The Transfer of Sale Agreement is a crucial legal instrument in Malaysian property transactions, used whenever real property ownership needs to be transferred from one party to another. This document is essential for both residential and commercial property transfers in Malaysia, ensuring compliance with local property laws and regulations. The agreement must adhere to specific requirements under Malaysian law, including the National Land Code 1965, Contracts Act 1950, and various state-specific regulations. The Transfer of Sale Agreement includes detailed information about the property, parties involved, purchase price, payment terms, conditions precedent, warranties, and completion requirements. It serves as the primary document for property registration authorities and is required for stamp duty assessment and title transfer registration at the land office.
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1. Parties: Identifies and defines all parties to the agreement, including full legal names, identification numbers, and addresses of the vendor and purchaser
2. Background: Provides context for the agreement, including brief history of the property ownership and purpose of the transfer
3. Definitions: Defines key terms used throughout the agreement for clarity and legal certainty
4. Property Details: Comprehensive description of the property being transferred, including title details, lot number, and location
5. Purchase Price: States the agreed purchase price and payment terms, including deposit and completion payment details
6. Conditions Precedent: Lists conditions that must be fulfilled before the transfer can be completed
7. Completion: Details the completion process, including timing, location, and requirements for transfer
8. Vendor's Warranties: Warranties given by the vendor regarding the property's title, condition, and encumbrances
9. Purchaser's Warranties: Warranties given by the purchaser regarding their capacity to purchase and financial ability
10. Transfer and Registration: Procedures for executing and registering the transfer at the land office
11. Costs and Expenses: Allocation of costs including stamp duty, registration fees, and legal fees
12. Notices: Procedures for giving notices under the agreement
13. Governing Law: Specifies Malaysian law as governing law and jurisdiction
14. Execution: Formal execution clause and signing requirements
1. Condition of Property: Detailed section about property condition, used when selling property as-is or with specific known issues
2. Existing Tenancies: Required when the property is subject to ongoing tenancies that will continue after transfer
3. Bank Consent: Needed when the property has an existing charge or mortgage requiring bank's consent for transfer
4. Strata Title Provisions: Required for apartments or condominiums under strata title
5. Developer's Consent: Needed when the property is still under developer's restriction period
6. GST/Tax Provisions: Detailed tax provisions when the transaction is subject to GST or specific tax requirements
7. Foreign Investment Approval: Required when purchaser is a foreign entity or person
1. Schedule 1 - Property Description: Detailed technical description of the property including boundaries, measurements, and title particulars
2. Schedule 2 - Purchase Price Payment Schedule: Breakdown of payment terms, installments, and due dates
3. Schedule 3 - Inventory List: List of fixtures, fittings, and other items included in the sale
4. Schedule 4 - Outstanding Charges: Details of any existing charges, caveats, or encumbrances on the property
5. Schedule 5 - Completion Requirements: Checklist of documents required for completion
6. Appendix A - Copy of Title Deed: Copy of the original title deed or strata title
7. Appendix B - Property Plans: Relevant floor plans, site plans, or location maps
8. Appendix C - Relevant Permits: Copies of relevant permits, certificates, or approvals
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