Key Learnings - Lawyers Lesson 4 (Continue)
Hi all,
Welcome to my third and last installment on Lesson 2. This last instalment is on the Land title transfer charges as well as tranferring the Title Deed to the bank as charge.
- Lesson 2.3 - Title Transfer
Land Title transfer is the most important as well as the most expensive legal process in your home buying process. It involves the division of the Master Title (as held by the developer) into individual land titles/deeds for the individual house buyers.
For the case of Condominiums/Apartments or Flats, individual Strata titles will be issued to all house buyers of the mentioned property.
In Malaysia, individual property owners would need to pay a Stamp Duty on the Title transfer. The total stamp duty is calculated based upon the purchased price (Price as documented in the SnP Agreement) and the amount payable can be calculated using the guidelines below
- For the 1st RM100,000 –> 1%
- For the next RM100,000 to RM2,000,000 –> 2%
Take for an example a property worth RM300,000. The Stamp duty for the title transfer will amount to almost RM5000.
As for the lawyer fees for this process, typically you will have to fork out roughly ~1/3 the amount that you have paid for your SnP Lawyer fees earlier.
Having Individual or Strata titles as soon as possible is important for your real estate investments. These titles allow you the full flexibility of selling and refinancing at your convenience. As such, my advise, get your land title assign to your name as soon as possible 
Tags: Lawyer, Lawyers, Land Title Transfer Charges, Title Deed Transfer, Stamp Duty, Strata Title, Malaysia, Home, Property
A Lelong property without land title because the developer had gone on receivership.
what is the implication for buying properties that is without land title.
Thanks
Hi SG,
I would stay away from properties without Land titles.
Without the land title of the house under your name, bankers would find it very hard to refinance the said property. You would even have to fork out extra money to hire your own solicitors to work with the land dept to generate the land title for you. A process which would take years knowing the efficiency of our State Land Depts.
Do note, that future buyers may be turned off by the fact that the property is without title.