Guide for Sellers
Selling your property on your own can be easier than you think. This guide will take you step-by-step through the entire process. By choosing to sell without an agent, you can save up to 3% in commission fees, keeping more of your property's value in your pocket.
Get Started to Post A Listing ❯❯A trustworthy lawyer is essential for both buyers and sellers to handle the legal aspects of a property transaction. It's advisable to identify a legal firm early in the process to ensure a smooth sale. Seek advice from a lawyer whenever necessary. This step is important for Step 7, too.
While engagement isn't mandatory at this stage, it's recommended to shortlist several firms and inquire about their services and fees.
The following directories are for your reference.
To attract potential buyers, you need to price your property competitively and realistically. Factors such as the market value of comparable properties, your selling urgency, the demand and supply in your area, and the condition of your property would influence your pricing decision.
One effective method is to reference similar property listings, set your price, compare it with market prices, and determine a fair price that aligns with both your needs and market standards.
Photographs play a crucial role in making a strong first impression on buyers. Showcase your property's potential with high-quality images. Thanks to modern technology, capturing stunning photos with a mobile phone is easier than ever.
Remember three key words: "clean, bright, horizontal." Ensure your property is clean and well-lit for optimal results. Whenever possible, capture photos horizontally to showcase the property effectively.
Please refer to the attached guide for tips and techniques to improve your photographs.
Start by posting your property on REALE. Simply fill in the required details and upload clear photos of your property.
How to post a listing? ❯❯Let potential buyers experience the property firsthand by arranging property viewings. Highlight its unique features and answer any questions they may have. Make sure the property is clean, well-maintained, and presentable.
Reminder: For your safety, it's recommended to bring a trusted friend or family member to the viewing and always inform someone about your plans and schedule.
SwiftAssist
We understand that sometimes busy schedules can clash with potential buyers' viewing times. Our SwiftAssist is here to help.
What is SwiftAssist? ❯❯If both parties agree to proceed with the sale, you need to sign an "Offer To Purchase" (OTP) agreement with the potential buyer. The OTP serves as a legally binding contract outlining the terms and conditions of the sale. You may find the attached sample for your reference, but it is advisable to consult your lawyer to customize the agreement to meet your specific needs.
(Note: Members who have posted a listing on REALE can download the soft copy of OTP Template from the Help Center.)
Upon signing the Offer to Purchase (OTP), it is customary for the potential buyer to pay an earnest deposit, typically 2 - 3% of the purchase price. Please note that:
- It's usually refundable if the buyer's loan application is rejected by the bank(s).
- Usually, if the buyer backs out of the transaction for reasons unrelated to loan rejection, the deposit will be forfeited.
- If the seller terminates the transaction after collecting the deposit, the seller must compensate the buyer with an amount equal to the deposit. For example, if the seller collected a RM5,000 deposit, the seller will have to pay the buyer RM10,000 in total (RM5,000 deposit collected + RM5,000 compensation).
To ensure transparency and protect the interests of both parties, it is recommended that the deposit be made payable to your Solicitor, who will hold it in a dedicated client account.
Please note that:
(1) Solicitor to pay interest on monies held as a stakeholder
Where an Advocate and Solicitor holds money as a stakeholder (whether or not such money is paid by a client of the Advocate and Solicitor) the Advocate and Solicitor shall pay interest in accordance with the Solicitors' Accounts (Deposit Interest) Rules 1990, to the person to whom the stake money is paid unless otherwise agreed.
(2) Fee for acting as a stakeholder
A Solicitor is entitled to charge a fair and reasonable fee for acting as a stakeholder.
Malaysian
Bar - 14.10. Stakeholder
It is recommended that you talk to your Solicitor about this arrangement, especially if you plan on using their services for legal documentation associated with your transaction.
Once the buyer secures loan approval from the bank, you may proceed with the Sales & Purchase Agreement (SPA) and other legal documentation as advised by your Solicitor.
Other Information
Effective 1 January 2019, for disposals of assets acquired prior to 1 January 2000 by taxpayers categorized under Part 1 of Schedule 5 of the RPGTA (which includes individuals who are Malaysian citizens), the acquisition price will be deemed to be the market value as of 1 January 2000.
Effective 12 October 2019, for disposals of assets acquired prior to 1 January 2013 by taxpayers categorized under Part 1 of Schedule 5 of the RPGTA (which includes individuals who are Malaysian citizens), the acquisition price will be deemed to be the market value as of 1 January 2013.
Malaysian citizens may refer to Part I Schedule 5 RPGT Act for the rates.
On average, expect the process to take anywhere from 3 to 4 months, potentially longer if consent is required from the authority. The attached timeline breaks down the key stages and average durations for your reference.
Disclaimer: The information provided in this guide is intended for general informational purposes only. It is not intended to serve as legal or professional advice. Please consult with appropriate professionals, such as lawyers or financial advisors, for any specific circumstances or concerns. We disclaim any liability for actions taken or not taken based on the information provided herein.