banker cant 100% confirm also. just say the loan should be no problem.

under processing..

the s&p i went thru. no such condition whereby i can get back my deposit if loan not approved.


and the letter of confirmation sales thru agent.

the agent did not explain to me the 3% deposit also forfeited. and did not put the special condition whereby can get back if loan nt approved.

below is smtg i found online

Q: I recently tried to purchase 2 second hand properties for investment. However the property developers have some problems with the banks and therefore I was not able to get loans from many banks. I have asked for extension of completion time for the agreement and was told by the agent that the owners are fine with it. After being rejected by 4 banks, I told the agent that the properties cannot be bought. He then told me that I have to forfeit my earnest deposit. I went to the agency’s office to get back my deposit but was not able to. I need help. It’s not a small sum. Where can I go to? Who can I talk to? Thanks

A1: There are many avenues for redress. If you have been rejected for a loan and you have the rejection in black and white (letter from bank), there is still an avenue for you to get back your deposit. The small claim court has become popular recently.

A2: First of all, does your “agreement to purchase” form state down the special clause ie. “The Earnest Deposit shall be fully refunded to the purchaser should the purchaser be unable to obtain any loan from the banks” ?
Normally this is to be written down by the agent to protect the buyer in case the latter can’t obtain their loan. In most cases however, the agent is not doing their job well and is not bothered in helping the buyer to secure their deposit. The agent has nothing to lose as the earnest deposit will be shared by the owner and the agent.

A3: Before you even deposit your money with the agent, you should have done the title search at the land office (RM30 per title) to find out if the title is clean and if there is any caveat and the reason thereof. This can be done by any lawyer for a small fee. At the signing of the S & P, your lawyer who is preparing the S & P, should have ensured that the clause providing for refund of your deposit in the event of failure to obtain a bank loan should have inserted in the S & P. In most cases, such a clause exists. So, check with your lawyer. I am assuming that it’s your lawyer because in 99% of cases, buyer’s lawyer prepares the S & P. The clause to refund deposit in the event of failure to obtain bank loan is a common clause and in most cases is part of the S & P, unless parties agree otherwise.

What is your question? Do you want me to comment on the answers above?

It is not the agent's job or duty to explain the terms to you. It is upon you to insist on the additional terms on 'refund if loan rejected'. Obvioulsy the vendor won't beso naive to suggest that you insert it. As far as the vendor is concerned, if you fail to meet the deadline to finalise the SPA, the deposit would be forfeited. The vendor has no concern about your loan application. His concern is to sign the SPA and wait for the balance purchase price at the end of the stipulated period.

Hi,
Hope this isn't the wrong place for my query. If it is, please tell me where to go.

When I purchased my 1st property about 8 years ago, I had used my EPF money to make 1 initial payment. Haven't used EPF since. I now want to get a 3rd property and the new rules require us to make 30% downpayment for 3rd prop onwards. I wanted to check if I can use the EPF money as part payment for my 30% payment for the house. The loan on my 1st property is still ongoing and I've never made any withdrawal since the 1 done 8 years ago. Do I qualify to use EPF for this 3rd property? If not, what do I need to do to be able to use the EPF for my 3rd property ie. settle the full loan on the 1st property, sell the 1st property etc? Tq.

You need to dispose off the property, i.e. sell it off or you can also transfer it to another party, etc spouse. KWSP would require you to show proof of disposal by way of documentary evidence.

Dear Mr Foo:

hi, hope you able to help me to answer as below becos i had the same situation like him

1.I as a buyer going to purchase a condominium at KL Kepong as without the agent go thru.

2.Seller had agreed to let go the property to me as require the sum of RM5,000 as earnest deposit and mention if i not able to obtain loan within 15days the deposit will be forfeited.

3.Seller engage lawyer which will come out the agreement which i also need to your help.

4.I had mention to seller if the i can't obtain the loan from bank, i was asking the 100% full refunded.
So what sore of term that i need to put in as a extra remarks to avoid argument next time.

Forgive my statement too short or my layman language.

Thank you for help.

Hi Dario,

I would like to seek your inputs regarding the following as this is my first time as a buyer.

