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 Deed of Mutual Covenant, If I sell my house

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mini orchard
post Oct 9 2023, 11:47 AM

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QUOTE(Jingle91 @ Oct 9 2023, 11:32 AM)
You may refer to my earlier reply on my DMC.
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DMC is not about borrowing money like bank loan.

A non payment of a loan and for services are two different legal recourse.
TSwestlife
post Oct 9 2023, 12:44 PM

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QUOTE(mini orchard @ Oct 9 2023, 10:13 AM)
When the property is under strata, the non payment is not an issue. Is only when they can collect. Interest is chargeable for late payment.

When is under individual title, the non payment can be tricky. It depends on how the contract is worded.
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i saw many who owe the maintenance but like nothing happened to them...
TSwestlife
post Oct 9 2023, 12:46 PM

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QUOTE(Jingle91 @ Oct 9 2023, 10:27 AM)
Didn't really check on the %, my house even is under strata title but still got owner don't pay, lol. Last year got publish their name on notice board then some of them only go to pay. Reason is either they didn't receive the bill or they don't stay at here so forgot to pay. But did check with office, if the amount owe until very substantial amount, and the owner still ignore after few times of letter demand sent, then they can foreclose the house to cover the expenses. But so far no such thing happened yet.

Those who buy individual without DMC, mean normal guarded neighbourhood like my old house, nothing can do to non compliant owner, they can still access by using visitor lane. They have the perogative as individual title owner. As the forming of RA is based on their consent only, they are not binded by any contract.
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yes, indeed. there is a period where my precinct here almost has no more G & G... becos not enough consent from owners...
mini orchard
post Oct 9 2023, 01:01 PM

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QUOTE(westlife @ Oct 9 2023, 12:44 PM)
i saw many who owe the maintenance but like nothing happened to them...
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Those living in strata will have the Act to follow.

Others, nothing will happened to them.

Whatever, no one can denied another from entering his own property.
TSwestlife
post Oct 9 2023, 01:17 PM

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QUOTE(mini orchard @ Oct 9 2023, 01:01 PM)
Those living in strata will have the Act to follow.

Others, nothing will happened to them.

Whatever, no one can denied another from entering his own property.
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indeed. i also feel that it is the case.

my precinct here only has slightly more than 50% of ppl actually paying for the maintenance fee seriously.
mini orchard
post Oct 9 2023, 01:41 PM

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QUOTE(westlife @ Oct 9 2023, 01:17 PM)
indeed. i also feel that it is the case.

my precinct here only has slightly more than 50% of ppl actually paying for the maintenance fee seriously.
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If you are in the following scenario ...

Let's say you owe 10k fee and the mgmt want to foreclose your 1mil property ?

You think the judge will issue a foreclosure order ?

And banks have the first right claim over the loan on property.

This post has been edited by mini orchard: Oct 9 2023, 02:16 PM
contagiouseddie
post Oct 9 2023, 01:43 PM

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Living in a gated and guarded with DMC agreement and individual title. The place is run by a 3rd party company oversee by the community only. Day to day operation completely done by the company. The DMC agreement will be entered when you want to get the access cards. The previous owner will also need to clear any outstanding also before that. As it stands, 96% of resident paying. Only 1-2 crack fellows didn't pay while some are foreign owners didn't bother to pay as not residing in Malaysia (letting property sitting idle). This scheme only works if you have like minded residents.

Additional notes:
Extending cluster and semidetached house until using all the 10 feet is illegal by municipal law. This is not something governed by strata or individual title laws. You bought a semi detached or cluster, if someone put a brick wall next to your face, what would you feel? Anyone been treated like this by your neighbour should report to the relevant municipal authorities.

This post has been edited by contagiouseddie: Oct 9 2023, 01:46 PM
Jingle91
post Oct 9 2023, 01:56 PM

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QUOTE(westlife @ Oct 9 2023, 12:46 PM)
yes, indeed. there is a period where my precinct here almost has no more G & G... becos not enough consent from owners...
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Wah, your house seen like very unique, mind to tell the project's name? Because DMC should be signed by all owners together with S&P so got no exception, hence no need consent anymore after it go live. Anything need to go through AGM vote with resolution.

If the G&G can be stopped anytime, mean it is just normal neighbourhood style guarded community like my old house, and it is managed by Residents Association without much power, because owner can anytime revoke their consent. That is why chaotic situation might occur if residents are not cooperative enough. Like my old house, one owner just make covering report and attached it with his complaint to MBKJ, on same date MBKJ instruct RA to stop the barrier gate for two weeks and answer to the complaint, owner have very big power in this kind of neighborhood. Until today that owner still don't want to pay anything but we just bear with that as most residents prefer to have the barrier gate with access card. So free rider can happen in this kind of neighborhood
mini orchard
post Oct 9 2023, 02:24 PM

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QUOTE(Jingle91 @ Oct 9 2023, 01:56 PM)
Wah, your house seen like very unique, mind to tell the project's name? Because DMC should be signed by all owners together with S&P so got no exception, hence no need consent anymore after it go live. Anything need to go through AGM vote with resolution.

