Angie Ng Property: 10/14/10

Thursday, October 14, 2010

Legal Fees

1) Sale & Purchase Agreement Fees
S&P is a written contract signed between the buyer and seller stating amongst others, the terms and conditions under which a property will be sold.

Purchase Price (RM)	Tiered Rate (Based on Purchase Price)
First 150,000	1.0%
Next 850,000	0.7%
Next 2,000,000	0.6%
Next 2,000,000	0.5%
Next 2,500,000	0.4%
Exceed 7,500,000	0.3% (Negotiable)

2) Memorandum Of Transfer (MOT)
MOT is payable upon transfer of title from vendor / developer to purchaser

Purchase Price (RM)	Tiered Rate (Based on Purchase Price)
First 100,000	1.0%
Next 400,000	2.0%
Exceed 500,000	3.0%

3) Legal Fees
A loan facility agreement is a contract entered into between which regulates the terms of a loan.

Purchase Price (RM)	Tiered Rate (Based on Loan Amount)
First 150,000	1.0%
Next 850,000	0.7%
Next 2,000,000	0.6%
Next 2,000,000	0.5%
Next 2,500,000	0.4%
Exceed 7,500,000	0.3% (Negotiable)

Malaysia My Second Home (MM2H)

Malaysia My Second Home (MM2H)

Term & Condition

Financial Requirement

Successful applicants required to comply with the following financial criteria upon receipt of the `conditional approval letter' from Malaysia Immigration Department.

Applicants are expected to be financially capable of supporting themselves for ten years on this program in Malaysia, without the need to work in the country. Besides fulfilling the basic financial criteria of Fixed Deposit placement of RM150,000 (for those aged 50 and above) or RM 300,000 (for those aged below 50), applicants should furnish documentation on their financial position to strengthen their application.

1) Aged Below 50 years old

Open a fixed deposit account of RM300,000.00.
After a period of one year, the participant can withdraw up to RM240,000.00 for approved expenses relating to house purchase, education for children in Malaysia and medical purposes.
Must maintain a minimum balance of RM60,000.00 from second year onwards and throughout stay in Malaysia under this program.

2) Aged 50 years and above

Can either choose to:
- Open a fixed deposit account of RM150,000.00 ; OR
- Show proof of monthly off-shore income of RM10,000.00 in government pension.
After a period of one year, participant who fulfills the fixed deposit criteria can withdraw up to RM90,000.00 for approved expenses relating to house purchase, education for children in Malaysia and medical purposes.

Participant must maintain a minimum balance of RM60,000.00 from the second year onwards and throughout his/her stay in Malaysia under this program.

Note:

Successful applicants need to open their fixed deposits in Ringgit Malaysia (RM) only.
Participants need to obtain approval from Ministry of Tourism before proceeding to withdraw the fixed deposit
Participants under this program may withdraw their entire fixed deposit anytime should they decide to terminate their stay in Malaysia under this program. However, they must obtain prior approval from the Ministry of Tourism.

Medical Report
All applicants and their dependents (spouse and children) are required to submit a medical report from any private hospital / registered clinic in Malaysia.

Medical Insurance
Approved participants and dependents (spouse and children) must possess a valid medical insurance policy which is applicable in Malaysia.

Restrictions

Participants under Malaysia My Second Home Programme are not allowed to work/be employed while staying in Malaysia.

In addition, they should not participate in activities that can be considered as sensitive to the local people and a threat to the security of the country.

How To Apply

Effective 9 January, 2009 foreign citizens may apply to participate in MM2H program directly, without going through any other third party, OR may continue to use the services of MM2H agents licensed by the Ministry of Tourism, Malaysia.

New Applications

All applicants who wish to apply to stay in Malaysia under Malaysia My Second Home Program must submit the following documents:
Documents

Letter of Application (Cover Letter from applicant)

A current (dated) resume of the main applicant;

One (1) copy of MM2H Application Form - can be downloaded from the MM2H website;

Note: Applicants and all their dependants have to complete the form individually.

Three (3) copies of IM.12 Form (Social Visit Pass);
- One (1) original copy - can be downloaded from MM2H website/purchased at Immigration Department
- Two (2) Photostat copies.

