Banks should assist homeowners to get their strata titles

Get Strata Title in Malaysia 2020

Source from : https://www.nst.com.my/property/2020/02/569609/banks-should-assist-homeowners-get-their-strata-titles-says-rehda. Reported by : By Kathy B. – February 27, 2020 @ 1:18pm

The Real Estate and Housing Developers’ Association president, Datuk Soam Heng Choon said banks and homebuyers must play a role to make sure the title is transferred. Soam said, when the title is out, the banks must “perfect the charge” over the legal document, that is, make the transfer to the rightful owner. “By doing this, nobody can play around with the title. Otherwise, there is a piece of title which is free from encumbrances running all over the place,” said Soam.

Soam told NST Property that Rehda, he added ” If the buyer can’t afford to come out with that bulk of the money to pay the stamp duty, what the bank can do is add that amount on to the loan and defray it over the loan payment. Without the title, how confident are you that the developer won’t take the title and do anything about it? “

There was a case whereby someone bought a landed property with cash but did not collect the title. Years later, a certain individual from the developer’s office took advantage of the situation. He took the title and used it as an instrument of charge to the bank to get a loan without the buyer’s knowledge. When the buyer started asking for the title, that individual said no title has been issued for the property. The buyer got his lawyer to do a search at the land office and discovered that the title had been charged to a bank. So if you don’t get the strata title, somebody at the developer’s office can misuse it.