AskGuru Q&A Community

Hi Orange,
1. Make sure you are dealing with the registered owner or agent authorized by registered owner before you make any payment. It is best to pay to an authorized agent rather than the owner, if the property is still charged to a bank just to make sure the loan outstanding by the Seller is not more than the selling price. If the loan amount is more than the selling price then rightfully every single cent need to be paid to the bank and subject to bank approval. The common earnest deposit to book the property is 3% of the agreed sale and purchase price.
2. Willing buyer and willing seller at arm's length transaction determines the market value. The bank however will sought the advise of a registered valuer to determine the market value of any property and sometimes the valuer will value lower or than the S&PA price depending on the type of property, location & market trend etc. The bank will use the S&PA price or valuer's opinion whichever is lower to determine the loan amount to minimize the bank's risk and loan exposure.
3. The 100% loan only applies to the My First Home scheme for qualified individuals and married couples. You may technically be able to get 100% loan if you are buying a property way below market price. However, you still need to prepare money for initial 10% down payment to sign S&PA and lawyer fees & stamp duties.
David Wong (tel:+60193330573)
Principal
QUANTUM real estate
www.quantumrealestate.com.my Read More