If the G&G can be stopped anytime, mean it is just normal neighbourhood style guarded community like my old house, and it is managed by Residents Association without much power, because owner can anytime revoke their consent. That is why chaotic situation might occur if residents are not cooperative enough. Like my old house, one owner just make covering report and attached it with his complaint to MBKJ, on same date MBKJ instruct RA to stop the barrier gate for two weeks and answer to the complaint, owner have very big power in this kind of neighborhood. Until today that owner still don't want to pay anything but we just bear with that as most residents prefer to have the barrier gate with access card. So free rider can happen in this kind of neighborhood
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All DMC contracts under the Strata Act must be followed through.

Other private DMC are merely commercial contracts and there is no law to state that breaching of the contract is an offense until proven in court.
Jingle91
post Oct 9 2023, 02:41 PM

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QUOTE(mini orchard @ Oct 9 2023, 02:24 PM)
All DMC contracts under the Strata Act must be followed through.

Other private DMC are merely commercial contracts and there is no law to state that breaching of the contract is an offense until proven in court.
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Don't confused

I never say DMC signed with developer during onset for individual title will be deemed as an offence when the owner breached the rules.

DMC under strata will be deemed as offence because the default party will be fined under the act, and need to answer to the lawsuit initiated by MC.

DMC for individual title will not have fine, but a contract is a contract, it is not just a paper to sign for fun. That is why I said the owner "voluntarily" to enter into the contract, so if the owner against the contract that he has signed, the MC can pursuant to the clause in contract to sue him via civil lawsuit, and there is no room to fight because he had signed it on day one.





mini orchard
post Oct 9 2023, 02:42 PM

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QUOTE(Jingle91 @ Oct 9 2023, 02:41 PM)
Don't confused

I never say DMC signed with developer during onset for individual title will be deemed as an offence when the owner breached the rules.

DMC under strata will be deemed as offence because the default party will be fined under the act, and need to answer to the lawsuit initiated by MC.

DMC for individual title will not have fine, but a contract is a contract, it is not just a paper to sign for fun. That is why I said the owner "voluntarily" to enter into the contract, so if the owner against the contract that he has signed,  the MC can pursuant to the clause in contract to sue him via civil lawsuit, and there is no room to fight because he had signed it on day one.
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You said foreclosure ?

Of course the mgmt can sue till federal court ... that is his right, or everyone right.

But suing a subsequent buyer may not be straight forward.

Signing a contract doesn't mean is cast on stones. There are void and voidable contracts term.

This post has been edited by mini orchard: Oct 9 2023, 02:58 PM
TSwestlife
post Oct 9 2023, 05:49 PM

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QUOTE(mini orchard @ Oct 9 2023, 01:41 PM)
If you are in the following scenario ...

Let's say you owe 10k fee and the mgmt want to foreclose your 1mil property ?

You think the judge will issue a foreclosure order ?

And banks have the first right claim over the loan on property.
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Not sure. That’s why I try to find out here. Hahaha.
TSwestlife
post Oct 9 2023, 05:53 PM

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QUOTE(contagiouseddie @ Oct 9 2023, 01:43 PM)
Living in a gated and guarded with DMC agreement and individual title. The place is run by a 3rd party company oversee by the community only. Day to day operation completely done by the company. The DMC agreement will be entered when you want to get the access cards. The previous owner will also need to clear any outstanding also before that. As it stands, 96% of resident paying. Only 1-2 crack fellows didn't pay while some are foreign owners didn't bother to pay as not residing in Malaysia (letting property sitting idle). This scheme only works if you have like minded residents.

Additional notes:
Extending cluster and semidetached house until using all the 10 feet is illegal by municipal law. This is not something governed by strata or individual title laws. You bought a semi detached or cluster, if someone put a brick wall next to your face, what would you feel? Anyone been treated like this by your neighbour should report to the relevant municipal authorities.
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96% of ppl paying is a lot. My side only 51 or 52% of ppl paying only.

Yes agreed. Extended to the edge of neighbour’s house is bad. The neighbour should complain indeed.
TSwestlife
post Oct 9 2023, 05:58 PM

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QUOTE(Jingle91 @ Oct 9 2023, 01:56 PM)
Wah, your house seen like very unique, mind to tell the project's name? Because DMC should be signed by all owners together with S&P so got no exception, hence no need consent anymore after it go live. Anything need to go through AGM vote with resolution.

