Have you ever lost Sale and Purchase Agreement or Property Title? If you do, this article might be useful for you.
Everyone will come to a certain point in their life that they want to own a house.
So, when you buy a house, you will enter an agreement with the seller or developer.
You will sign an agreement called the Sale and Purchase Agreement (SPA).
Usually, you will sign the Sale and Purchase Agreement with the SPA Lawyer.
The SPA lawyer will get both sides, The Seller and The Purchaser, to sign the Sale and Purchase Agreement.
So this transaction can happen simultaneously or separately.
Maybe the seller will sign first, or the next day the buyer will sign. So it depends on the arrangement with the SPA lawyer.
Sometimes, some law firms go the extra mile by coming to you for the signing. Anyway, it is based on the arrangement.
Once both parties have signed the Sale and Purchase Agreement, the lawyer will get the documents stamped at the stamp office.
Stamp office is part of the Inland Revenue Board of Malaysia. And stamp duty is part of the government revenue.
The law firm usually will hire someone to get the Sale and Purchase Agreement stamped.
Typically, at least one original will be stamped together with three copies.
The original will be for the bank to keep, then the Purchaser has one copy, Seller has the other one, and last is the lawyer to own one.
So, everyone should have one copy.
The problem that usually happens is:
- Once the SPA is stamped, the Law firm doesn’t forward it to the respective parties.
- Or the respective parties don’t bother to request the documents from the law firm. In the end, the client doesn’t have a copy.
What if you don’t have the SPA or lost the Sale and Purchase Agreement?
THE BANK
Well. For a start, you can request a copy from the bank. Normally, the bank will charge a certain fee. Maybe around RM50-100.
THE LAW FIRM
Or you can go back to the Law firm and request a copy. The law firm might or might not charge you. It depends.
If your transaction has been completed for many years, it will take a long time to retrieve the documents.
This is because the bank and law firm have a storage facility somewhere. And it will take time to find old documents.
Also, the law firm usually doesn’t keep the documents for a very long time.
Did you know?
Once you have fully paid up the loan, you should retrieve the original document, including the Original Sale and Purchase Agreement or title copy.
The process is called the Receipt and Reassignment (master title property) or the Discharged of charged (with individual or strata title property) process.
If you don’t do this process, your documents will be sitting in the bank, and your house will still be mortgaged to the bank.
What if you lost the property title copy?
If you have misplaced your property title copy and the property is still charged to the bank, the process is the same as above.
You can request a copy from the Bank or the Law firm.
As long as you still owe the bank, the bank keeps the original title.
What should you do if you have fully paid up the loan and lost the title copy?
Well. For a start, you need to find out your title no, Daerah, Mukim of your property, and then you can go to the land office to do the individual search to get the title of your house.
You can refer to your cukai tanah or cukai pintu for the title details.
Once you have the details, try to find out the land office that handles your property.
Give it a try by calling the nearest land office and giving your property details. They might be able to point you to the proper land office.
After that, walk into the land office and mention that you have misplaced the property title and would like to retrieve a new one.
The land office officer will give you a form and a few documents you need to prepare before requesting a new title.
After that, just wait for the new title.
Alternatively, if you are lazy or busy getting a new title, you can always hire a law firm to do it for you.
They will charge a small fee, but it hassle-free.
Words of advice
Once you have signed the SPA, please don’t forget to reach out to the SPA lawyer and get a copy of the SPA or title copy from them.
If you have paid the stamp duty, please do keep it properly. You will never know when you will need it.
Many years ago, there was a case where the Inland Revenue argued that the client hadn’t made payment for the stamp duty.
Lucky enough, the client keeps the payment receipt and can prove it. And the case was settled.
But what if she doesn’t have the payment receipt?
What if the inland revenue asks her to pay again?
Can you imagine?
Stamp duty is not cheap.
It is the most expensive cost when buying a home.
So, do your math.
In conclusion, do not lost your Sale and Purchase agreement or Property title. Always make sure you have all the documents and keep them well. You will never know when you will need it again.
I hope this article is useful.
If you have any further questions, please feel free to reach us at +6012-6946746.
Before you go, you might want to read this.
Hidden Cost Of Buying A House In Malaysia
https://malaysiahousingloan.com/hidden-cost-of-buying-a-house/
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