Without Strata Title

Notice some of the high-rise building have not obtain their strata title under the stipulated time. Actually, the developer/landowner must submit the strata title application within six months after the CF was issued, or six months after the SPA if the agreement was signed after the CF was issued.

Failing which, developer/landowner is subject to fine btw RM10,000 - RM100,000 under Section 8 (5) of the Strata Title Act 1985. Besides that, daily fine of Rm100 or RM 1,000 could be imposed for the each day of the offences.

However, slow processing of the National Land Council causes most of the delay of issuance of strata title.

Bear in mind, Without strata title there would be problems related to the selling and buying of the property, transfer of titles, mortgage and estate distribution.

I would say don’t buy property without title as to avoid unnecessary headache.

Complaint Channel to Developer

Usually, once you obtain your key during vacant possession to inspect the house defect, then, you will pass the list of defect to developer to carry the repair within 18 months time. The problem raise from here, What if developer reclutant or refuse to carry out the repair, you can go ahead and make the repairs and recover the cost from the developer. This is provided you have informed the developer of the cost of repairs and given him an opportunity to carry out the works himself. (Served an advance notice to developer as proof)

If the developer refuse to pay you back later, ok, fine.. the below is the contact for you to seek for legal advice from local authority to file a case to them.

The Secretary
Tribunal for Homebuyer Claims
Ministry of Housing & Local Government
Level 2, Block B South
Pusat Bandar Damansara
50782 Kuala Lumpur
(03) 2092 4488 or
(03) 2099 8389/8402 (Hotline)
Fax: (03) 2093 4776
E-mel: tribunal@kpkt.gov.my

Besides that, some term and condition are applied. You can also seek their advice before hand as to push the developer to carry out their duty accordingly.

To avoid this kind of messy steps, prevention is always better than cure, so nowadays, buyers always seek for Good Reputation Developer as to prevent the above incident happen on their loving house, even though sometimes it is slightly more expensive than market price, it is still worthy and its produce is definitely value for your money.

Home Loan Pitfall

Usually, most of the home loan packages in the market are having a minimum bonding period of 5 years. This is to protect bankers to earn back the expected revenue at the end of any early loan settlement from the borrower.

Of course, there are still some of the home loan packages which is NO Bonding Period constraint at all. No doubt such packages the interest rate will be higher.

The bonding period mostly is start from the date of full release of loan, but recently i notice some of the banks also offer to start calculate the bonding period from the date of first disbursement of loan.

Both packages are offering a good deal to borrower, however, the MAJOR difference here is the date of the commencement of bonding period. I am ok with the latter, but i have doubt on the former ( begin on the full release of loan ). For instance, under construction property usually it takes about 24/36 months, then plus 18 months for the last 2.5% of loan to be release at the expiry of defect liability period (after vacant possession issued). So it total up with 36 months + 18 months + 5 years (min bonding) = 9 years 6 months. Friend it is a decade of loan tenure before you can fully settle your loan without penalty, or looking for refinance.

This can make a huge difference and big gap in loan tenure, as refinance and help you to save up a big sum in interest and shorten your loan repayment.

Think twice and select carefully. Don't fall in this pitfall.!!

Source for Home Fund - HoMe Loan

A lot of people doesn't really understand their capability/affordability of purchasing a house. For instance, a house/ apartment which sells at Rm 100,000.oo, a layman will shout, " I don't have Rm 100,000.00, How to buy that property?!" why i call him as layman, cause only layman will give this kind of answer. Friend, there is always a legal clue that you can resolve this monetary issue, provided you know how, but of course definitely moaning at sky is not going to work!

Why i want to stress on "Legal" clue? Simply because illegal wise, you can rob a bank and like what newspaper shown recently grab the entire ATM, or with lesser risk - borrow money from "Ah Long" (Illegal Private bank or Financial Support Instituition with no gurantee, P & C for individual particular, no deposit, fast approval, etc - sound professional , right? but don't ever think of them, there will be a continuous nightmare for you, if you have selected them.) The best Option here i would like to recommend to you is BANK.

In fact, Bank is a legal option for you to loan your money. Then, a someone may ask which bank? Here, i tell you, any Bank will do, let 's me name a few for you, local bank will be Maybank, Public Bank, Hong Leong Bank, BumiPutra Commerce, Ambank, etc and Oversea bank will be Citibank, United Oversea Bank, HSBC, etc.

All the Banks above provide Home Loan Product to the consumer. Of course some of the term and condition need to be complied. Every bank has it own loan packages which are readily designed to suit for various range of consumer from poor to rich or from short term to long term.It depends on individual needs and accommodate to your financial status. Who know well on your financial position, ONLY yourself. So understand your own financial position and cash flow or even forecast your cash flow will help you to make a better choice in loan package selection.

Always remember, all banks are passionately welcoming to assist you in loan application as the loan department crew will explain all single detail to you while you approach them. What is the risk of making an enquiry at the bank? Police will not arrest you, you are not robber! Why want to risk your life and future, while there is a better channel awaiting for you. So Think out of the way, You can also own a House with a small little sum of money! May be only as little as 10% of the house price or even lesser, so stop moaning at the sky and visit my blog will let you know more. Find out more over here.