1. Check your financial profile using the CTOS report ( Get it from the CTOS company). The CTOS report will show CTOS and CCRIS reports, which helps check the loan eligibility.
2. You can do your loan eligibility calculation ( if you know how to do it), reach out to the banker or us, and we help you calculate for FREE.
3. After you know the loan eligibility, you can start surveying for the right property at the right price.
4. Do some due diligence by checking the title copy; it best to do a land search on the property first. Also, check the market value before putting down the booking or house deposit. If the property still under the master title, you need to check whether the developer is active.
5. Before placing the deposit, negotiate all the terms ahead with the owner or agent. If the owner agreed on the terms, make sure to be written on the Offer to Purchase (OTP) and signed by the owner, agent and you.
a. One of the terms you should negotiate is the duration when you should sign the Sale and Purchase Agreement (SPA). The standard Offer to Purchase (OTP) usually will write 14 or 21 days to sign SPA. You want to get the most prolonged time considering the current situation with Covid and MCO. And the “21 days” should be changed to “21 working days”, which not including Saturday, Sunday and Public Holiday.
b. The second term is that you need to add this additional clause to secure your deposit.
” In the event of the loan is rejected for whatsoever reason, or reduce to less than 90% margin from the Purchase Price of RMxxx, xxx, and the Purchaser decided not to proceed with the transaction, the owner and agent will refund the deposit RMxxx within three working days.”
6. After the due diligence (work on market value and land search), you can pay the 3.18% deposit to the agent’s property company or lawyer. Not to the owner or property agent individual name; it shouldn’t be under a personal name.
7. If you are directly deal and comfortable with the owner, you can pay as low as a few hundred to RM1000 to the owner first and get a sample of OTP and let the owner sign. Meanwhile, the owner should give you his SPA and Title copy. Title copy is a must if the individual and strata title has issued.
8. After paying the deposit, you should get a copy of the booking receipt or Offer to Purchase (OTP) for proof of deposit payment and the bank’s application.
9. Get ready all the loan application documents and submit them to the banks for approval. The loan approval takes typically about seven working days, but it still depends on your profile and the completion of the documents. You are advised to apply at least a minimum of three banks for comparison.
10. After the bank’s loan approved. Choose the SPA and Loan Lawyer. Once you have decided that. Compare and choose one bank to sign the letter offer.
11. The SPA and Loan Lawyer will prepare the SPA and Loan documents to sign. Attend the signing once the papers are ready. Do not delay it during signing pay the balance deposit of 10%.
12. After that, the lawyer will do the works until the loan is disbursed to the seller’s bank and the owner.
13. When 1st disbursement release, your instalment will start shortly after that. Don’t forget to pay your instalment even though you haven’t get your keys.
14. After the 2nd disbursement, you will get the new house key and make sure to change all the utility bills name to yours.
15. Buying a sub-sale house usually based on an “as is basis”, which means what you see is what you get. You can’t ask the owner to repair the house after receiving the keys unless you have stated in the SPA.
16. Start your house renovation and enjoy the new house.
Have any further question? Call Us: 012-6946746 (talk to Mr. David)
Whatsapp Us : https://wa.me/+60126946746
LIKE, SHARE & FOLLOW US!