As I am not able to purchase a property directly under my name until next year because a certain requirement needs to be fulfilled till then - this has no relation to my financial history at all as I have no past/present/outstanding loan or debts to my name. So I intend to purchase the property under my mother's name and when the right time comes along, the property will be transferred to my name under the love and affection transaction. However, I was told by someone who had sought the opinion of a lawyer regarding this issue. Please clarify this.

1. If owner still under your mother name, you are the borrower. MOT still can transfer to you (can treat as love and affection) but it can be done once SPA done. By the time when it can be transfer, it need to get approval from financial institute and it will cost higher because lawyer need to do MOT transfer charges.

2. Owner & MOT title is your mother name, you are the borrower. Just do a will for your mother, it cost cheaper.

In addition, I am interested in a property and if the deal is concluded with the owner (no agent involved), I would have to draft an agreement for both parties to sign, especially with the clause for earnest deposit to be refunded should the loan not be approved in the event. I managed to get a Letter of Intent for purchase of a property from a source and the terms and conditions in it seems vague and ambiguous, so I am not sure if this is acceptable to serve as an agreement for both parties to sign. I am unable to upload the LOI here as it is difficult to upload via my iPad. May I email you the LOI for you to take a look.

I would appreciate your kind inputs in this.

Thank you!

This post has been edited by S'aimer: Aug 11 2012, 12:35 PM

Hi Dario,

I already placed my 3% deposit to agent, and proceed with loan application. My financial standing is okay, however I received 2 rejection letters from banks due to Property is under "Negative Listing". After receiving the notification from bank, I found out that developer is going to wind up soon and will be placed under liquidator.

I informed the agent that it is hard for me to proceed with the purchase because bank couldnt finance the purchase, and it will be messy in future once the liquidator takes over. FYI, The strata title has been issued since 2008 but Vendor hasnt executed the transfer. Developer doesnt consent direct transfer. Developer also warned me to be prepared for a very long process of transfer once liquidator comes into picture.

I requested from agent to refund my booking deposit. Agent asked me to talk with Vendor and will refund my deposit if the Vendor also decided not to proceed. I then discussed my problem with the Vendor, he understood my situation and both of us decided to terminate the transaction.

I then informed the agent that vendor and I mutually agreed not to proceed with the transaction. Then the agent sms Vendor stating that after checking with their lawyer, the Property can be sold and deposit cant be refunded. If Vendor decided to abort, agent will charged Vendor half of the deposit.

I think this is unfair for an agent to do such thing to Vendor, and at the same time I've this feeling that agent will not refund my deposit, giving me the impression that lawyer can proceed with S&P for wind up developer.

I don't know what to do now. I feel bad for the Vendor if agent charged him that amount. And at the same time i dont want to go ahead with the purchase anymore since my loan already got rejected

Appreciate it very much if you could advise me on this. Can I file a complaint against agent? to whom shall I file the complaint?

Hi Dario,

Last week I just to book a bumi lot unit, it is
understood that we need to convert this unit
into non bumi lot unit before we move into
this unit.

Should we convert this unit into non bumi lot
first before proceed the SnP signing?

The above unit is a freehold unit and already
obtain the individual strata title.

Thank You

would like to ask, if i buy a second hand property, will I get charged higher by govt/ higher charge by lawyer?\

thank u.

Sorry guys had a busy weekend. Wlll answer all queries by tomorrow. Please check back. Cheers.

Hi Dario,
I would like to ask, I'm first time home buyer which wanted to buy a SOHO at subang, however the land title is commercial. if I make the SPA below 350k do I entitle for the rebat for 50% which stated in Malaysia budget? Please help to advise on this. Thank you

This post has been edited by angle45: Aug 13 2012, 12:13 AM

Hi Mr.Dario.I apologize for the delay.

There isn't any 'concrete evidence' as identity of anyone who tips-off police is classified.

Now,B wants to know since identity of A is priviledged,will the legal action backfire on B? But then it is clear that A gave false information to the police.

Correct me if I am wrong,isn't OSA Act 88 Section 24 state this:

24.Protection of informers

(1) Except as hereinafter provided, no complaint as to an
offence under this Act shall be admitted in evidence in any civil
or criminal proceedings whatsoever, and no witness shall be obliged
or permitted to disclose the name or address of any informer, or
state any matter which might lead to his discovery.

