6 Things to watch out during auction!

lbslbs

Any questions please refer to the author. I'm merely the "poster". Thank you.
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(1) Always READ the Proclamation of Sales (POS) carefully, as it will denote few important details such as :
- the earnest money payable to
- terms and condition
- who's paying the maintenance fees, sinking fund,indah water (IWK), assessment and quit rent and utility bills owed?

(2) Watch out for syndicate
- don't worry about them, just ignore them and make your bid, they are NOT genuine bidder

(3) Watch out for timing
- especially for highcourt cases, always make sure your solicitor cancomplete the transfer within the prescribed time, usually 90 days or120 days, if not, your 10% earnest money will be forfeited without questions

(4) Watch out for *caveat*
- always do a title search before auction date, should u find any caveat lodged against the property, the BEST way is to buy CASH. If you are thinking of getting partly funding from the banks for the caveated property, think twice.

(5) Watch out for the previous ownings
- always check and verify the prevous owner's owning to the Management Corporation, Indah Water, assessment , quit rent and utility authority.
- In most cases, the bank will be responsible to maintenance fees, quitrent and assessment,however, this is not automatic, please always checkwith bankers or POS.

(6) Auction property is always sold without vacant possession
- it simply means that it the property is tenanted, you got to let theexisting tenant to continue occupy the premises until the end of the tenancy period, however, i would always advise you to sign a brand newtenancy agreement with the tenant.



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About the author: Boon Ping is a Registered Estate Agent (E 1690) under the Board of Valuers,Appraisers and Estate Agents Malaysia since 2002. He has been electedas the Chairman of Malaysian Institute of Estate Agents Johor Branch since 2004 until now. He is currently employed as General Manager under Tiram Realty, an established real estate agency of over 20 years history in Johor. For more free tips and advice on real estate matters, check out the website: http://tiramrealty.com.my

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[ Last edited by  lbslbs at 4-5-2008 10:39 AM ]