QUOTE(jenova @ Apr 9 2012, 01:17 AM)
Hi Lowyat Shi Fu & Master, im thinking to get a property which bank value is higher 20k than selling price.
I thinking to mark the selling price higher to get more cash for renovation and owner said he is ok with that.... so can anyone share with me how to do so?
The property selling price is Rm270k, bank value RM290k. Should i tell the bank the "selling price" is RM290k, then 90% of loan = RM261k, so i could have more cash on hand.. if i want to do so, how much deposit should i pay the owner? How to run the whole process and avoid owner/seller refuse to pay me back the extra money???
Thanks Thanks ~
You need to put the SPA price as 290k.I thinking to mark the selling price higher to get more cash for renovation and owner said he is ok with that.... so can anyone share with me how to do so?
The property selling price is Rm270k, bank value RM290k. Should i tell the bank the "selling price" is RM290k, then 90% of loan = RM261k, so i could have more cash on hand.. if i want to do so, how much deposit should i pay the owner? How to run the whole process and avoid owner/seller refuse to pay me back the extra money???
Thanks Thanks ~
Then either:
a) In the SPA, the deposit paid by you (10%) is marked up by a further 20k to reflect that the balance is only 90% of RM270K and not RM290K; or
b) The vendor simultaneously gives you a letter of discount of RM20k.
However, to protect the vendor, you would need to give a letter to the vendor stating that you will be responsible to bear RPGT tax for the 20k portion, if applicable. If this arrangement can be made, the vendor should not have any problems to have the SPA to state 290K.
Apr 10 2012, 10:58 AM
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