| 6 Things to watch out during auction! |
| By Lim Boon Ping,
on 01-03-2009 23:38
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Views : 36789 |
Favoured : 289 |
Published in : Tips & Advices, Auction |
(1) Always READ the Proclamation of Sales (POS) carefully, as it will denote few important details such as :
- the earnest money payable to
- terms and condition
- who's paying the maintenance fees, sinking fund,indah water (IWK), assessment and quit rent and utility bills owed?
(2) Watch out for syndicate
- don't worry about them, just ignore them and make your bid, they are NOT genuine bidder
(3) Watch out for timing
- especially for highcourt cases, always make sure your solicitor can complete the transfer within the prescribed time, usually 90 days or 120 days, if not, your 10% earnest money will be forfeited without questions
(4) Watch out for *caveat*
- always do a title search before auction date, should u find any caveat lodged against the property, the BEST way is to buy CASH. If you are thinking of getting partly funding from the banks for the caveated property, think twice.
(5) Watch out for the previous ownings
- always check and verify the prevous owner's owning to the Management Corporation, Indah Water, assessment , quit rent and utility authority.
- In most cases, the bank will be responsible to maintenance fees, quit rent and assessment,however, this is not automatic, please always check with bankers or POS.
(6) Auction property is always sold without vacant possession
- it simply means that it the property is tenanted, you got to let the existing tenant to continue occupy the premises until the end of the tenancy period, however, i would always advise you to sign a brand new tenancy agreement with the tenant.
Last update: 06-03-2009 10:31
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| Malaysian Institute of Estate Agents (MIEA) |
Unlike Bar Council for lawyers or MIA for the accountants, MIEA doesn't act like a regulatory body for Registered Estate Agent (REA). However, as a proud member of MIEA, i'm happy to say that it does provide a platform for ALL REAs to come together to lobby for our rights and welfare for the same industry.
I salute to all national councillors, whom have been sacrificing their time and efforts for the Institute, even when they are always on the receiving ends of various critics/comments from members. I must congratulate you all for your patience and hardworks, for making the 2007 MIEA National Convention a great success.
Our industry are in need of MORE dedicated and diligent personnels like YOU to join MIEA, to jointly enhance our service quality and to lobby the rights and welfare for the Registered Estate Agents.
Feel free to visit MIEA's website, i.e. www.miea.com.my.
Last update: 01-03-2009 23:35
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| General info on property auction in Malaysia |
| By Lim Boon Ping,
on 01-03-2009 23:34
|
Views : 33906 |
Favoured : 243 |
Published in : Tips & Advices, Auction |
There's basically 2 types of auction in malaysian property industry, i.e. the more popular public auction due to default payment with banks and also auction arranged by individual owners.
(1) Public Auction due to default payments with banks
Frequently called as highcourt auction as the majority of public auctions are always handled by highcourt. In actual fact, it can be done through highcourt, land office and also by the banks respectively.
Due to the problems in late issuance of subdivided/individual titles in recently years, there is 2 types of public auction emerges, i.e. LACA cases, which refers to property without individual title issued, and Non-LACA cases, i.e. property with individual title issued. The former ones are normally conducted by each individual banks and always in bulk sales, like what you can see these days where the banks are auctioning away 200 properties in one single day. The latter however is the conventional auction through highcourt and landoffice.
(2) Auctions conducted by private owners
This is merely one alternative method of selling your property as compared to private treaty and tender. Normally through the assistance from the lawyer and registered estate agents, the owners can opt to sell their properties through public auction. The procedure is somewhat similar to those from the banks, only that it's not what we would call a *fire-sale* property. In overseas like Australia, New Zealand and United States of America, this has proven been one of the best method of selling in getting the best price of the property in shortest time period.
Last update: 01-03-2009 23:34
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| Tenancy Law - fire insurance |
One of our client's tenanted factory has recently got burnt down, and he isn't covered by fire insurance! He suspected it was an act of arson by someone he knew, and he asked me for advice.
First thing i told him, go to a lawyer for professional advice. To my best knowledge, this is what he can do:
(1) Report police and let the police the investigate the cause of fire
(2) Cancel the existing tenancy, and full refund the deposits collected as the building has already become unfit for occupancy
(3) Fork up own money to repair/rebuild the factory building
(4) Should the police found any evidence of arson and suspect, you may then sought legal advice on the possibility of lodging a civil suit against the offender asking for compensation. Can you get back the compensation from that suspect? More often not, nobody can give you a definite answer.
All property are made compulsory to renew fire insurance by the financial consitution if your property is still charged to the bank. Problems occurs when the owners has finished pay up the owning and the property becomefree of any encumbrances, many owners from then on forget to renew their fire insurance on a yearly basis.
Did you find the above tedious especially when it comes to getting compensation? Yes, they are very tedious, so, PLEASE ALWAYS PURCHASE AND RENEW YOUR FIRE INSURANCE AGAINST YOUR BUILDING EVERY YEAR!
Last update: 01-03-2009 23:33
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| How do you identify a Registered Estate Agent? |
To answer the questions i posted yesterday, i'm going to share with you few easy steps to identify a registered estate agent (REA):
(1) Namecard
- identify their position, if it says negotiator, it means he/she is a real estate sales person engaged by a REA, if it says principal, meaning he/she is the license holder themself.
- Check their E Number. Basically in this industry, we are made compulsory to put in our company registration number under Ministry of Finance, which we call E number. There are 2 types of E numbers you may find, i.e. one company E number (e.g. E(3)0077 for Tiram Realty) and also personal E number ( e.g. E1690 for Lim Boon Ping).
(2) Call the office
Do call up the office number on the namecard to verify the personnel is the actual employee from the real estate agency
(3) Search the E number with the Board of Valuers' Website
You can always do a Search for E number for verification at the Board of Valuers's website, i.e. www.lppeh.gov.my, as some registrant's licensed might have lapsed or suspended for many reasons.
Whenever you deal with a registered estate agent or negotiator, ALWAYSwrite your cheques in favour of the COMPAMY'S NAME only. I repeat,NEVER write your cheques, be it earnest money, commission or other kinds of payments related to the transaction in favour of PERSONNAL NAME, this is to safeguard your interest and to ensure all your money is well indemnified by the insurance company.
Last update: 01-03-2009 23:31
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