You must understand that the rebate is not automatic. You have to apply for it together when your MOT/DOA is submitted for adjudication. Once LHDN is satisfied that you fulfil the requirements, they will state the stamp duty payable and that sum will be 50% of the stamp duty payable under normal circumstances. There have been cases where applications have been rejected.

Now, two scenarios:

1) If the vendor's property is still encumbered.

Then the financier's solicitors will request for confirmation from your SPA lawyer whether you have deposited the estimated stamp duty payable with the SPA lawyer before first drawdown to redeem the vendor's loan can be issued. As such, you need to deposit it much earlier in your SPA lawyer's client account.

A prudent lawyer would collect in full, as there's no guarantee that the application for rebate has been approved.
2) if the vendor's property is not encumbered.

Then there is no need for the confirmation as the MOT/DOA can be directly sent to LHDN for adjudication. Once again, A prudent lawyer would collect in full, as there's no guarantee that the application for rebate has been approved.

If only 50% is collected and if the application is rejected, things would be at a standstill until the purchaser coughs up the balance 50% payable. A prudent lawyer can skip the hassle of that and merely pay up in full what has been collected from the client.

Having said so, there are lawyers who just collect 50% stamp duty from the client. It's just that your lawyer doesn't operate that way.

In a nutshell, do not have any adverse conclusion against your lawyer. He is just being prudent by demanding for the full sum to be deposited with him as stakeholder. It's not like he can play with the money. If the application for rebate has been approved, the lawyer can refund the money to you, and all will be ok,

Dario, thanks for the clear explanation, wouldn't you mind to explain what is mean by "If the vendor's property is still encumbered or not"? 

Give it 2 weeks to be safe. There's no 3 working days guarantee like the Shah Alam land office. 

The new land title will be under only one registered owner (lee fong moi) or lee fong moi & lee fong moi sbg executor.......?

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Added on December 9, 2011, 3:33 pmAny problem if it is under lee fong moi & lee fong moii sbg executor?  Cannot just registered under lee fong moi as the only registered owner?  Or this is the normal procedure?

Usually in such case, the new land title will be like that and would that have any effect in completing the SPA?

Hi dariofoo,
In purchasing a sub-sale property, i understand that there are 3 type of fees as below, correct me if i'm wrong

i) Legal Fee:
From the 1st pg in V1 thread, i calculate the legal fee for $565k is $ 4,405.
Is this the legal fee for SnP ?
I also understand that there are many misc fees under legal fees e.g transportation fees, etc. Is the $ 4,405 inclusive of the misc fees ? I wud assume no.

ii) Stamp Duty
Using the calculator, the stamp duty for $565k is $10,950.
Is the above number also inclusive of legal fee stamp duty and loan agreement stamp duty ?

iii) Loan Agreement Legal Fees
How to calculate this ?
Is this for the loan agreement documents between me and the bank ?

Hi Dario,

I've signed the loan agreement recently but on the facilty agreement, the interest rate and monthly installment are not updated as agreed with my banker.

The person in charge of the signing asked me to sign and will make the amendment with the bank side later.

Thus, am I made a mistake here or it's all right as i have an email from the bank stating the final rate given?

Confused...

Can sign first and amend later. It's done all the time. Just make sure that you attend to put your initial for all the amendments as it indicates that you agree to it.

Hi.
I would like to ask whether the entry and withdrawal of private caveat is covered under the SPA or the loan agreement?
My loan solicitors said no need to enter private caveat as it is a master title. Is this correct?

Both are irresponsible parties, who do I complain to ? bank negara or lawyer association ?

Get the correspondence to see who's at fault. Look at date of letter by bank and date of collection.

How much was the interest?

that is a difficult thing to do cause my lawyer didn't get official letter from bank.

Surely when the bank issued the cheque there would be a cover letter annexed to it,right? Or perhaps an advise slip? 

1) Yes that's the base legal fees. There are also other legal fees like filing of CKHT, entry/withdrawal of caveat (if applicable) and consent. It does not include disbursements.

2) There's no such thing as legal fee stamp duty. This stamp duty for 10k is for the memorandum of transfer (MOT) or deed of assignment (DOA). It does not include stamp duty upon the loan doc.

3) 0.5% of loan sum. Flat rate. 20% less if Islamic financing. Yes this is the doc between you and the bank.

May i know how to calculate the stamp duty for the loan doc ?

Thanks in advance dariofoo   

My lawyer didn't give me the cover letter or advice slip and they are very unfriendly/unhelpful.

Interest is not much but it is matter of ethics. Anyway, I try to get the cover letter from bank instead.

Thanks