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Room Rental Agreement

A simple agreement for renting one room, covering rent, deposit, shared areas, split bills, and house rules.

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What this document is

A room rental agreement covers renting a single room rather than a whole property — a spare room in the owner's house, a room in a shared apartment, or a bedroom in a boarding-style setup. It sets the rent for the room, the deposit, which shared areas the tenant may use, and the ground rules for living alongside other people.

Because room rentals are often casual — a monthly arrangement agreed over chat and paid in cash — money problems are common: unclear utility splits, deposits returned late, disagreements about notice. Writing down the rent, the deposit, and how shared bills are divided turns a loose arrangement into something both sides can point to, and gives the tenant paper evidence for every payment made.

When to use it

  • You are renting out a spare bedroom in your own home and want simple, clear rules.
  • You are moving into a room in a shared house and paying a deposit to the owner.
  • A shared apartment is adding a new person and the owner wants each room on its own agreement.
  • You rent out rooms in a small boarding house month to month and need consistent terms for every tenant.
  • Friends are sharing a place and the leaseholder sublets a room with the landlord's permission.

When not to use it

  • Renting a whole apartment, condo, or house — use a residential lease agreement instead.
  • Licensed dormitories, hostels, or serviced accommodation, which may fall under specific local regulations.
  • Subletting a room when the head lease forbids it — that needs the landlord's written consent first, not just a form.

Information you will need

  • Full names and ID details of the owner (or head tenant) and the room tenant
  • Address of the property and which room is being rented
  • Which shared areas the tenant may use: kitchen, bathroom, laundry, parking
  • Monthly rent, due date, and payment method
  • Deposit amount and when it will be returned
  • How utilities are split — fixed monthly amount, equal shares, or metered
  • Notice period to end the arrangement, often shorter than a full lease
  • House rules on guests, quiet hours, smoking, and cleaning duties

Clauses included

Parties

Names the owner or head tenant and the person renting the room.

Room and shared areas

Identifies the specific room and lists the shared spaces included.

Rent and utilities

Sets the room rent, the due date, and exactly how shared bills are divided.

Deposit

Records the deposit held for the room and the conditions for returning it.

Term and notice

States whether the arrangement is fixed-term or month to month, and the notice required.

House rules

Covers guests, noise, smoking, shared cleaning, and use of common areas.

Entry and privacy

Explains when the owner may enter the room and how much notice they give.

What the guided builder asks

  1. 1
    PartiesWho is providing the money?
  2. 2
    AmountHow much is being provided?
  3. 3
    RepaymentWill it be repaid once or in installments?
  4. 4
    InterestWill interest apply?
  5. 5
    Late paymentWhat happens if a payment is late?
  6. 6
    Additional termsAdditional terms (optional)
  7. 7
    ReviewClauses included
  8. 8
    ExportExport PDF · Export DOCX
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How to sign it

Both people should sign two copies so each keeps one — even for a month-to-month room, a one-page signed agreement beats a chat thread. If other housemates are affected by the rules, it helps to share the house rules section with them too.

Keep the signed agreement together with the deposit receipt and a few photos of the room's condition on day one. For cash rent, issue a simple receipt each month; small amounts are exactly the ones people forget and argue about.

Common mistakes

  • Not defining how utilities are split, which causes more room-share arguments than the rent itself.
  • Taking a cash deposit without a receipt, leaving the tenant nothing to show when moving out.
  • Skipping photos of the room at move-in, so any damage becomes a memory contest.
  • Leaving guests and overnight visitors unaddressed until they become a conflict.
  • Assuming a month-to-month arrangement can end instantly — agree a notice period, even a short one.

Frequently asked questions

How is a room rental agreement different from a lease?

A lease covers a whole property; a room rental covers one room plus shared access to common areas. Room agreements also carry living rules — guests, noise, cleaning — that matter more when people share space. The money principles are the same: written rent, written deposit, receipts for both.

Can the owner enter my room whenever they want?

The agreement should say when entry is allowed — typically for repairs or emergencies, ideally with advance notice. Living in someone's house does not mean giving up all privacy, and writing the rule down protects both sides. Local law on this varies, so a reasonable written rule is your best anchor.

What deposit is normal for a room?

Commonly one month's rent, sometimes two. For example, a room at Rp 1,500,000 per month in Jakarta might carry a Rp 1,500,000 deposit. Whatever the figure, record it in the agreement and confirm it with a deposit receipt.

How do we handle shared electricity and water bills fairly?

Pick one method and write it down: a fixed monthly add-on, an equal split among tenants, or a sub-meter for the room if one exists. Fixed amounts are simplest; metering is fairest for rooms that run air conditioning heavily. Changing the method later is fine if both sides agree in writing.

Do I need this if I am renting to a friend?

Especially then. Most room rental disputes are between people who knew each other well and assumed goodwill would cover the details. A short signed agreement keeps the friendship separate from the money.