When renting a home, how many months of rent can a landlord charge as a deposit? When moving out, what fees can the landlord deduct? If appliances like air conditioners or water heaters break down, who is responsible for repairs? These are the most common points of conflict between landlords and tenants.

As the rental market grows, issues such as deposit refunds, home repairs, and contract terms have become frequent sources of rental disputes. To protect the rights of both landlords and tenants, the government has established clear regulations through the "Rental Housing Market Development and Management Act" and the Ministry of the Interior's "Standardized Residential Lease Agreement – Required and Prohibited Clauses," which define the rights and obligations of both parties during the lease period.

For renters searching for a home or landlords managing rental properties, understanding deposit rules, repair responsibilities, and contract terms is essential to avoid disputes arising from differing expectations after move-in.

Maximum Deposit Limited to Two Months’ Rent – No Arbitrary Deductions Upon Move-Out

A security deposit is a key mechanism for landlords to ensure rent payment and property return, but landlords cannot set the amount arbitrarily.

According to Article 7 of the "Rental Housing Market Development and Management Act," the deposit amount must not exceed "two months’ total rent." For example, if the monthly rent is NT$20,000, the landlord may collect a maximum deposit of NT$40,000.

At the end of the lease term or upon early termination, if the tenant has returned the property and settled all rent, utilities, and other fees stipulated in the contract, the landlord must return the deposit.

The landlord may only deduct related costs from the deposit if there is property damage, unpaid fees, or other legally permissible deductions, and must return any remaining balance.

However, landlords cannot arbitrarily withhold the entire deposit simply for reasons such as "reorganizing the unit" or "repainting." To justify deductions, there must be evidence of actual damage, necessity for repair, or contractual agreement.

Tenants should photograph the property’s condition before moving in and conduct a thorough handover inspection upon moving out to prevent deposit disputes.

Who Repairs a Broken Air Conditioner or Water Heater? First, Determine if It’s Normal Wear and Tear

Equipment breakdowns during the rental period are among the most common sources of responsibility disputes.

According to the Ministry of the Interior’s standardized lease agreement, landlords must provide a residence suitable for the agreed purpose and maintain the property and its fixtures in working condition throughout the lease.

Therefore, damage caused by natural aging or normal use—such as a malfunctioning air conditioner, an old water heater breaking down, or plumbing issues—should generally be repaired by the landlord.

However, if the damage results from tenant misuse—such as damaging equipment or improper operation—the tenant may be responsible for repair costs.

Additionally, if the lease legally specifies that the tenant is responsible for minor repairs, this should be followed. However, landlords cannot transfer their legally mandated major repair responsibilities entirely to tenants.

The key to determining responsibility for equipment damage lies in identifying the "cause of damage" and whether both parties have kept records before and after move-in.

What If the Landlord Won’t Repair? Tenants Should Notify and Keep Records

If a property’s equipment fails, tenants should first notify the landlord and keep records of communication—such as LINE messages, SMS, or emails—to prove that a repair request was made.

If the repair is the landlord’s responsibility and they fail to act within a reasonable time after being notified, tenants may proceed with repairs themselves under relevant regulations and request reimbursement for necessary expenses.

However, tenants should not hire a repair person unilaterally and demand full payment from the landlord without first confirming responsibility. If disputes arise over the cause of damage or repair costs, the matter must be clarified based on the contract and applicable regulations.

Lease Agreements Cannot Unfairly Waive Landlord Responsibilities – Unreasonable Clauses May Be Invalid

Some landlords include clauses like "all equipment damage is the tenant’s responsibility" to avoid future issues, but not all such clauses are legally enforceable.

According to the Ministry of the Interior’s standardized lease agreement, rental contracts must not include clauses that are grossly unfair or violate tenant protection laws.

Examples include:

- Requiring tenants to pay for repairs due to natural wear and tear - Withholding the entire deposit unconditionally upon move-out - Forcing tenants to waive their legal rental rights

Such clauses may be challenged as violating regulations.

The Ministry of the Interior recommends that landlords and tenants use the standardized residential lease agreement to clearly state terms such as rent, deposit, utilities, management fees, repair responsibilities, and early termination conditions, reducing future disputes.

Complete 3 Steps Before Moving In – Both Landlords and Tenants Can Reduce Rental Disputes

Many rental disputes stem not from ignorance of the law, but from insufficient documentation.

Tenants should photograph the property’s condition before moving in—including walls, floors, furniture, and appliances—and save photos or videos. Landlords should also conduct a move-in inspection with the tenant to confirm equipment status.

Additionally, the lease should clearly specify:

- Rent amount and payment date - Deposit amount and return method - Responsibility for utilities and management fees - Equipment maintenance responsibilities - Early termination conditions

The more detailed the contract, the easier it is to clarify responsibilities if disputes arise.

The landlord-tenant relationship is not adversarial but a contractual partnership. For landlords, understanding regulations and keeping complete rental records reduces risks. For tenants, knowing their rights helps avoid signing unfair terms.

Confirming rules before signing, documenting conditions before move-in, and following proper procedures when issues arise are the most effective ways to protect both parties’ rights.

References: Ministry of the Interior’s "Standardized Residential Lease Agreement – Required and Prohibited Clauses," Articles 7 and 8 of the "Rental Housing Market Development and Management Act"

This article compiles relevant laws and public information for renter reference. Actual lease terms, repair responsibilities, and rights may vary by case. In case of disputes, consult the contract and current laws, and seek professional assistance if necessary.

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  • Source: PR Times
  • Category: News