Urgent need for Residential Tenancy Act to protect homeowners, tenants

Short-term rentals need regulation too, says housing association

04 May 2024 11:02am
Photo for illustration purpose only. - FILE PIX
Photo for illustration purpose only. - FILE PIX

KUALA LUMPUR - The National Housing Rental Association today asked the government to enact the Residential Tenancy Act immediately to ensure that the rights of home owners and tenants are always protected in this country.

Its chairman Prakash P. Kalivanan said the act was necessary following various issues arising from the absence of clear rules and efficient legal channels such as tribunals to resolve disputes faced by the parties concerned.

"Among the cases that often occur is the refusal of the home owner to return the deposit, raising the rental rate during the contract period and terminating the rental period at will.

"On the other hand, the tenant fails to pay the set rental rate and renovate the house without the permission of the owner of the house. If there is a specific act, then the confusion between home owners and tenants can be resolved peacefully without incurring high costs," he told Bernama recently.

Besides, he also suggested that a special act to regulate short-term residential rentals (short-term rentals) such as homestays, also be created so that the government has clear rules on short-term rentals and has valid registration and licensing for home owners to provide services.

Prakash said there are owners of People's Housing Projects (PPR) who have been found renting out their houses to foreigners because they are willing to pay high rent.

"The house was then filled with as many people as possible, creating an unfavourable atmosphere, house damage, elevator damage and social problems around the housing area," he said.

In this regard, he also requested the government to take proactive action by making rules or regulations for houses built using government subsidies so that they are not allowed to be re-rented to any party because it violates the policy of subsidised sales which originally aimed to enable the B40 group to have house.

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Previously, the rights of tenants and residential owners were protected through the Contracts Act 1950 which was general and not comprehensive.

The Residential Tenancy Bill to protect the interests and rights of tenants and home owners is expected to be tabled in the Dewan Rakyat this year.

The Residential Tenancy Act is reported to provide more comprehensive protection to tenants and home owners and no longer need to go through long and complicated court procedures to resolve disputes between tenants and home owners. - BERNAMA