HI all,

So my husband just booked a subsale condo unit (freehold) and as of now, we are in the midst of applying for loan. However, upon handing over all documents to our banker, he requested for standalone strata title.

When I checked with the agent, she said the owner haven't claimed it yet despite the title is out. The owner merely told the agent that I could claim the title later directly with the developer.

1) So assuming that my bankers would still need to see the strata copy and if the owner/agent couldn't produce it in time, could I simply ask the agent to refund my booking fee?

2) What if later on, the developer do not agree for direct transfer? Who's going to bear all the penalties, MOT, stamp duty etc. for double transfer?

3) What if the developer is no longer around? This property is 20++ years old

Any other things that I should be concerned about? The clock is ticking for me to get the loan approved and now this strata title issue pops out.

Thanks!

This post has been edited by rebecca_choo: Jul 23 2020, 10:29 AM

Hmm sorry how did the previous owner occupied the property without a strata title??

Can, if the owner didn’t perfection.

1 I will assumed your purchase is through an agent. In the booking form, it is normally stated that the sale purchase is subject to loan approval. If your loan is rejected, you can request for a refund of the earnest deposit.

2. Developer should have no objections for double transfer. Each party will pay for their own mot.

3. If the developer is around, there is no problem. You MUST confirm with the developer whether the title is issued but pending seller perfection on payment of MOT. If the answer is negative, if I am you, I wont proceed with the purchase. The longer it takes the title to be issued, the more difficult for you to sell later.

Occupying a property is about CF. Title can come later. A SnP is as good a title.

I checked the SnP and apparently, we are the 3rd owner.

1st owner sold to 2nd owner back in 1999 and in their SnP, there is a clause for 'Deed of Assignment' - so I guess that explains how in the past this property was transacted - I suppose.

1) But I can't even proceed with the loan submission without submitting the strata title, so how do you think I should request for the booking refund? Somehow I need to produce a letter saying that the loan is rejected?

2) Noted

3) Ok noted

Thanks all!

Without the strata title, is as good a rejection reason from the bank not to process/approve your loan application and hence indirectly a rejection. Tell that to the agent.

This post has been edited by mini orchard: Jul 22 2020, 11:20 PM

#3 is actually a major red flag

If the developer has winded up, the whole proceed could take at least an extra 6 mths to settle the title transfer since it involves a liquidator

Deed of Assignment is not enforceable.

I previously also purchased a property with such arrangement.

When I sold off the property after staying for 6 years, I need to request the original owner to execute the s&p.

1) If indeed strata title is issued but owner have not collected it from developer, there are high chance the developer will ask for "kopi money" only they will release to u. If yes, u can ask seller to pay for it because it is the seller's responsibility

2) As above, i dont recommend u buy the unit if seller does not want to provide strata title to u. because will involve money and time if u deal with developer.

3) Trust me they are around....just hiding and operating in shadows.

you can ask developer to do a direct transfer but there is admin fees incur.

Is NOT purchaser's obilgation to request for title or direct transfer from developer. If seller cannot produce title or has permission for any transfer, then the booking / SnP is void....similar to consent for leasehold title.

This post has been edited by mini orchard: Jul 23 2020, 08:46 AM

Yup i know, i thought i got mentioned it? maybe i forgotten to mention.

Ok noted - thank god I chose my own banker and in worst case scenario, I am going to ask him to give me a loan rejection letter...

In that case, will it affect the loan disbursement process and/or in me getting the keys?


That's assuming that the previous owner is still around and/or helpful enough :/


Ok.

My agent said that the lawyer will deal with developer to find out if the title can be transferred directly/double transfer (and this also means that my loan needs to be approved first since she insisted that the lawyer will deal everything later on)

Same question as I asked above to a different poster - will this title transfer thing affect my loan disbursement and/or getting the keys? Will the loan only be disbursed once the title had been fully transferred to my name?


But who will bear the admin fees then?

This post has been edited by rebecca_choo: Jul 23 2020, 10:35 AM

In my opinion...after 20 years, I doubt the title is out and some banks are selective with such cases.

Can you buy another unit within the same location ?

Buying is easy now. What happens if after your purchase, the developer bungkus ?

Delay in getting the keys? Yes

The title needs to be perfected first before the banks can initiate the name transfer. This process alone could take months, depending on how fast the developer is pushing it. Much worse if it is a leasehold, since it also involves getting consent from the State Govt

Once completed, then the banks can start disbursing the moneh i.e. the 3+1 month period to rectify the relevant matters related to Pejabat Tanah, LHDN etc...

Personally, I would avoid props with double transfer issue due to the aforementioned factors. My 1st prop took me close to 18 mths for everythg to be done, including my stupid lawyer who mispelled my name at some point which contributed to the delay as well

But if you can wait, then more power to you

Firstly, make sure the developer is still around and operating

Yeah, it seems that the strata title had been issued but perfection wasn't done by the current owner.

And, he also mentioned that it's still under developer's name... and I'm the 3rd owner.

Meaning to say, developer has to agree for direct transfer or do a triple transfer to my name?

I don't mind getting my earnest deposit refunded and I could look for other unit elsewhere.

You are right, if developer already bungkus, then nothing much could be done.

FYI, this is the developer:

https://www.ctoscredit.com.my/business/HART...DN-BHD-0057368K

If what is claimed by the seller is true, ask him to collect a photocopy of the title in developer,'s name.

As for the the transfer, ask seller to collect b&w from developer agreeing to the direct transfer. If is triple transfer, forget the purchase as the 1st buyer is not going to pay for mot anymore.

Nope dont get the loan approved first, it will cause problem for u if they cant get the title transferred and have to cancel the S&P.
Since u mentioned title still developer name means it is not transferred yet and im pretty sure developer will ask for money.

18 months? oh my...
So that also means that the loan disbursement will be delayed to the seller? Else seller will benefit from this and I would have to wait until the title is perfected..


The agent is insisting that the lawyer will deal with all this (she basically wants my loan to be approved!)
However, I did my own R&D and seems that I can't find any info on the developer.. they've been around since 1980 and I doubt they are still around.. that means that the title issue had to be done by a liquidator

Agreed, but as of now, I can't find any info on the developer.. so chances are, they've already went kaput and this title transfer issue had to be done by a liquidator...