Note: Applicants and all their dependants have to complete the form individually.

Four (4) colored passport sized photographs:
Copy of Passport/Travel documents (all pages) with certification on the pages with personal particulars;
Certified copy of Marriage Certificate (if applicable)
Certified copy of Divorce Certificate/ Death Certificate/ Separation Document/ related legal documents (if applicable for verification of marital status of applicant);
Certified copy of Birth Certificate (if accompanied by children);
Letter of Confirmation from Medical Specialist/ General Practitioner (if accompanied by disabled children above 18 years old);
Certified copy of related documents (if accompanied by adopted children/ step children);
Certified copy (s) of latest 3 month's bank statements / other related financial document (s) to indicate the financial capability to support stay in Malaysia;
Latest 3 month's certified copies of pay slip/ pension slip/ income statement etc;

**Only applicants who are drawing from Government Pensions will be considered to have fulfilled the "Monthly off - Shore Income" criterion.

Note

All copies must be certified TRUE COPIES OF ORIGINAL DOCUMENTS by EMBASSY / HIGH COMMISSION/ SOLICITOR/ JUSTICE OF PEACE/ NOTARY PUBLIC/ COMMISIONER FOR OATHS / GOVERNMENT OFFICIAL
Qualified translator must translate all supporting documents into English (where original documents are not in English)
Dependants refer to children aged below 18 years and not married.
Participants from selected countries who are entering Malaysia with Tourist Social Visit Pass prior to approval of Malaysia My Second Home program are required to pay for Journey Performed Visa (JP) fee of RM500.00. The payment should be made to Immigration Department before getting Malaysia My Second Home endorsement sticker in their passports.
The processing and approval process will take 4 weeks from the date of submission of the application (provided the documentation is complete)
Applicants who wish to stay in Sabah/Sarawak, should forward their applications directly to the Director State Immigration Department of Sabah/Sarawak One Stop Agency.
Copy of Passport/Travel documents (all pages) with certification on the pages with personal particulars;

Note: Copy of previous passport is required if applicant has renewed his/her passport within the last 12 months.
Submission Addresses:

A. Individual direct applications for Peninsular Malaysia are to be submitted to:
Malaysia My Second Home Centre
Ministry of Tourism, Malaysia
Level 23, Menara Dato' Onn
Putra World Trade Centre
50695 Kuala Lumpur
MALAYSIA
Tel : +60-3-2696 3367/3354/3361/3351/3366
Fax : +60-3-2698 8533
Email: info@mm2h.gov.my
Website :http://www.mm2h.gov.my

B. Sabah
Department of Immigration, Sabah
Aras 1-4, Block B,
Kompleks Pentadbiran Kerajaan Persekutuan Sabah,
Jalan Sulaman,
88450 Kota Kinabalu, Sabah.
Tel : +6088 - 807000
Fax : +6088 - 488800

C. Sarawak
ONE STOP AGENCY
Public Relations,
ICT Unit and Sarawak / Malaysia My Second Home Program "One Stop Agency"
Ministry of Urban Development & Tourism
Level 2, Bangunan Baitulmakmur,
Medan Raya, Petra Jaya,
93050 Kuching, Sarawak, Malaysia

Tel : +6082 319313 / 309
Fax : +6082 441277 / 5311
Email : carolcty@sarawaknet.gov.my

Renewal of Social Visit Pass Under this program

For participants who joined the program before 1 April 2006 , renewal can either be submitted directly by the individual participant or through licensed company to Immigration Department , Putrajaya or the State Immigration Office which issued the initial Social Visit Pass.

The following documents are required for the renewal :

IM 55 Form
Copy of the old and new passport.
Copy of the fixed deposit certificate
Copy of the valid medical insurance.
Letter of Intent to continue stay in Malaysia under this program.

