As pointed out by Muhd Fahmie, once the property is sold, the outstanding amount will be handled/settled between the seller's bank and buyer's bank (which they took the loan from). If the selling price is more than the outstanding loan amount, then the seller is likely to receive a sum (if the deductions such as legal fees, RPGT, and so on, do not exceed the gains amount).
You may get clearer clarity on the selling process and the cost involved from these articles:
Hope this helps.
Team PropertyGuru Read More