Hi all sifus, I'm currently purchasing a subsale house and would like to know how long does bank usually take to settle seller loan and disburse the monies to seller?

Based on my lawyer, they are currently lodging caveat on the property.

Also from my understanding, the next step will be to advice the bank to settle the seller's loan, then bank will disburse the monies to seller after bank gotten the title.


My question is, how long (estimated) should I expect to complete this process from lodging caveat to get the key?

Also, will the bank start settle the seller's loan right after lawyer advice?
Another info the bank needs other than Evaluation Report (my Evaluation Report is ready). From other forum post, the bank will require the insurance company to confirm on MRTA too. Anything I can start doing now on the MRTA?

* some might ask why I don't ask the questions to my lawyer, but tbh the lawyer is not helpful and thus I'm trying to seek advices from forumers.


If anyone can share the step by step processes with estimated timeline on purchasing subsale house would be great for all new buyers!

Being first time property buyer, many are anxious to have it settle as quick possible.

Do bear in mind the whole process involve few parties ... purchaser, seller, banks, lawyers, valuer, govt depts, JMB, and developer where applicable .... the reason why lawyer cannot give a confirm timeframe as per your question.

An experienced lawyer will know what to do as per dateline stated in the SnP but there the things which are beyond the control of the lawyer if other parties dont do their part.

In most SnP, it is agreed that both parties must complete the transaction within 3 months plus an extension of 1 month with interest charge whichever party or his agent is at fault, OR any other time period as agreed.

As a client, one dont need to know the entire step processes as every case is different. But following-up is important to know the progress.

If the lawyer said have instructed the bank to disburse the loan money, then have to wait as bank also have their internal procedures.

Do understand that all those 'people' working on the case may be on sick or annual leave, attending meetings or seminar, or doing other more urgent work and things can be held up.

In conclusion, if the transaction is completed b4 the dateline, albeit on the last day, client has no valid reason to complain.

Thanks for the sharing!
Yup, I do agree that if the transaction is completed before the dateline then would be fine.

However, as first time buyer, I would like to know is my current progress able to meet the dateline.
The thing I'm struggling is, I have no idea on what are the steps after my current step. Hence, I will not know if my current progress is great or significantly delayed and I do not aware.

Maybe I change bit of my question, I have exact 1 month left to complete the transaction (excluding the 1 month with interest charge).
Is my current progress (lodging caveat) good enough or I should expect to pay the interest charges?

Is difficult to comment without knowing the details as every case is different.

I suggest you take a day off and visit your lawyer and ask them to brief you. Sometimes is difficult to talk and explain through phone calls.

Just ask him whether you can get vp (keys) before the dateline, that is all you want to know. As for the rest of work procedures, is difficult to explain to non legal person.

Alright, thanks bro.

Ah, my time to shine. I have just completed a subsale, with strata title, but not perfected so needed direct transfer.

Rough timeline
Oct 2021 placed booking
Dec 2021 snp finalized, developer consent to direct transfer obtained
Jan 2022 snp executed. Stamped. Bank started to process loan.
Feb 2022 waiting for developer to sign the mot (in direct transfer) in my case developer takes forever. Bank waiting for next steps. Bank received redemption sum advice from vendor's bank to release title/deed.
March 2022, developer executed mot. (for direct transfer, the completion date is not 3 months from s&p execution, it's 3 months from mot executed by developer, had I known this I'd have pushed harder for the developer to execute sooner). Bank received the duly executed and stamped mot.
April 2022, within 1 week after receiving the executed mot and all docs, bank released 1st disbursement to reclaim title/deed. Then the developer taking their sweet time to release original title, again.
May 2022 3rd week, bank finally received the title and submit to jabatan tanah for presentation. Bank lawyer adviced bank to release balance - considered urgent case as it is very close to completion date in June.
June 2022, on completion date itself,and within few days after receiving original title, bank released money .

My caveat lodged around February actually. As you can see, alot of waiting from developer side, but if your vendor has the original title, it could be faster.

Roughly I waited 1.5 months for developer to execute mot, and 3 weeks for them to release the title.

This post has been edited by nekteo: Jun 11 2022, 08:51 AM

about 1.5 - 2 months

I’ve recently just bought a subsale condo, here’s my timeline so far:

Mid January - paid 3% booking
Early February - signed bank’s offer letter
Mid March - signed S&P
Mid May - MOT executed
End June - Bank disbursed balance sum to vendor’s bank

Currently still waiting for VP

Completion date given by lawyer: Mid August

Altogether it’s been about 6 months since booking until the disbursement

This post has been edited by FamousLastWords: Jun 25 2022, 05:33 PM

VP need 6-8 weeks? VP is just wait for the seller to move out those thing they still want it back? or have some procedure?
completion date given by lawyer is the moment give you the key right?

just bought a subsale house as well, from I paid booking fees til sign loan offer letter and SPA took me 15 days

this is normal.

bank only disburse sum to settle vendor's loan

bank haven't disburse balance purchase price yet. this will take approx 1.5 month after vendor's loan settled.

Gosh... thanks god I found this thread.

If I have been charged late payment interest due to bank late in disbursement of my loan amount to the seller, what can I do? Mine is a subsale.

I have been asking the bank and the lawyer on the progress on it and they all keep on saying being processed and finally when it's done, I have been penalize late payment interest which is truly not fair on my side...can I get either bank or lawyer to absorb the late payment interest?

Ask your lawyer / the bank to do a schedule on the whole sale. You will see where was the delay and talk to the lawyer/bank on this.