20180507 (Mon)
Can you directly proceed to SPA without going to an agent?
Of course you can!!!
The practice of agency is not mandatory. What it means is you can directly transfer your property to someone else without going through the usual selling process. A common occurrence is inheritance or gift. Parents can transfer the ownership of their properties to children or grandchildren without even having a price. In taxation, it is “No gain No loss”. You also can donate your property to a charitable organization without having to go through the selling process. Or in fact, you can sell your property to whoever satisfies your criteria through a public tender. You do not necessarily need an estate agent to do this job. You can any time do your own selling without an agent. As an owner., you have full control of what you do with your property – S.22C of VAEP Act 1981.
In those cases, you proceed to SPA directly. You might tell your buyer there is no need of earnest deposit (booking fee). I want to sell at RM300,000 – one time payment. You get ready whatever loan or cash money, we meet at the Lawyer’s Office. IF the buyer can give CASH RM300,000, or combination of CASH and Bank Loan Guarantee, the SPA is signed.
However, in real life, there are very few who would purchase a property like that! People who has cash RM300,000 probably would NOT buy this RM300,000 property as well. So, you will get people with RM5,000 who says he will ask for a loan of RM270,000, while digging into his saving for another RM25,000.
Tomorrow we continue on this case…