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Property Agreement Contract for Malaysia

Property Agreement Contract Template for Malaysia

A comprehensive legal document governed by Malaysian law that formalizes the transfer of property ownership between parties. This agreement outlines the terms and conditions of the property transaction, including purchase price, payment terms, warranties, and obligations of all parties involved. It incorporates requirements from the National Land Code 1965 and other relevant Malaysian property laws, ensuring compliance with local regulations regarding property transfer, foreign ownership restrictions, and registration requirements. The document serves as a binding contract that protects the interests of both buyer and seller while facilitating a smooth property transaction process.

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Property Agreement Contract

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What is a Property Agreement Contract?

The Property Agreement Contract is a fundamental legal instrument used in Malaysian property transactions to formalize the transfer of real estate ownership. This document is essential when conducting any property sale or purchase in Malaysia, whether for residential, commercial, or industrial properties. It must comply with Malaysian property laws, including the National Land Code 1965, Contracts Act 1950, and relevant state-specific regulations. The agreement typically includes detailed property descriptions, purchase price, payment terms, conditions precedent, warranties, and completion requirements. It's particularly important as it serves as the primary reference document for the transaction and can be used in legal proceedings if disputes arise. The document must be properly executed and stamped according to Malaysian law to be legally enforceable.

What sections should be included in a Property Agreement Contract?

1. Parties: Identification and details of all parties involved in the agreement, including full legal names, identification numbers, and addresses

2. Background: Context of the agreement, including brief description of the property and purpose of the transaction

3. Definitions: Definitions of key terms used throughout the agreement to ensure clear interpretation

4. Property Details: Comprehensive description of the property including lot number, title details, size, and location

5. Purchase Price: Statement of the agreed purchase price and payment terms including deposit and completion payment details

6. Payment Terms: Detailed breakdown of payment schedule, method of payment, and consequences of default

7. Conditions Precedent: Conditions that must be fulfilled before the agreement becomes fully effective

8. Completion: Requirements and procedures for completing the transaction, including timing and documentation

9. Representations and Warranties: Statements and guarantees made by both parties regarding the property and their capacity to enter into the agreement

10. Rights and Obligations: Detailed responsibilities of each party before, during, and after the transaction

11. Default and Remedies: Consequences of breach and available remedies to the non-defaulting party

12. Governing Law: Specification that Malaysian law governs the agreement and jurisdiction for dispute resolution

13. Execution: Formal signing section including witness requirements

What sections are optional to include in a Property Agreement Contract?

1. Foreign Investment Compliance: Required when buyer is a foreign entity, detailing compliance with Malaysian foreign ownership restrictions

2. Strata Title Provisions: Required for apartments or condominiums, including details about management corporation and service charges

3. Developer's Obligations: Required for new properties or off-plan purchases, detailing construction completion and defect liability

4. Tenancy Provisions: Required if property is sold with existing tenants, detailing treatment of tenancy agreements

5. Bank Financing: Required when purchase involves bank financing, including conditions related to loan approval

6. GST/Tax Provisions: Required when specific tax arrangements need to be detailed, including GST treatment if applicable

7. Property Management: Required for properties in managed communities, detailing management fees and obligations

What schedules should be included in a Property Agreement Contract?

1. Schedule 1 - Property Details: Detailed property specifications, including floor plans, boundary marks, and title particulars

2. Schedule 2 - Payment Schedule: Detailed breakdown of payment installments and due dates

3. Schedule 3 - Inventory List: List of fixtures, fittings, and furnishings included in the sale

4. Schedule 4 - Title Conditions: Existing encumbrances, restrictions in interest, and other title conditions

5. Schedule 5 - Form of Transfer: Template for the instrument of transfer to be executed at completion

6. Appendix A - Property Documents: Copies of relevant certificates, permits, and approvals

7. Appendix B - Due Diligence Results: Summary of legal and technical due diligence findings

8. Appendix C - Photos and Plans: Visual documentation of the property condition and layout

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Malaysia

Cost

Free to use
Relevant legal definitions








































Clauses



































Relevant Industries

Real Estate

Banking and Finance

Legal Services

Construction

Property Development

Property Management

Investment

Hospitality

Retail

Commercial Property

Residential Property

Relevant Teams

Legal

Real Estate

Compliance

Property Management

Business Development

Investment

Operations

Finance

Risk Management

Facilities Management

Asset Management

Corporate Affairs

Relevant Roles

Legal Counsel

Property Manager

Real Estate Agent

Property Developer

Bank Manager

Investment Manager

Compliance Officer

Contract Administrator

Business Development Manager

Property Valuer

Facilities Manager

Asset Manager

Corporate Lawyer

Transaction Manager

Real Estate Investment Analyst

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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