Off topic a bit... would liquidator act fairly in these three scenario? Since land title is in mastertitle . Liquidator has to decide which creditors get which chunk of leftover pie. i believe bangkrupted developer owes lot of money, otherwise no reason to bangkrupt

1. Individual that has paid off shophouse bank loan. .. but Land office has yet issuing strata title .. and thus no call for MOT Payment to be paid yet.. and developer bangkrupted..

2. Or better dont clear off any bankloan b4 any strata being issued .. just leave little loan amount , wouldnt cost much loan interest. .. is this "safer method " to park shophouse under bank umbrella protection ??. Liquidator wouldnt dare to bully bank as supposed to an individual owner.

What do u think ?? AS strata title issuance may take 10 /15 years in certain states in msia.

3. Can developer re mortgage completed project land mastertitle to get loan .. ending up with another land emcumberance.. And thus complicating liquidators task.. if yes .. then individual owner may lose everthing???

Thk in advance for any reply by forumers

Thks for the insight.. .. very clear answer !
I need to rephrase.. no3..... before being bangkrupt , while developer still holding mastertitle and before land office issue strata tittle ... can developer remortgage the mastertitle? or even still having to pay loan for land encumberances??
If yes. Then how safe is the strata ownership of individual owner when the land ( in mastertitle）is owned by others?

Thks in advance

This post has been edited by kenzotaj: Mar 16 2023, 08:28 PM

Exactly .. Bro... for commercial shophouse.. (unlike housing dev act).. there is no 2.5% retention b4 strata title issuance.. bank already releaeed 100% loan amount to developer.. a failing heavily indebted developer wouldnt bother to spend more money to get strata title.. . also liquidators dont get the 2.5% too..
Wouldnt it better not to clear off bankloan (when customer hvnt got receive strata title).. and instead let Bankers handle all the mess and legal paperworks with liquidator.. ??
How easy is it for individual to deal with liquidator..
Any insights???? Anyone..

So u meant.. there is difference in risk for the individual homeowner ( without strata title) whether one have clear off bank loan or keep the property under bank loan @ bank group umbrella protection.
Hmmnn..
Other Sifus also think like this ??