as damage, what counts as fair wear and tear, who is on the hook, and the notice and evidence rules. Zero Deposit changes the cash mechanics at move-in, not those contract terms.
| Decision | Decided by | What to check |
|---|---|---|
| Amount and structure of the cash deposit (2+1+½, 1+1+½, custom) | Tenancy agreement | Compare the stack to the security deposit Malaysia guide |
| What counts as damage vs fair wear and tear | Tenancy agreement + move-in record | Look for the inventory / condition schedule, the defects list, and the photographic appendix |
| Notice periods for repairs, inspections, claims | Tenancy agreement | Read the maintenance, inspection, and move-out clauses carefully |
| Who pays for the aircond, water heater, kitchen hob repairs | Tenancy agreement | Look for the "fittings and appliances" clause and the who pays for repairs guide |
| Deductions from the deposit at move-out | Tenancy agreement + evidence | Compare with the deposit deduction guide |
| Whether Zero Deposit applies to this unit | SPEEDHOME listing (opt-in) | Look for the Zero Deposit badge on live listings |
The clean takeaway: the tenancy agreement still binds both parties. Zero Deposit only changes the cash at the front door — it does not rewrite what "damage" means at the back door.
What the tenant can do to avoid a damage dispute
Document the unit at move-in, respond to repair notices quickly, keep invoices for every fix, and never paint or alter the unit without written landlord consent. These four habits eliminate the majority of move-out disputes.
A short tenant playbook that works in Malaysian tenancy practice:
- Shoot a 5-minute move-in video — pan every wall, every floor, every fixture, every appliance, every window. Email it to the landlord the same day.
- Sign the inventory — even if the landlord's list is sparse, add your own line items in writing before signing. Both sides' signed record beats one side's memory.
- Report problems early — a small leak reported in week 2 is the landlord's bill; the same leak reported at move-out becomes a deduction fight.
- Keep receipts and before-photos — for any repair, replacement, or cleaning you paid for during the tenancy. They are your evidence at move-out.
- Get written consent for any change — painting a wall, drilling for shelves, swapping a fixture. Verbal "okay lah" turns into a deduction row at move-out.
- Do a walk-through at move-out — be present, take your own photos, and agree the condition list on the spot. Disputes that are agreed at the door rarely reach the claims stage.
For the broader tenant discipline during a tenancy, the rental deposit Malaysia pillar has the full context.
How a tenant dispute over a damage assessment is resolved
Start with a written response to SPEEDHOME's claim decision within the stated window, including any new evidence. Escalate only after that — and treat the civil courts as the backstop, not the first move. The escalation ladder, in the right order:
- Submit a written dispute to SPEEDHOME with photos, receipts, contractor notes, and the relevant tenancy agreement clauses.
- Request a reassessment if new evidence is available (a counter-quote from another contractor, a manufacturer's note on expected lifespan of a component).
- Send a final written demand with a clear deadline — 14 to 30 days is the common market norm.
- Pick the right forum — most tenant-vs-SPEEDHOME or tenant-vs-landlord damage disputes over a single unit fall under the Magistrates' Court small-claims procedure for claims up to RM5,000. Larger combined claims go to the Magistrates' or Sessions Court.
- Talk to a lawyer or court clerk before filing — procedure and filing fees are updated periodically.
The reason to exhaust the SPEEDHOME process first is simple: the documented evidence trail that supports the SPEEDHOME decision is the same trail that decides any later forum. A tenant who skips straight to court without responding to the SPEEDHOME claim will find their own file is thinner than the SPEEDHOME file.
FAQ
With Zero Deposit, does the tenant pay nothing if the unit is damaged?
No. The tenant still pays for damage they cause beyond fair wear and tear. Zero Deposit replaces the upfront cash deposit; it does not remove the tenant's liability at move-out. The SPEEDHOME protection-claims process reviews the evidence and funds the landlord up to the protection limit, then invoices the tenant for their share of the assessed loss.
Who decides if damage is fair wear and tear or tenant-caused?
The tenancy agreement and the move-in record decide it. The SPEEDHOME protection-claims review applies the agreement to the evidence — move-in photos, repair quotes, dated correspondence — and issues a decision. If the tenant disagrees, the documented escalation path runs through a written dispute, a reassessment with new evidence, and ultimately the civil courts.
Can a landlord keep all of a traditional cash deposit for one damaged item?
Only if the cost of the damage, supported by an invoice or quote, is at least equal to the deposit and the tenancy agreement allows it. The landlord's right to retain is limited to proven loss under general contract law. A landlord who tries to keep the whole deposit for one scratched wall will lose in any forum that looks at documents rather than feelings.
Does Zero Deposit cover accidental damage by a guest?
Tenant-caused loss — including damage caused by a guest or contractor the tenant brought into the unit — sits within the tenant's responsibility under the tenancy agreement. The protection-claims process applies the agreement to the evidence the same way as for any other damage event.
What if the damage happened before the tenant moved in?
That is a pre-existing defect, not tenant-caused damage, and it is the landlord's responsibility. The strongest evidence is a signed move-in inventory with dated photos. Tenants who find a defect after moving in should report it in writing to the landlord and SPEEDHOME immediately and keep a copy of the report.
Where can the tenant read the protection-claims process in full?
The full SPEEDHOME protection-claims process is set out in the SPEEDHOME Zero Deposit product terms. Tenants should read those terms carefully before signing, and raise any question with SPEEDHOME before move-in. The terms are not a financial guarantee product — they are a managed rental-risk system that documents how claims are reviewed and how the tenant's share is invoiced.