Newbie questions

[wolverine23]

Ok, seems like it is hard to rush the entire process in Malaysia.... :(

LAwyer told me they can only apply state consent after developer has paid "quit rent"?

What does this means?

I had to sign my spa before I got my loan approval as well because the developer couldn't extend any later. The law firm didn't proceed with the state consent application until I signed the loan agreement. So it may not be faster. But this could just be for my case. I bought Adda heights.

 

[Mingchye]

Ok, seems like it is hard to rush the entire process in Malaysia.... :(

LAwyer told me they can only apply state consent after developer has paid "quit rent"?

What does this means?

Quit rent is like property tax on that piece of land which the property is sitting on. Before the developer can transfer title to you, they need to clear all "debts" and this includes the quit rent. Same thing also next time when you want to sell your house, before you can transfer the title, you must settle all taxes e.g quit rent first before the title can be transferred to your buyer. Cannot transfer title to you means state govt cannot give consent.

 

[Sweeve]

Johor to restrict foreign property buyers

http://sg.news.yahoo.com/johor-restrict-foreign-property-buyers-084104732--sector.html

By Farah Wahida: In an effort to tackle rising housing costs in Johor, the state government will soon review the conditions and procedures for foreigners to own properties within the state, particularly in Iskandar Malaysia.

The State Economic Planning Unit (UPEN) is looking for ways to tighten rules on foreign ownership, said Housing, Arts, Culture & Heritage Committee Chairman Datuk Ahmad Zahri Jamil in a Bernama report.

He noted that housing prices in the state are rising beyond the means of local residents.

"The price of property is determined by the market force. However, the prices also reflect on demand and supply or just because of extreme speculation. So, we have to conduct a detailed study." Farah Wahida Editor of PropertyGuru, wrote this story. To contact her about this or other stories email [email protected]

 

[kongsimi]

Re: Johor to restrict foreign property buyers

third world policies!

what can you expect from third world leadership?

blatant discrimination. got so much lands dun share.

 

[wolverine23]

Why is the developer delaying on payment of the quit rent then? Any way to chase them?

Quit rent is like property tax on that piece of land which the property is sitting on. Before the developer can transfer title to you, they need to clear all "debts" and this includes the quit rent. Same thing also next time when you want to sell your house, before you can transfer the title, you must settle all taxes e.g quit rent first before the title can be transferred to your buyer. Cannot transfer title to you means state govt cannot give consent.

 

[westcoastbay]

I don't know where else to ask this.

Is there a safe place to park the MY registered car near the check points?

Don't have a car in Singapore.

 

[Mingchye]

Re: johor exco to review foreign ownership of houses in johor

This looks like a populist pre-election move to me. Current restrictions seem sufficient and the root cause is probably developers are not building sufficiently "affordable" homes. Why I think the current measures are sufficient? According to the Johor PTG guidelines, link below
http://www.johorebar.org.my/index.p...reign-interests&catid=4:newsaevents&Itemid=10

Based on Annexure II
1) Besides the RM500k limit, foreigners can buy only certain types of housing e.g. at least double storey terrace and above; and
2) Developers can only sell up to 20%-30% of non-bumi residential lots to foreigners. Rest of the non-bumi lots will be up for grabs for Msians only.
3) Bumi quota and Malay reserved land restrictions continue to apply.
4) Foreigners can only buy resale residential units of >RM500k and specific types of residential housing only e.g. double storey terrace and above.

With the above current measures, there are already sufficient controls in the primary market (buy from developer) to prevent foreigners from snapping up all non-bumi residential lots. The root cause in my opinion is when developers decide to focus on the more profitable housing >400k probably in response to market demand and more profits. The state govt should explore and look deeper at this issue instead of blatantly raising the floor limit without understanding the root cause.

 

[FHBH12]

Re: johor exco to review foreign ownership of houses in johor

This looks like a populist pre-election move to me. Current restrictions seem sufficient and the root cause is probably developers are not building sufficiently "affordable" homes. Why I think the current measures are sufficient? According to the Johor PTG guidelines, link below
http://www.johorebar.org.my/index.p...reign-interests&catid=4:newsaevents&Itemid=10

Based on Annexure II
1) Besides the RM500k limit, foreigners can buy only certain types of housing e.g. at least double storey terrace and above; and
2) Developers can only sell up to 20%-30% of non-bumi residential lots to foreigners. Rest of the non-bumi lots will be up for grabs for Msians only.
3) Bumi quota and Malay reserved land restrictions continue to apply.
4) Foreigners can only buy resale residential units of >RM500k and specific types of residential housing only e.g. double storey terrace and above.

With the above current measures, there are already sufficient controls in the primary market (buy from developer) to prevent foreigners from snapping up all non-bumi residential lots. The root cause in my opinion is when developers decide to focus on the more profitable housing >400k probably in response to market demand and more profits. The state govt should explore and look deeper at this issue instead of blatantly raising the floor limit without understanding the root cause.

I think this new control will be implemented but likely only in 2H 2013. Iskandar has just taken off and the government will be careful in sending out messages to investors. I think properties in $500k-$1mil are safe buys because those nearer to $1mil mark will leap across over $1mil, and those nearer to $500k will be pulled along towards the $1mil mark from the vaccum left behind. Inflation and lack of prime land will do the rest to push the prices up 5-10% per year thereafter. Henceforth G&G FH landed near 1st and 2nd link will mostly cross the $1mil mark in 5 years' time.

