1. What is the purpose of a land search?
The purpose of the land search is to ascertain the details of the property, for instance, the registered owner of the property, whether there is any restriction in interest to transfer the property, whether any charge or private caveat is entered against the property.
2. I am a Vendor, is it necessary for me to engage a lawyer for the transaction?
The vendor may choose not to engage a lawyer for the sale and purchase transaction and engage the Purchaser's lawyer as common solicitor. However, the vendor should note that the solicitor would not be representing the vendor but merely assisting the vendor to complete the transaction.
3. Who are entitled to purchase a low cost property? Are there any criteria for me to purchase a low cost property?
For a person to purchase a low cost property, there are a few criteria to be fulfilled:-
- The buyer is married
- The buyer’s combined salary is less than RM2,500 per month
- The buyer has no other property registered under his or her name
4. What are the differences between freehold and leasehold property?
When a plot of land is disposed by the authority to an individual indefinitely it becomes freehold. he owner has unlimited rights to subdivide and allocate the land, but is still subjected to town planning controls. The owner also has some means to use the land for public works. The State cannot claim the land from the owner if no development takes place.
Leasehold is when State land is released to an individual for a definite number of years not exceeding 999. Once the term expires, the land ownership reverts to the State authority. In order to extend the leasehold, the current owner must apply for a renewal before the expiry date. In Malaysia, Leasehold tenures usually last 30, 60, 99 or in some cases, 999 years.
5. What is private caveat? Am I compelled to lodge a private caveat on the property?
Private caveat is a formal legal notice to the world that you have an interest in a particular property or land. By lodging a private caveat on the land, you get to secure your interests by preventing any dealings by other people on the land or property.
6. Can I purchase the property using Employee’s Provident Fund (EPF)? How can I withdraw it for the purpose of buying the property?
Yes. The purchaser may apply to withdraw the EPF for the purpose of purchasing a house. The purchaser has to provide the signed sales and purchase agreement and make an application using form KWSP 9C.
7. I would like to renovate the house before the transaction is completed, can I do so?
Yes. The purchaser may request for an early vacant possession from the vendor, subject to the agreement by the Vendor before the signing of the sale and purchase agreement.
8. I have an existing tenant in the property, can I still sell the property with the existing tenant?
Yes. The tenancy of the property would be noviated together with the property itself to the new purchaser without a vacant possession.
9. I am selling a condominium and the strata title of the property has not been issued by the developer yet, am I allowed to sell the property?
Yes. The transfer would be by way of a deed of assignment as well as a notice to the developer on the assignment to the new purchaser. Once the strata title of the property has been issued, the developer would then conduct the perfection of title and register the name to the new purchaser.