MALAYSIA MY SECOND HOME CENTRE (MM2H)
Ministry of Tourism Malaysia,
Level 23, Menara Dato' Onn,
Putra World Trade Centre,
50695 Kuala Lumpur, MALAYSIA

Phone	+603 2696 3367	MONDAY - THURSDAY Operating Hours
	+603 2696 3354	7.30am - 1pm \| 2pm - 5.30pm
	+603 2696 3361	Lunch 1pm - 2pm
	+603 2696 3351	FRIDAY Operating Hours
	+603.2696 3366	7.30am - 12.15pm \| 2.45pm - 5.30pm
Fax	+603 2698 8533	Lunch 12.15pm - 2.45pm
email	info@mm2h.gov.my	SATURDAY, SUNDAY & PUBLIC HOLIDAY - Closed

Foreign Investment Committee

Foreign Investment Committee (FIC) Guideline

Acquisition of Properties by Foreign Interests under Foreign Investment Committee (FIC)'s Guideline.

Acquisition of Residential Units Under Malaysia My Second Home Programme
- Purchase of residential unit is exempted from FIC's approval under the Malaysia My Second Home Programme.
- All categories of residential units are allowed except for low-cost and medium low-cost units as determined by the state authorities, all properties built on Malay reserve land, units that are reserved for Bumiputera quota and agricultural land developed on the basis of the homestead concept
- State authority has the discretion to consider the acquisition based on location, no. of unit in any single project development and type of the properties.
- Any proposed acquisition under Malaysia My Second Home Programme must be directly applied to (Ministry of Tourism).
- The detailed particulars of the acquisition should be notified to FIC by the Ministry.
Acquisition of Properties
- Acquisitions of properties other than residential units are subjected to FIC's approval
- Any proposed purchase should be more than RM250,000 except state of Sarawak where the purchase should be more than RM350,000.
Transfer of Properties by Foreign Interests
- Transfer of properties by foreign interests are only allowed to their immediate family members only.
  Family members under FIC's guidelines are through marriage (husband and wife), blood ties (grandfather, grandmother, siblings, step-children and legally adopted children)
- Transfer of properties through Will or Court Order is exempted from FIC's approval
Acquisition Procedure Of Residential Unit Under Malaysia My Second Home Programme
- Identify the property in which the participant intends to acquire
- Buy properties that have been issued the Certificate of Fitness (CF)
- Seek information on the property from relevant authorities (land office, local authorities)
- Assign a lawyer and get the S & P Agreement signed
- Get a letter from Ministry of Tourism certifying that the acquirer is a participant of Malaysia My Second Home Programme
Commercial Buildings

All purchases of commercial property by non-Malaysians require FIC approval. A foreign interest may acquire commercial property valued at less than RM10 Million, without having to incorporate a local company, provided that the commercial property is for its own use.

Foreigners are not allowed to purchase commercial buildings as follows:
- Double / single storey shop houses
- Low cost shop houses
- Stalls
- Workshops
- Commercial buildings on Malay reserve land
Foreigners are allowed to purchase commercial buildings as follows:
- Shop houses of 3 storeys or above worth at least RM500,000 as exercised by respective State authorities.
- Lots of commercial complexes or offices, where total units purchased are limited to 20% of the total units available and the acquisition is made through a company established in Malaysia with at least 49% Malaysian equity (inclusive of at least 30% bumiputera equity) for this purpose.
Disposal of Properties
- Identify interested local buyer. If foreign buyer, please seek prior approval from FIC
- Sign the S & P agreement with the interested buyer
- Notify relevant authorities (FIC, Ministry of Tourism, Inland Revenue Board) of the disposal of the property
- Pay property gain tax to Inland Revenue Board, if applicable

Further Enquiries: -

Ministry of Tourism Malaysia	Foreign Investment Committee (FIC)
Level 23, Menara Dato' Onn, Putra World Trade Centre, 50695 Kuala Lumpur, Malaysia. Tel No: +(603) 2693-7111 / 2696-3360/1/2/3/4 / 2696-3351/3 (8.00 a.m to 5.00 p.m) Fax No: +(603) 2693-3533 E-mail Address: mm2h@motour.gov.my Website: http://mm2h.motour.gov.my/	Economic Planning Unit, Prime Minister's Department, Block B5 & Block B6, Federal Government Administrative Centre, 62502 Putrajaya. Tel No: +(603) 8888-3333 Fax No: +(603) 8888-3755 Email address: info@epu.gov.my Website: http://www.epu.gov.my

