Eliminating Cash Rental Deposit - The New Beginning in Malaysia
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In the rental environment, a security deposit, a traditional deposit is collected to protect the unit's owner against any damage caused by a renter. In case there is any damage to the property, the unit owner has the right to deduct the cost of repairs from the deposit when the tenant moves out.
In Malaysia, it usually involves 2.5 months' worth of basic rent. The rental deposit guarantee service is entirely new to the SEA region; while Malaysia is the first country to roll out this solution, it is still pretty new for most property investors, tenants, and agents.
Why CASH Rental Deposit Replacement Is In The Market
The rental deposit guarantee is also called the zero deposit program in Malaysia or in some places like Germany. It started to roll out in Europe in 2017 or even earlier. These policies are available only at the beginning of a tenancy. Zero Deposit program comes in a package form and depends on the total rental deposit to be covered and the type of properties.
What happens after the Landlord is Onboarded With BlueDuck Zero Deposit Program?
A landlord can offer NO DEPOSIT as an alternative to speed up the rental process. With the new development happening, many tenants would often look for newer development and the landlord is struggling with the ongoing loan services and getting “THE” tenant. With Rental Deposit Guarantee, the rental process is sped up as tenants do not have to fork out the initial upfront deposit while the landlord gets the rental income to ease their cash flow.
IT IS AS EASY AS 3 SIMPLE STEPS!
Step 1: Tenant gets verified through www.blueduck.my/tenantprofilesignup
Step 2: Agents/landlords register a user account & update tenancy details.
Step 3: Zero Deposit Program activated! The Certificate is issued. All parties get to download from your BD user portal.
What’s The Catch?
Before a tenant is onboard, the tenant will need to get verified and qualified through our Tenant Profile. A tenant’s profile will be verified with a supported credit check, and ready to be qualified by the BlueDuck team to proceed with Zero Deposit up front!
Tenants also need to agree on the T&C which are:
1) Tenant purchase tenant profile www.blueduck.my/tenantprofilesignup
2) Rental payment must be via BD Pay (sign up direct debit) 1% system fees charged on tenants.
3) Tenant records will be in credit agency if there’s a payout. Delist fee is involved.
Since a tenancy deal started with no deposit being collected, BlueDuck has implemented these ways to mitigate a landlord’s tenancy-related risks. This will eliminate the not-so-committed tenants and attract a committed tenant.
So What’s Next?
For landlords interested in this solution, register an account now on the BlueDuck website while your agent shall help you post on the listing sites with “NO DEPOSIT REQUIRED” to attract tenants faster. And.. you have begun the BlueDuck journey. For more, click the link here to learn what BlueDuck has to offer, and check out our latest news on BlueDuck's FB Page today.