 

[Funniman]

Sometimes the developer charges the whole piece of land to the banks resulting in encumbrances from the banks in releasing the land for sub dividing. Therefore there would be a delay in issuing separate titles and hence quit rent need not be paid early as the developer has to redeem the master title from the bank first. That's why with the smaller developers, you have to be very careful on their cash flow situations.

Why is the developer delaying on payment of the quit rent then? Any way to chase them?

 

[wolverine23]

Is Country View considered a small developer?

Sometimes the developer charges the whole piece of land to the banks resulting in encumbrances from the banks in releasing the land for sub dividing. Therefore there would be a delay in issuing separate titles and hence quit rent need not be paid early as the developer has to redeem the master title from the bank first. That's why with the smaller developers, you have to be very careful on their cash flow situations.

 

[Mingchye]

Sometimes the developer charges the whole piece of land to the banks resulting in encumbrances from the banks in releasing the land for sub dividing. Therefore there would be a delay in issuing separate titles and hence quit rent need not be paid early as the developer has to redeem the master title from the bank first. That's why with the smaller developers, you have to be very careful on their cash flow situations.

I was just wondering...for foreigner purchase of new properties from developers, if there is delay in obtaining state consent, does that impact Vacant Possession? I dont recall title transfer is one of the condition to satisfy VP. So a house/condo can reach VP and yet the owner still hasnt obtained state consent. Then siao liao lah. Cannot claim for late delivery and yet do not have title to the house/condo.

 

[Marilyn]

've been thinking about moving to JB for a while now, but was afraid to take the plunge. I guess my appearance here today is indication that I am ready to take it to the next level. My JB trips are confined to areas near CIQ only, so I'm not familiar w the places discussed here. I'm looking for a unit not exceeding RM550K, but with a bigger sq ft than my HDB 4-rm. As I'll be on my own mostly, security is a concern. Anyone has recommendations? Pls be patient w a newbie bursting w questions.

 

[FHBH12]

Join me in Plenitude at Tebrau. 15 min by car to CIQ. $540k RM can get a FH double-storey landed (type A). Much better environment that JB city center. Cheers.

 

[Skooz]

Re: Married couple looking to spend CNY arond Nusajaya/HH for 2 nights(Any house/Reso

Hi just to check if spore credit bureau can check our rating in malaysia cant the gov also know our overseas property and for those who bought before the myop isnt it risky in a sort of way if the hdb wants to penalise though it has not been done

 

[Skooz]

Re: Married couple looking to spend CNY arond Nusajaya/HH for 2 nights(Any house/Reso

reading from earlier post if its true that spore n my credit bureau r connected.

 

[Mingchye]

Re: Married couple looking to spend CNY arond Nusajaya/HH for 2 nights(Any house/Reso

reading from earlier post if its true that spore n my credit bureau r connected.

http://www.creditbureau.com.sg/faq_cbsinformation.html
Answer to Q3 says no.

 

[Walker]

http://www.creditbureau.com.sg/faq_cbsinformation.html
Answer to Q3 says no.

Thanks Mingchye for sharing that.

But just beware that some banks may share or get info from their Singapore Branches. :(
For example, I found that Standard Charted Bank application has a clause that allows them to check on SG credit bureau info thru their Singapore branch and give it to the Malaysian side. This info can go both ways so be careful about this.

page 10

 

[cascadia]

I had to sign my spa before I got my loan approval as well because the developer couldn't extend any later. The law firm didn't proceed with the state consent application until I signed the loan agreement. So it may not be faster. But this could just be for my case. I bought Adda heights.

u bought dada height? Is it grey stone?

 

[cascadia]

Join me in Plenitude at Tebrau. 15 min by car to CIQ. $540k RM can get a FH double-storey landed (type A). Much better environment that JB city center. Cheers.

Sometimes Jam 15mins is not possible, go down CIQ jam at Tebrau highway molek that path sometimes even up to carefour bridge, same for going back, jam at pandan interchange plus mount austin. Tebrau area full of ppl and cars and traffic lights....

 

[cascadia]

When you sign the SPA, you paid the downpayment of 10%. In some cases, the refund is done with some sort of penalty and in other cases, you say goodbye..to your property and the money paid. It all depends on your SPA escape clauses.
Banks are normally good towards the developer whom they had agreed to end financing terms and will lend to most buyers.
But the loan is between yourself and the bank, so it is the conduct of your financials that is more important criteria.

If u read the standard SPA clause, it stated clearly that the developer can demand the penalty of 10% of the house price even the loan is not approved or whatever reason to cancel SPA....they got the rights to do so that's why u notice most developer will rush u to sign the SPA first. Some maybe kind enough to say that if ur loan is not approved, they will refund ur deposit, booking fee or so....

But FYI, loan not approved the definition is very subjective, e.g u want to loan 90% but bank approves only 70%, in this case, the loan is still considered approved... Bank will not issue reject letter which that's the developer demands for loan not approved to get refund.... If the banks u apply are their panel banks, even more difficult to get the reject letter....