Guidebook on Registering Property in Malaysia.pdf
Guidebook on Registering Property in Malaysia.pdf
Guidebook on Registering Property in Malaysia.pdf
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GUIDEBOOK <strong>on</strong> REGISTERING PROPERTY <strong>in</strong> MALAYSIA• The Redempti<strong>on</strong> Statement will specify the Redempti<strong>on</strong> Amount and the deadl<strong>in</strong>e for payment.• Johari’s bank will impose nom<strong>in</strong>al charges for the issuance of the Redempti<strong>on</strong> Statement.This request is normally made after Hakimi has obta<strong>in</strong>ed his loan.PartiesBankProcess• Receives letter request<strong>in</strong>g for redempti<strong>on</strong> statement• Checks account status• Checks system for legal f<strong>in</strong>ancial status of customer• Cross references with the security document* <strong>in</strong> regardsto the property descripti<strong>on</strong>• Computes redempti<strong>on</strong> sum• Issues redempti<strong>on</strong> statement• Debits account for service charge31Lawyer (act<strong>in</strong>g for the seller /f<strong>in</strong>ancier) and Seller• Lawyer receives letter• Seller receives c.c. letter together with debit adviceDiagram 10 - Obta<strong>in</strong><strong>in</strong>g Redempti<strong>on</strong> Statement In Straightforward Cases*(This security document will be different for cases <strong>in</strong>volv<strong>in</strong>g property with title).Before Hakimi’s Bank releases Hakimi’s loan, Hakimi is to settle the difference between thepurchase price and Hakimi’s loan (Differential Sum).In Hakimi’s case, if the loan is RM 200,000.00, the Differential Sum is RM 52,000.00 as derivedfrom the follow<strong>in</strong>g calculati<strong>on</strong>.Purchase Price RM 280,000.00Loan Amount Less (-) RM 200,000.00Deposit Less (-) RM 28,000.00Differential Sum RM 52,000.00