(2) If any documents which are in evidence or liable to inspection
in any civil or criminal proceedings whatsoever contain any entry
Official Secrets 25
in which any informer is named or described or which might lead
to his discovery, the court before which the proceeding is had shall
cause all such passages to be concealed from view or to be obliterated
so far as is necessary to protect the informer from discovery, but
no further.

(3) If in any proceeding relating to any offence under this Act
or any prescribed offence the court, after full inquiry into the case,
is of the opinion that the informer wilfully made in his complaint
a material statement which he knew or believed to be false or did
not believe to be true, or is of the opinion that justice cannot be
fully done between the parties thereto without the discovery of the
informer, the court may require the production of the original
complaint, if in writing, and permit inquiry and require full disclosure
concerning the informer.


B know that A is the one through a very reliable source.So B is confident that A is the one who did it.
(FYI,A had made verbal threats in the past wanting to harm/defame B somehow.)

Thanks.

This post has been edited by Ray78: Aug 13 2012, 02:35 PM

I've purchased a sub sale property and the transaction was completed on early of June 2012.

Beginning of this month when I make payment for the current month management charges, the JMB told me that there are outstanding charges which dated Aug 2010 and Jan 2011 from the previous owner. I've forwarded the statement to my SPA lawyer. He advised me to question back the JMB why they only chase back the outstanding charges by now. He even advised me to pay the outstanding charges to the JMB first then only he follow up with the previous owner.

However, the JMB provided me a letter dated 8th Dec 2011 which they sent to my lawyer regarding the outstanding charges. Apparently, my lawyer had overlooked or ignored the letter. So when I asked the lawyer why it become my responsibility to check on all this and to question the JMB. I thought all this should be lawyer's responsibility. The lawyer answered me that his responsibility is to ensure the sales & purchase transaction is smooth only. Since now the transaction already completed, he still willing to assist me to follow up with the previous owner

I think he mean he is kind enough to help me even though this is already non of his business.

So I'd like to know if it is the buyer or lawyer responsibility to ensure there is no outstanding charges before the transaction completed.

Hi Dario,

Need some help over here. I am in the process of getting a new house from PKNS developer with a joint name with my girlfriend. I got my offer letter (2 names in the offer letter), sign my S&P (2 names as well) and submitted to PKNS. But I just got a letter from PKNS asking me to add her name. The letter head was "Pemohonan Menambah Nama Suami/Isteri/Anak bagi Pemilikan Bersama Bagi Hartanah". Then the content of the letter is to acknowledge the added name for loan and epf withdrawal purposes. So my question are as below:
i)So is this a must-sign letter since my offer letter already done with 2 names as well as S and P
ii)The relationship must as mentioned above? Only husband/wife/children?
iii)I did call their panel lawyer, they mentioned as long as the offer letter is 2 names should be fine but still questionable on the relationship by PKNS. Is it true?

Any idea how to resolve this? Can PKNS still proceed without the letter because I dont see what is the purpose of the letter.
Thanks in advanced.

hi, sorry if its a repeated question. Is it possible to send SPA for e-stamping which require 2 weeks to process?

What do you mean by "Owner & MOT title is your mother name, you are the borrower". Is the arrangement such that your mother is named as the purchaser but you are named as the borrower for the loan (third party financing)? What is what your statement seems to suggest. However, this does not tally with your earlier statement that "As I am not able to purchase a property directly under my name until next year because a certain requirement needs to be fulfilled till then".

Please clarify in order for me to advise you further. What is your specific question with regard to the two scenarios?

What is stated in the letter of offer to purchase? Does it state that you would be entitled to a full refund of earnest deposit paid if you obtain 2 letters of rejection from 2 banks? If so, you are entitled to have your deposit refunded.

Convert? Or obtain consent to transfer to non bumi?

http://forum.lowyat.net/index.php?showtopic=1748580&hl=

Legal fees would be higher as when you purchase from developer under Schedule G or H agreement, the lawyer is compelled under the SRO to only charge up to a certain extent of the fees, depending on the price. You can download the SRO at the first page to take a look.

Govt - are you referring to stamp duty on MOT? There is no difference with regard to stamp duty.