
Let’s make the process as smooth and fun as possible! From figuring out your Property’s value to signing the Sale and Purchase Agreement, we’ll walk you through each step.
Buckle Up!
1. Assess Property Value
Research the market value of the property you are planning to sell. Some factors that would play an important role in determining your Property Value are the location and the value of the properties in the neighbourhood.
Some of the best ways to assess your Property Value are by hiring a professional, like a Professional Valuer. To verify your professional valuer’s credibility, make sure he is registered with the Board of Valuers, Appraisers, and Estate Agents Malaysia (BOVAEA).
2. Selling Price and Negotiation
Upon taking advice from all the professionals you work with and researching the buying sentiment in your area, set a selling price. Be mindful of other competitors out there. You have to reach a price that is a bit lower than your competitors to attract buyers.
3. Lawyer
For the transfer of ownership, engaging a lawyer is needed. (You thought could complete the whole process without us, didn’t you?)
It would be highly recommended that you hire a lawyer from the beginning of this journey, as there will be a lot of documentation involved.
In relation to legal fees, the Solicitors’ Remuneration Order 2023 should be referred as the fee is standardized as below:
Value | Scale Fees Under SRO 2023 (%) |
For the first RM 500,000 | 1.25% (subject to a minimum fee of RM500) |
For the next RM 500,000 | 1% |
For the next RM 2,000,000 | 1% |
For the next RM 2,000,000 | 1% |
For the next RM 2,500,000 | 1% |
For the next RM 7,500,000 | Negotiable on the excess but shall not exceed 1% |
4. Letter of Offer
Once an agreement has been reached, then the Purchaser would have to sign the Letter of Offer and pay an earnest deposit (2% - 3%) of the Purchase Price.
To know more about it, head to our website and read the article titled: Mastering Sub-Sale Procedures: Convincing Advice for Trouble-Free Real Estate Deals (Part 1)
5. Signed and Purchase Agreement (“SPA”)
After the earnest deposit is paid by the Purchaser, the SPA can be signed. At this stage, the Purchaser pays the remaining 10% of the sale price.
To know more about it, head to our website and read the article titled: Mastering Sub-Sale Procedures: Convincing Advice for Trouble-Free Real Estate Deals (Part 1)
6. Property Transfer
After the Sale and Purchase Agreement has been signed, it is now depending on the facts, the completion could take between 3 - 6 months. And, till then, the property would successfully get transferred!
7. Other Financial Obligations
Lodging a caveat is only applicable for Malaysians.
You might be under an obligation to pay Real Property Gains Tax (RPGT), the rates are as below :
Year | RPGT (%) |
Within 3 years | 30% |
4th year | 20% |
5th year | 15% |
6th year onwards | NIL |
And, just like the Weasley twins’ wildly successful business, you, too, can achieve a seamless and profitable property sale. Follow these steps, and watch the magic happen! Happy selling!
For more information about Sale and Purchase Agreement and to request a free quotation for a Vendor's legal fees from us today, please feel free to click this link: https://wa.me/60182886525 or contact us below:-
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Website: www.dwc.com.my
Messrs. Donny Wong & Co.
📌:D2-U1-3 & 3A Solaris Dutamas (Publika), No. 1, Jalan Dutamas 1 50480 Kuala Lumpur
📞: (Conveyancing & Banking) +6011 1628 1943| +603 6420 1294
(General) +6018 288 6525
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Legal Disclaimer
We trust that you have gained some information from this article. If you have any specific questions related to this article, please contact us at askdwc@dwc.com.my.
The article posted is for general information purposes only and should not be construed as legal advice. Facts and circumstances differ from case to case. Please consult your lawyer for specific legal advice and action to be taken.
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