I just bought a house and it’s due to be done in late 2025. Due to unforeseen circumstances, I would want to sell the house away.

I have already signed the S&P so what can I do about it?

Discuss your available options with the developer.

If they allow the purchaser to terminate, then no further advise needed. Just accept whatever terms for the termination since the purchaser is at fault and normally is no refund of money paid.

This post has been edited by mini orchard: Oct 16 2023, 06:18 AM

have you signed the loan agreement? if yes, then that will be harder as you need to serve the loan :X

Can share which property?

study your SPA carefully. there is a termination clause. penalty or not, depending on the % billed to date.
good luck!

If its under HDA scheme, usually if the construction of under 50%, a penalty of 10% SPA Price will be charged. A 20% SPA price will be charged for construction which has already gone pass 20%.

From what I know you can talk to developer to tell them your ongoing situation, I don't think they will be that harsh to put such heavy penalty on you. It's all up to the discussion between you and developer. I'm sure about the loan part though, because usually there will be a lock-in clause (unless is islamic loan).

Do check with your banker on what are the charges. Good luck to you and may your path be easier from thereon. Cheers!

If < 50% construction = 10% charged.

If > 20% construction = 20% charged

Isn't 20% to 49% less than 50% ? 🤔

This post has been edited by mini orchard: Oct 16 2023, 12:16 PM

normally, will be forfeit 10 % of what ever you paid...it is better u get the house,direct sell once u get the key.

Loan disbursement status? Hda?

This post has been edited by jojolicia: Oct 16 2023, 05:08 PM

Haha sorry my bad, typo. Its >50% then charges 20%

How if is construction at 20% , forfeit 10%? But developer first spa is rebate 7% and need pay 3% during sign spa, is it means forfeit the 3% I have paid + 7% rebates total 10%?

Theoretically correct. They are supposed to collect 10% down-payment from you ma haha. But idk what will happen la in real-life situation. What I know is the freebies like free SPA & Loan legal fees they will ask you to bear it as well, so you'll get an invoice from them for the total lawyer costings plus some miscellaneous charges.

I think I misunderstood you by a bit. By right they should receive 10% of SPA price from you, but they only collect 3%, the 7% is discount ma. I think they can demand you for the 7% (because you can only show proof that you paid 3% to them), but if you talk nicely to them I don't think they are going to do that la given the situation. Unless u barge into their office lcly like that

thanks, now waiting 2B, bank havent draw down any money yet, if wan cancel means have to do it before bank draw down right? after bank draw down can't cancel anymore? or i can try this way? go make all my credit cards use exceed 100% limit, before draw down they sure check ccris, after see all cards exceed 100% limited will they will stop my loan? then ill cancel due to this reason bank stop my loan should be good reason to cancel without penalty much

Drawdown is based on the construction progress. They don't really care about your financial status after you have signed the papers. The penalty that I mentioned is between purchaser and developer. For loan part I think is still possible to do cancellation, but there will definitely be another story and another chunk of penalty as well. Never wanted to try this. Maybe some sifus here have gone through this path can enlighten us as well.

so how ah