Hi Dario,

i read through topics you answered before, really big help for better understanding on the procedures/documents, will take your advise be careful not to fooled by vendor/SPA lawyer.

Dario, appreciate your effort and time put in for public, thanks a lot!

Cheers

Hi all, need some advise here.

I'm buying 2nd hand leasehold apartment here. Loan from bank already approve but I have yet to meet up with owner to draw SnP. I just reviewed the legal fees calculator on the 1st page. The property price is below RM100k, which mean the total legal fees + stamp duty should be 2% of the property price. Am I right?

I'm asking because I need to prepare this sum of money when I go to meet the owner.

Also on 2nd question, I decided to withdraw my Acc2 from EPF for downpayment. From what I read, I need to have :
1. The Form
2. My IC
3. New SnP with my name on it
4. Loan approval form
5. Bank statement
6. Title Deed in seller name with letter of consent OR Title Deed in my name

My question is how do I proceed with getting the title deed and letter of consent? Should I ask this from the seller? Can I just print the bank statement from Maybank2u and submit?

paiseh, totally new in these things. I have done my googling around but come to nothing. :S

Thanks

If you use bank panel lawyer, once the client sign the loan document the next day itself the lawyer can send for bank execution without waiting for Letter Instruction. If I am not wrong, 2 to 3 weeks just to wait for that Letter instruction inorder to bank execute the document.

Still the provided, the bank lawyer is efficient on its work.

1. deed of assignment
2. power of attorney

is there a formula to calculate these two above for loan agreement?

Cannot remove the name without replacing it. That's why we call it transfer. That person's 1/3 share must be transferred to another party, or perhaps to either one (or both) of the other owners.

Charge/Assignment is a security document created in favour of the bank if you have taken a loan out. Nothing can be done to transfer ownership without the consent of the Bank.

That is why you need to check with the bank first before appointing a lawyer.

Is that party which you want to remove a borrower as well? In that case, you may need to refinance. In any event, do check with the bank first.

The bank would normally reply between 5-10 working days. How long it takes to finish is hard to say. You might want to check with your lawyer on this.

Basically the flow is like this:
1. The vendor's bank issues redemption STATEMENT;
2. Your loan lawyer prepares all the documents and advises your bank to release the redemption sum.
3. Your bank has to issue the cheque for the redemption sum.
4. Your SPA lawyer passes the cheque and the discharge of charge [DOC] to the vendor's bank.
5. Vendor's bank executes DOC and returns it with original title, etc.
6. Your SPA lawyer dates memorandum of transfer [MOT] and submits it for adjudication.
7. LHDN will issue notice of stamp duty to be paid upon MOT.
8. SPA lawyer pays stamp duty and gets MOT stamped. DOC is also stamped with nominal stamp duty.
9. SPA lawyer hands over registration fees, DOC, MOT and other original documents to loan lawyer.
10. Loan lawyer presents DOC, MOT and charge in favour of your bank at the land office.
11. With presentation receipt and other ori docs, your loan lawyer advises bank to release final drawdown.
12. Bank release cheque for final drawdown.
13. SPA lawyer hands it to vendor, and keys are exchanged together with apportionment of outgoings - end of transaction.



This post has been edited by dariofoo: Feb 28 2012, 10:44 PM

Yes for any other subsidiary documents the fees are 10% of the scaled fees.

You should download the SRO as well to check.

Cheers.

Not sure where you got 2% from but the scale is on this page of the link itself:

http://www.elawyer.com.my/legal_calculator_info.php

So do check again.

Seller has to give you the title deed, but the consent to transfer may take a few months after you execute the SPA and the vendor has the duty to obtain consent to transfer. So I don't think you can withdraw from EPF to make the downpayment. Unless the vendor is the generous type who can give you extra time to pay the balance deposit when signing the SPA. Normally you'd have to pay 10% minimum when signing the SPA. So either the vendor grants you extension, or you need to find another way to come up with the deposit.

Bank statement - yes you can get it printed from m2u but if i'm not mistaken a lawyer needs to CTC it first.

Basically, you need the SPA to be executed first before you can make your application for withdrawal.

10% of the scaled fees for the principal document, i.e. loan/facility agreement/ property sale agreement itself.

ok thank you

Hi Dario,

Thanks. That 2% I get from the link you posted.

Legal Fees - 1% of the purchase price AND
Stamp Duty - 1% of the purchase price

So total I have to pay is 2%. Am I correct?

As for the EPF withdrawal, I will talk with the vendor when I meet up with her.

Silly me

I thought you meant 2% for both. Well yes that calculation of yours is correct. If this is your first property purchase, you get 50% off stamp duty, so knock off another RM500.00 from stamp duty calculation.

Don't forget legal fees and stamp duty for loan documentation. Same scale for legal fees (based on loan sum). For stamp duty on facility agreement, it is 0.5% of loan sum AND you get another 50% off from that as it is your first purchase.

Ok thanks bro. I think for the loan documentation, I have asked the banker to finance them together with my loan package. I haven't sign or meet them up yet to look into this.

Anyway. Thanks a lot for the reply. Appreciate it much!

redemption statement to be correct

Mr. Sifu Dario, overlook my post?

Thanks SiFu dariofoo ! This is great summarize of the steps involved that i am searching for...

Silly me

Typo. Thanks.

If the lawyer runs away with the money, he'll surely run away with the balance purchase price, not just your 25k. As such, if anyone is going to sue him, it's going to be the vendor. So the vendor is suing for your 25k also then. If the worst case scenario happens, that is.

I asked if you have paid their legal fees. So, have you?

Please note that No.1 has been amended to state redemption statement, not redemption cheque. Cheers.