Even if with title you will still have to pay quit rent before you can transfer. Advisable to settle all dues first.

Yes, there is no formal SPA.


Yes, you can pay so in advance and later, instruct your lawyer to write to the bank's lawyer enclosing all the bills and receipts for payment done by you. The bank will then issue you a separate cheque to reimburse you. Make sure of the amount first before you commit to pay.

Hi Dario,

Finally i have the current market value for my dad's house :

- Current Market Value : RM900k
- Fully paid with Title in hand

Would like to do the transfer to my name from my dad, understood there are 2 methods :-


1) Appoint a lawyer - Can advise roughly what is the cost that I shd be expecting pls

2) Do it myself at Land Office, etc - can you advise what are the steps?


Thanks a lot

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This post has been edited by coconutzz: Oct 13 2011, 03:50 PM

hi dario,

i need your advice. i am buying an apartment via agent and by next week i shall be able to sign SPA

1. for the deposit, is it advisable to hand over such large amount of cash to owner, prior signing the spa? or shall i make a bank draft? how do i protect myself should anything happen?

2. by right should the owner settle all pending debts (maintenance fees, utitilies bills etc) before he sell his apartment. how can i ensure this?

please advice. thanks.

Hi,

I need help here.

I'm buying a house which retails at RM580k. But as a staff, I get 10% discount which make the house RM520k.

My loan is approved (RM500k loan) based on the house price of RM580k. But my S&P which i will sign end of december, the S&P price is RM520k.

Will there be a problem because my loan amount is more than 90% of my purchase price. I must loan 500k, i cannot loan lesser than that to prevent lock period.

Hope to hear some input on this.

The concern of the bank ought to be the valuation of the property, and not the SPA price. However, you ought to be frank and disclose the lower price which will be stated in the SPA to the bank now itself.

1. Cheque or bank draft is advisable. If you have a lawyer, he can prepare a cover letter for the vendor to acknowledge.

2. Your lawyer ought to include a clause in the SPA whereby the seller has to provide a certified true copy of the duly paid bills/receipts of the utilities as you mentioned above. Most important are quit rent and assessment.

Thanks dario for the prompt reply.

The bank knows that I'll be purchasing it at RM520k as I told them that when I apply the loan.

Now that the loan has been approve there's some documents for me to sign, I saw that under a page, it is clearly stated that the buying price of the property cannot be less than RM580 (which is the market price). My only concern is of that statement, that's why I seek some advice. I've talked to the loan officer verbally over the phone. She says should be alright. I dare not risk verbal communication because she might say something else later.

thanks dario for prompt reply.

the apartment that i will buy is rm145k, lawyer quote me rm4500 for the fee. is it expensive? as i mentioned earlier that it is via agent and i did ask the agent about to use my own lawyer but she explain to me that draft has been made and it is not adviceable to switch lawyer at this stage. but the agent did tell me that the lawyer can provide 30% discount.

hi dario,

thanks for ur explanation. this lawyer didnt give any disc. they just simply charge on me. what can i do to it?

Legal fees, as stated in the SRO (which you can download at the first page) states that the fee would be a reasonable sum, but in any case shall not be less than RM300. Some firms take the market rate and charge full scaled fees according to same.

With regard to stamp duty, you will get a 50% rebate as it is a transfer out of love and affection from father to child. For RM900K, the sum payable after less 50% would be RM10,500.00.

If you opt to go ahead, it would be more advisable to appoint a lawyer. Too much of a hassle to do it yourself, as you would not know how to prepare the MOT and the relevant documents for adjudication of stamp duty.

Ask them to revise it to RM520K. Problem solved.

Please compare your quotation with the numerous samples in this thread to get a clearer picture.

You have the right to select a lawyer of your choice. If you had given the green light to appoint that lawyer and work has already commenced, you would have to pay the legal fees. If you want to discharge that lawyer at this stage and pick another lawyer, you would have to pay 50% of the full scaled fees for work done. That is the norm.

Get another quotation as this one is quite on the high side, as you would find out if you had compared with the other samples in this thread.

Hi All, just want to check on 2 things here. My draft SPA states vendor will need to pay me 2 x 10% should he back out after signing SPA. What about the legal fee which I pay? can I put 2x10% plus my upfront cost of legal fee since I will still need to pay that if he backs off?
Secondly, since my property was just issued CF, there are some defects that need to be repaired. I tried to put it in the SPA that vendor should rectify before the end of SPA but vendor says thats not his problem and he should only inform and chase developer. How do I protect myself against this ? ZThanks in advance

1) Yes you may, but it is not the norm. The extra 10% as compensation is intended to compensate you, among others, the legal fees incurred.

2) If it is within the defect liability period, the developer will bear the costs of repairs. You can't put the burden on the seller. The normal practice is that unless there are serious structural defects, the property is sold 'as is where is'. Frankly, it is just a small matter. You can sort it out with the developer when you take vacant possession.

Great... thanks for the advise

Dear sifus,

What's your opinion on this lawyer fees?

Loan RM 700,000.00

TO OUR PROFESSIONAL CHARGES:- RM SEN
Facilities / Loan Agreement (Principal Instrument) 5350 00
Charge / Deed of Assignment 535 00
Power of Attorney
Letter of Guarantee
Memorandum of Deposit / Letter of Set- Off
Private Caveat / Lienholder’s Caveat 350 00
Form 34
Consent to Charge
Change of Name
Statutory Declaration: Non-Bankrupt & Own Occupation
Others:-
Total:- 6235 00
Service Tax 6% 374 10
TO OUR DISBURSEMENTS CHARGES:-
Land Search 90 00
Company Search (ROC) 15 00
Official Assignee search on Borrower(s) / Guarantor(s) 24 00
Official Assignee on Company 12 00
Stamp duty on Facilities / Loan Agreement 5350 00
Stamp duty on Charge / Deed of Assignment 40 00
Stamp duty on Power of Attorney
Stamp duty on Letter of Guarantee
Stamp duty on Memorandum of Deposit . Letter of Set-Off
Stamp duty on Letter of Offer 10 00
Stamp duty on non-bankrupt declaration 10 00
Stamp duty on own-occupation 10 00
Affirmation fee – non-bankrupt declaration 10 00
Affirmation fee – own occupation 10 00
Affirmation fee – Surat Akuan for Entry of Caveat 10 00
Filing fee – Power of Attorney
Filing fee – Developer’s Letter of Confirmation
Filing fee – Caveat (Entry & Withdrawal) 420 00
Filing Fee – Charge 120 00
Filing Fee – Change of Name
Documentation Fee payable to Bank
Putrajaya Bankruptcy Search
Photostating, printing charges 100 00
Postage, telephone, binding, courier charges 80 00
Miscellaneous 50 00
Transportation 180 00
Others:-
Total:- 6541 00
GRAND TOTAL: 13150 10


Final price : RM 10,500 (after discount!)

revolvolution:


Please feel free to compare with the earlier samples in this thread. There's many to compare with. But since you've already asked for a discount and one was offered to you, I don't think you should worry too much. If you've been reading up on the previous posts in this thread, you'll note the trend that where discounts are offered, the disbursements will be marked up to make up for it.

One thing to note - if there's no individual title - since the security is by way of assignment - why is there a charge for entry of caveat at RM350? In most instances, lodgment of private caveat can be waived by the financier. Just check that one out.

Good luck

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Wrong section

This post has been edited by genuinehuman: Oct 15 2011, 03:54 PM