If the G&G can be stopped anytime, mean it is just normal neighbourhood style guarded community like my old house, and it is managed by Residents Association without much power, because owner can anytime revoke their consent. That is why chaotic situation might occur if residents are not cooperative enough. Like my old house, one owner just make covering report and attached it with his complaint to MBKJ, on same date MBKJ instruct RA to stop the barrier gate for two weeks and answer to the complaint, owner have very big power in this kind of neighborhood. Until today that owner still don't want to pay anything but we just bear with that as most residents prefer to have the barrier gate with access card. So free rider can happen in this kind of neighborhood
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Sorry, could not disclose Becos of privacy. Haha.

Besides, the DMC I signed is between me and developer. If now the management is no longer developer, will it make a difference?

Yes really. My house area here almost came to a stage to lose the G&G. Hahaha. However, it did not else the value of my property will drop significantly.

rumahwip
post Oct 9 2023, 05:59 PM

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wah, must be batcave
Jingle91
post Oct 10 2023, 08:02 AM

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QUOTE(mini orchard @ Oct 9 2023, 02:42 PM)
You said foreclosure ?

Of course the mgmt can sue till federal court ... that is his right, or everyone right.

But suing a subsequent buyer may not be straight forward.

Signing a contract doesn't mean is cast on stones. There are void and voidable contracts term.
*
My apology, I was the one confused. As the power attorney is signed for bank loan, not for DMC.

My DMC did not say that I agreed for foreclosure. It only mention if MC has exhausted all ways listed under the paragraph yet still unable to recover the expenses, I as defaulter agreed that MC has its final discretion to take any action which it think is fit.

But if I need to sell the house, it is my obligation to get new buyer to sign the letter of undertaking from the MC for him to continue follow the DMC and relieve myself from it.

This post has been edited by Jingle91: Oct 10 2023, 08:04 AM
Jingle91
post Oct 10 2023, 08:08 AM

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QUOTE(westlife @ Oct 9 2023, 05:58 PM)
Sorry, could not disclose Becos of privacy. Haha.

Besides, the DMC I signed is between me and developer. If now the management is no longer developer, will it make a difference?

Yes really. My house area here almost came to a stage to lose the G&G. Hahaha. However, it did not else the value of my property will drop significantly.
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Think best is to refer to your DMC. As my one is under strata and it seen like different from yours.

For my one, the developer has it's own property management company, so both are named in DMC. Ultimately it will be managed by the MC. Even if the MC is changed, it shall continue valid for subsequent MC come into the place, no discontinuity.
TSwestlife
post Oct 10 2023, 08:27 AM

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QUOTE(Jingle91 @ Oct 10 2023, 08:08 AM)
Think best is to refer to your DMC. As my one is under strata and it seen like different from yours.

For my one, the developer has it's own property management company, so both are named in DMC. Ultimately it will be managed by the MC. Even if the MC is changed, it shall continue valid for subsequent MC come into the place, no discontinuity.
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Ic. My DMC is between developer and me only. so by rite now developer had passed on the management to residents I dun think this DMC is so critical anymore.

As I said before I only recalled that the developer told me that first 3 or 5 years (could not remember the exact no) I could not modify the exterior by changing colour etc..

I think this DMC is only meant for the developer to restrict the owners doing things that may affect the sales of the houses within that period.

Ultimately, my house is under individual title. Similar to other houses that having the same title, I should be free to do any modification as well.
mini orchard
post Oct 10 2023, 08:49 AM

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QUOTE(Jingle91 @ Oct 10 2023, 08:02 AM)
My apology, I was the one confused. As the power attorney is signed for bank loan, not for DMC.

My DMC did not say that I agreed for foreclosure. It only mention if MC has exhausted all ways listed under the paragraph yet still unable to recover the expenses, I as defaulter agreed that MC has its final discretion to take any action which it think is fit.

But if I need to sell the house, it is my obligation to get new buyer to sign the letter of undertaking from the MC for him to continue follow the DMC and relieve myself from it.
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QUOTE(Jingle91 @ Oct 10 2023, 08:08 AM)
Think best is to refer to your DMC. As my one is under strata and it seen like different from yours.

For my one, the developer has it's own property management company, so both are named in DMC. Ultimately it will be managed by the MC. Even if the MC is changed, it shall continue valid for subsequent MC come into the place, no discontinuity.
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I was surprised when you mentioned foreclosure which is a drastic action and not even provided in the Strata Act.

At most the mgmt can seized the moveable property (tv, fridge, washing machine, sofa etc) of the defaulter to recover the outstanding under the Strata Act but for private DMC, how far can they go to recover is another thing.

As for subsequent buyer under private DMC, the seller can inform the buyer but is not obligated to ensure he sign again. It will be his 'disputes' with the mgmt.

And lawyers won't know the existence of any private DMC in an individual title unlike strata unless it is made known to him and he will then request the seller or his lawyer to provide further info.

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