Lease Topic Spoke

Tenancy Agreement Clauses

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Essential clauses checklist

ClauseWhy it matters
Parties & propertyIdentifies landlord, tenant, and the exact unit (incl. blk, level, unit no.)
Term & renewalLease start/end dates; whether and how it auto-renews
Rent & paymentMonthly amount, due date, payment mode, grace period
Security depositAmount, when paid, conditions for refund, deduction list
Inventory & conditionSchedule of furniture, fittings, condition at handover (photos)
Diplomatic clauseEarly termination on job loss / transfer (expat tenants)
Minor repair clauseThreshold (e.g. $200/item) — tenant covers below, landlord above
Painting clauseRepaint at start (landlord) and end of lease (often tenant)
Use restrictionsNo subletting, no pets, residential use only, no alteration
Utilities & outgoingsWho pays SP utilities, maintenance, insurance, internet
Redelivery clauseReturn condition same as start, fair wear-and-tear excepted
Default & terminationLate rent grace, notice periods, forfeiture of deposit
JurisdictionSingapore law; Singapore courts
Stamping & signingTenant pays stamp duty within 14 days

The diplomatic clause in detail

For expat tenants, the diplomatic clause is often the single most important negotiation point. A typical clause:

  • Eligibility — tenant (or specified household member) loses employment in Singapore or is transferred out of Singapore by current employer.
  • Minimum stay — typically 12 months from lease commencement before exercise.
  • Notice — 2 months written notice to landlord.
  • Proof required — employer's letter, repatriation orders, P11D / IR21 tax clearance.
  • Effect — lease terminates at end of notice; deposit refunded less any genuine damage.

Without a diplomatic clause, an expat tenant whose EP is cancelled (e.g. redundancy) is still liable for the remaining lease term. The landlord may forfeit the deposit and sue for rent for the unexpired period — potentially many months of rent.

Tenant negotiation tips

  • Negotiate the minor repair threshold up (from $150 → $250 or $300).
  • Ensure the inventory list has photos and clear condition notes.
  • If on a 2-year lease, request a break clause at 12 months (with notice).
  • Clarify whether maintenance fee / property tax is on tenant or landlord.
  • Specify that fair wear-and-tear is excluded from redelivery obligations.
  • For expats, insist on a diplomatic clause.

Landlord considerations

  • Require evidence of tenant's income / employment before signing.
  • Use a stamped inventory list; take photos at handover and return.
  • Confirm tenant's deposit clearance via reputable agent.
  • Include a clear default clause covering late rent (e.g. 7-day grace, then forfeiture).
  • For HDB rental, ensure HDB rental approval is obtained before tenant moves in.

Related guides

Frequently asked questions

What are the essential clauses in a Singapore Tenancy Agreement?

Identification of parties; property address; lease term and renewal options; rent amount and payment terms; security deposit and conditions for refund; inventory and condition of property; permitted use; restrictions (subletting, alterations, pets); minor and major repair allocation; utilities and maintenance fees allocation; insurance; redelivery clause; default and termination; jurisdiction (Singapore law); signatures and stamps.

What is a minor repair clause and why does it matter?

A minor repair clause states that the tenant is responsible for repairs or replacements below a certain dollar threshold (commonly $150 to $300 per item per incident). Anything above that threshold becomes the landlord's responsibility. Without this clause, all repairs default to the tenant under common-law tenancy. Tenants should negotiate a higher threshold to limit their exposure.

What is a diplomatic clause and when do I need it?

A diplomatic clause allows early termination if the tenant or a key household member loses employment in Singapore or is transferred out. Typical terms: 12 months minimum stay before clause can be exercised; 2 months written notice; proof such as employer's letter or repatriation orders. Strongly recommended for expat tenants on EP/SP/Dependant's Pass. Local tenants don't usually need it.

How much security deposit is normal?

Convention: 1 month of rent per year of lease. So 1 month for 1-year lease, 2 months for 2-year lease. Some premium properties or fully-furnished units may require more. Deposit is refunded at lease end less deductions for damage (beyond fair wear-and-tear), cleaning if not returned in clean condition, and any outstanding utility bills.

What is a redelivery clause?

A redelivery (or 'reinstatement') clause requires the tenant to return the property in the same condition as at the start of the lease, fair wear-and-tear excepted, on or before the lease end date. Any tenant alterations must be removed and the property restored. The clause typically references the inventory and condition list signed at the start of lease.