Buying And Selling Property Procedures
After considering several places and you have decided to buy a house and the price is agreed by both parties, you will need to pay some earnest deposit (min 2%) for booking purpose. My advice, don’t pay the 10% straight, just in case you changed your mind later.
After paying the earnest deposit, you will need to appoint your lawyer for the Sales & Purchase Agreement. It may take up to 2 weeks to prepare. Once the SPA is ready, you will need to make the balance 8% of the purchase price upon signing of SPA. (Assume your applied loan is 90%)
Besides, you must prepare some funds to pay the legal fees for S&P(Travelling, Stamping, Photocopying, Miscelllanous fees), which are relied on the purchase price of your property. Basically you should be able to estimate your lawyer fees based on the following:
Note: This is payable to your lawyers to get the land title transferred to your name.
What To Do After Signing The Sales And Purchase Agreement?
After that, you have 3 months to shop for housing loan. You may get extra 1 month extension if you really can’t find any housing loan.
The bank will assess your credit history, income and assets to determine what loans you qualify for. Thus, make sure that you have clean financial record in order to get faster approval.
If everything run smoothly, then you will required to sign bank offer letter which states how much of the interest rate the bank is willing to offer you, based on the purchase price and the type of property.
But, if you do not sign the offer letter, it will lapse after a few days to 2 weeks, depending on banks. And once it lapses, you would have to submit an application for loan all over again.
December 20th, 2008 at 9:09 am
Hi there I like your post
March 17th, 2009 at 4:52 pm
Hi there,
I m planning to sell my house. I had a buyer whom hv agreed with the price.
My questions is can I collect the initial 2 or 3% deposits from him? Or my solicitor will collect from him.
Rgds.
July 11th, 2009 at 11:05 am
Hi there,
i wish to buy a secound hand house, the seller ask to pay the deposit about RM3000. what should i do now, just pay need require seller to sign anything ?
July 15th, 2009 at 10:49 am
Hi,
I purchased a 2nd hand house. Already paid the 1st 10% and i am taking 80% bank loan. Need to pay the balance but not sure when i should pay and who should i pay to. Thank you for advice.
August 9th, 2009 at 10:33 am
Hai,
I already sign the (SPA)and my loan approve.When can i get the key?.
December 21st, 2009 at 2:58 am
thx for this article. nice blog and some helpful informations….well done
March 30th, 2010 at 1:11 am
I want to say – thank you for this!
June 16th, 2010 at 9:22 pm
Hi, is there any restriction on selling condo/aprtment after vacant possession for both freehold and leasehold? Do we have to wait after few years than we are allowed to sell our unit?
July 7th, 2010 at 3:33 pm
If i have lost my s&p what to do. how to get a duplicate
September 30th, 2010 at 10:10 am
I’ve paid deposit 4 months ago and till now the vendor still not willing to sign SPA. Not reachable, and vendor lawyer also playing game. Can suggest me a good lawyer to sue the a** out of the property agent, vendor lawyer and the vendor?
October 1st, 2010 at 8:05 pm
@Keith Deposit paid via broker with a Letter of Offer & Acceptance form?
You better engage a lawyer to do a Private Caveat on that property. Then, the owner might willing to “surface”….
October 1st, 2010 at 10:38 pm
1. paid via property agent, both side sign acceptance form.
2. My lawyer mentioned we cannot do a private caveat. Guess that he do not want to do it. Can you recommend me a lawyer to perform this private caveat ASAP?
October 1st, 2010 at 10:59 pm
@Keith
1. A licensed agent should act professionally else their license is at a risk of “kena gantung” - Why is the agent so daring?
We are mortgage consultant, work closely with lawyer. Can get better advice. chong@chongkonghui.com
October 1st, 2010 at 11:04 pm
To all new property buyer
Advice are free.
Services are not.
http://www.chongkonghui.com
All the best in Invest in Property.
October 2nd, 2010 at 12:16 am
Look for mortgage consultant when you buy a property for few reasons:
1) They will get you through all matters, else they don’t get paid by bank;
2) They will give advice or even service for free because they might able to cross sell you something else.
3) They have connection with bankers and lawyers and valuers
4) They knows the in and out of investing in property and financing more than you
5) They don’t cost you a sen but help you to save time, worry and money.
October 13th, 2010 at 11:32 pm
Hi,
My case terbalik. We agreed to buy a house from individual. Then we find the loan. Approved and have sign the offer letter. Now bank ask us to prepare the S&P. What document shall I need and where to do that. We need to withdraw money from KWSP for the differences. What shall we do?
November 1st, 2010 at 2:47 pm
Hi, I am selling my unit and looking for a lawyer. Can you help? I wish to know how much will the lawyer will charged if the buyer and me are using the same laywer. Is there any other fees I need to pay? What kind of documents should I prepared for the lawyer? Due to no agent and currently in overseas, the buyer refuse to pay the 2% deposit, he only pay 2k and promised after I engaged with the lawyer, he will pay the balance of deposit, is it secure for me? My unit is mor than 5 years and selling price around 240k. thanks.
November 1st, 2010 at 8:09 pm
Hi mun, contact me. We can help you.
November 1st, 2010 at 8:30 pm
Can we contact thru email? because currently I got company assignments in overseas.
November 1st, 2010 at 11:21 pm
Yes. I can’t post my email address here, I believe the administrator block it.
Email me at chong @ chongkonghui dot com
May 9th, 2011 at 3:57 pm
i am a house seller about to sign the s & p . buyer lawyer asking for the geran to be handed over on the day we sign the s & p . My house loan is fully paid up . what is the the lawyer charges ? i am using the buyer lawyer service
May 9th, 2011 at 3:58 pm
i am suppose to hand over the geran on the day i sigh the s& p . the buyer is taking loan from bank
June 5th, 2011 at 3:11 pm
I m in the process of selling my house in Jb, the buyer has obtained in principle bank loan . The question is that , the bank loan officer is asking to have a copy of theGeran of my house. Yet I have Not collected anything from the buyer. I would like advice whether should I ask for the 10 percent deposit before I handover the photo copy of the Geran for the S&P to be prepared by the buyer lawyer. I planned to engage my lawyer for this deal.
Please advise. Thanks.
September 22nd, 2011 at 6:02 pm
I was sign the letter of offer 2 months ago from agent and already paid 2% deposit. My loan is approve with 90%. When should I paid for another 8% to my vendor? The house I purchase is ready, in what condition I will get penalty? Actual my S&P and SPA is the same lowyer, is that allow? And until now is already 2 months ++ the S&P still not yet ready, what can I do?
September 25th, 2011 at 10:45 pm
my questions are
1)Can s&P expired?
2)Can seller increase the property price after the S&P expired
3)If the S&P expired during and coz of the process of getting individual title for the property delayed.If in this situation can the seller increase price of property.
January 30th, 2012 at 9:09 pm
i already pay the balance of the house,and waiting the bank lawyer to pay the seller,is all the balance have to pay only i can get the house key?