When do you lose the deposit? Ending a home lease early

Legal basis: Civil Code No. 91/2015/QH13 (Article 328 on deposits, Article 418 on penalties, Article 428 on unilateral termination, Articles 472–482 on property leases); Law on Housing No. 27/2023/QH15 (Articles 170, 172, effective 1 August 2024) · Updated 20 October 2026.

Moving out early does not automatically mean you lose the deposit. The outcome depends on three things: whether you have legal grounds to end the lease, whether you gave the full 30 days' notice, and what the contract says about the deposit. Most disputes happen because the contract is unclear on the third point.

What does a rental deposit secure?

Article 328 of the Civil Code defines a deposit as money handed over for a period to secure the signing or performance of a contract. If the contract is performed, the deposit is returned or deducted from the rent. If the party paying the deposit (you) refuses to perform the contract, the deposit goes to the party receiving it (the landlord). If the landlord refuses, the landlord must return the deposit plus an equal amount. All three consequences apply unless the parties agree otherwise.

So read the wording carefully: does the deposit only secure signing the contract, or also renting for the full term? Home leases usually use the deposit in the second sense, with a clause for deducting damage and unpaid electricity and water.

Three cases in which you may end the lease early

The 2023 Law on Housing (Article 172, clause 3) lets the tenant end the lease unilaterally when:

1. The landlord does not carry out repairs when the home is seriously damaged.
2. The landlord raises the rent unreasonably, or raises it without the notice agreed.
3. The right to use the home is restricted because of a third party's interests.

In addition, the Civil Code (Article 428) lets one party end the contract without compensation when the other party seriously breaches its obligations, or when the contract already provides for cases in which it may be ended.

Even with grounds, the party ending the contract must give at least 30 days' written notice, unless the parties agree otherwise; failing to give notice and causing loss means paying compensation.

Common situations

Situation	Legal consequence (if the contract does not say otherwise)
You are relocated for work, buy a home, or want to move out early — no clause in the contract allows it	You are the party in breach; a deposit securing performance of the contract may go to the landlord; you may have to pay compensation
The contract has a clause "notice of X days, lose Y months of deposit"	Following the clause is enough; nothing more is owed apart from the stated penalty
The landlord does not repair serious damage, and you give 30 days' written notice	You end the lease with grounds and can reclaim the deposit (minus anything you still owe)
The landlord takes the home back early without grounds	The landlord is in breach; returns the deposit and possibly an equal amount, plus compensation
You rent for the full term and move out	You get the deposit back, minus damage beyond normal wear and any unpaid costs

A contract can have both a deposit and a penalty for breach (Article 418): the penalty amount is agreed by the parties. If the contract only provides for a penalty without saying "both penalty and compensation", the party in breach only pays the penalty.

Negotiating when you need to move out early

• Give notice as early as possible and in writing (also send a message or email you keep a copy of). If the landlord has time to find a new tenant, they are more likely to agree to reduce what you lose from the deposit.
• Propose a replacement tenant. You may only sublet or transfer the lease with the landlord's consent, but introducing a new tenant reduces the loss for both sides.
• Suggest a specific option: losing part of the deposit, or paying an extra month's rent instead of losing it all.
• Draw up a lease termination agreement stating the move-out date, the deposit amount refunded, the transfer deadline, deductions, and the sentence "neither party has any further claims".
• Hand the home back with a record, checked against the move-in record, with photos and final electricity and water readings.

Reference example (an assumption for illustration, not the actual terms of any unit): renting a 75 m² 2-bedroom unit at 32 million dong/month (the price of a Léman Luxury rental listing consigned to HPR, updated 20 October 2026), a 2-month deposit is 64 million dong. If you move out after 7 months of a 12-month lease and there is no early-termination clause, you risk losing the full 64 million dong. If the contract says "30 days' notice, lose 1 month of deposit", you lose 32 million dong and know it in advance.

Clauses a lease should have

• What the deposit secures, the amount, and within how many days it is refunded after you move out.
• An early-termination clause for the tenant: how much notice, how much of the deposit is lost (e.g. depending on the months already rented).
• Force majeure or legitimate reasons (relocation to another province, moving abroad) that reduce or waive the loss of the deposit.
• A penalty when the landlord ends the lease early, matching the tenant's.
• What may be deducted from the deposit: damage beyond normal wear, electricity, water, unpaid fees; checked against the handover record.
• Whether you may sublet or transfer the lease to someone else.

The full list of points to read before paying the deposit: checking an apartment lease. Homes for rent through HPR: /thue/.

This article is for reference only and does not replace legal or financial advice for your specific case.

1. Reread the contract: the deposit clause, early termination, notice period, penalty for breach.
2. Work out whether you have grounds — the landlord not repairing serious damage, an unreasonable rent rise, or a contract that already allows early termination.
3. Send the landlord written notice at least 30 days ahead (or as the contract says), stating the planned move-out date.
4. Negotiate: propose a replacement tenant, losing part of the deposit, or paying extra rent.
5. Draw up a termination agreement: move-out date, deposit amount refunded, transfer deadline, deductions.
6. Hand the home back with a record: check against the move-in inventory, take photos, record final electricity and water readings, return keys and cards.
7. Get the deposit back by bank transfer and keep all documents and messages.

Sources in Vietnamese; titles kept in the original, with a short English translation in brackets.

• National Assembly — Bộ luật Dân sự số 91/2015/QH13 (Civil Code No. 91/2015/QH13 — Articles 328, 418, 428, 472, 474, 475, 476, 482), issued 24 November 2015.
• National Assembly — Luật Nhà ở số 27/2023/QH15 (Law on Housing No. 27/2023/QH15 — Articles 170, 172), issued 27 November 2023, effective 1 August 2024.
• HPR — consignment listing for a 75 m² 2-bedroom Léman Luxury apartment for rent (code KG2610-05), updated 20 October 2026.