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Sales Contract For House Template for Malaysia

A comprehensive legal agreement governed by Malaysian law that facilitates the sale and purchase of residential property. This document outlines the terms and conditions of the property transfer, including purchase price, payment terms, warranties, and completion requirements. It incorporates provisions from key Malaysian legislation including the National Land Code 1965 and Housing Development Act 1966, ensuring compliance with local property laws and regulations. The contract provides legal protection for both the vendor and purchaser while establishing clear obligations and rights for all parties involved in the transaction.

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What is a Sales Contract For House?

The Sales Contract For House is a fundamental legal document used in Malaysian property transactions to formalize the sale and purchase of residential properties. It serves as the primary agreement between a vendor and purchaser, incorporating mandatory provisions required under Malaysian law, particularly the National Land Code 1965, Contracts Act 1950, and Housing Development Act 1966. This document is essential when transferring ownership of houses, bungalows, terraced houses, semi-detached houses, and similar residential properties in Malaysia. It includes crucial details such as property specifications, purchase price, payment terms, completion timeline, warranties, and various conditions precedent. The contract ensures compliance with local property laws while protecting the interests of all parties involved in the transaction.

What sections should be included in a Sales Contract For House?

1. Parties: Identification of the Vendor and Purchaser with full legal names, identification numbers, and addresses

2. Background: Brief context of the sale, including property ownership status and intention to sell/purchase

3. Definitions: Key terms used throughout the agreement including 'Property', 'Purchase Price', 'Completion Date', etc.

4. Sale and Purchase: Core agreement to sell and purchase the property at the specified price

5. Purchase Price: Details of the purchase price, payment schedule, and deposit requirements

6. Property Details: Comprehensive description of the property including title details, land area, and built-up area

7. Conditions Precedent: Conditions that must be fulfilled before completion, including legal requirements and approvals

8. Completion: Timeline and procedures for completing the sale, including documentation and handover requirements

9. Vendor's Warranties: Warranties regarding property ownership, condition, and encumbrances

10. Purchaser's Warranties: Warranties regarding financial capacity and compliance with relevant laws

11. Title and Documents: Requirements for title transfer and necessary documentation

12. Default and Termination: Consequences of default and circumstances for termination

13. Notices: Process for serving notices between parties

14. Governing Law: Specification of Malaysian law as governing law and jurisdiction

What sections are optional to include in a Sales Contract For House?

1. Environmental Matters: Additional warranties and requirements regarding environmental conditions, used when property is in environmentally sensitive areas

2. Strata Title: Specific provisions for strata properties, including management corporation matters, used for apartments/condominiums

3. Renovation Works: Terms regarding existing or planned renovation works, used when property requires or has pending renovations

4. Tenancy: Provisions dealing with existing tenants, used when property is currently tenanted

5. Developer's Consent: Requirements for developer's approval, used for first-time subsale of properties still under developer's control

6. Bank Consent: Requirements for existing mortgagee's consent, used when property has existing charges

What schedules should be included in a Sales Contract For House?

1. Schedule 1 - Property Details: Detailed description of property including lot number, title details, and exact measurements

2. Schedule 2 - Payment Schedule: Breakdown of payment terms, installments, and due dates

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

4. Schedule 4 - Form of Transfer: Prescribed form for property transfer under National Land Code

5. Appendix A - Property Photos: Recent photographs of the property's interior and exterior

6. Appendix B - Title Search: Recent land title search results showing encumbrances and restrictions

Authors

Alex Denne

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

Jurisdiction

Malaysia

Publisher

Genie AI

Cost

Free to use

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