Loan Application

Checklist for housing/property loan/financing application

FOR SALARY EARNER
Photocopy of your identity card/passport

Photocopies of your latest 3 months’ salary slips

Photocopies of your latest income tax return (J Form) or EA form

Sale and purchase agreement/deposit or booking receipt/letter of offer from the housing developer

Photocopy of the land title (if any)

Valuation report for completed houses/properties

FOR SELF-EMPLOYED
All the documents stated above (except for salary slip) and the following:

Business registration document

Latest 3 months bank statements

Latest financial statements

EPF

Employees Provident Fund (EPF) Withdrawal Procedure

	Account 1	Account 2
% of distribution from monthly contribution	70%	30%
Purpose of Account	Savings for retirement. This savings cannot withdraw before you attain the age of 55 years old.	To own a house To finance you and your children’s education. For medical expenses. Upon attaining age of 50 years old.

Types of residential housing withdrawals:
1) To purchase or build a first house.
2) To purchase or build a second house.
3) To reduce or redeem the housing loan for first house.
4) To reduce or redeem the housing loan for second house.
5) To assist spouse to reduce or redeem his/her housing loan.

1) To purchase or build a first house.

The difference between the purchase price of the house and the housing loan plus an additional sum of 10% of the price of the house OR
Balance Available in Account 2, whichever is lower.

2) To purchase or build a second house.

Members are allowed to withdraw their EPF savings for a second time to purchase another house on condition that members have sold (not in possession) the first house purchased through EPF withdrawal.

3) To reduce or redeem the housing loan for first house.

Application for withdrawal can be made once every year from the date of the last housing withdrawal, with a minimum amount of RM500.

4) To reduce or redeem the housing loan for second house.

The same conditions apply as per item 3 above, but subject to showing proof of sale or not in possession of the first house to EPF.

5) To assist spouse to reduce or redeem his/her housing loan

Members are allowed to withdraw all money from Account 2 or the difference between the purchase price and loan amount, whichever is lower, to assist their spouse to reduce or redeem the housing loan even though they are not the borrower.

NOTE: The member need not be a joint owner of the house, The condition of withdrawal include the proof of marriage.

Requirement:
1) You must be a member of EPF
2) You have not reached 55 years of age on the date the application is received by EPF.
3) You still have savings in Account 2.

Procedure
1) Submission of EPF withdrawal form together with the original copy of the Sale and Purchase Agreement.
2) Photocopy of your Identification Card.
3) A copy of the letter of loan approval from your end-financier.

Note: The original Sale and Purchase Agreement, Letter of Loan Approval from your end-financier and your original Identification Card have to be sighted by the EPF officials.

Further detail can be referred to:
Kumpulan Wang Simpanan Pekerja
Bangunan KWSP, Jalan Raja Laut, 50350 Kuala Lumpur.
Tel : (603) 26946566 Email : enquiry@epf.gov.my
Fax : (603) 26948433 Website : www.kwsp.gov.my

Government Loan

As a government loan applicant, you may have been advised by your Departmental Head on the requirements for a housing loan or you may refer to the web site http://bpp.treasury.gov.my for information. However, we have for your convenience, listed the following documents required for your loan application:

Application form to be completed in detail.
Letter of Confirmation and recommendation from your Departmental Head.
Processing fees (RM1.00 for every RM1,000.00 of loan amount).
Borang VII (Format VII) - Declaration from the borrower giving consent to the Federal Government to deduct from his/her salary the loan installments (inclusive of interest).
Copy of title deed.
Lampiran A - Declaration from the developer consenting to a registrar's caveat.
Format XIV - To be endorsed by the developer and the borrowers' solicitors.
Solicitors declaration - confirmation of stakeholder and finalisation of loan documents. Borang Akuan SPP 21/86 - Lampiran IV.
Letter to the housing loan unit confirming the ability to settle the difference between loan and purchase price ( if it is not a 100% loan).
Copy of Power of Attorney, if the agreement has been attested by the Power of Attorney.
Certificate of Fitness - for completed house.
The progress payment's will be released by the Housing Loan Division only when the title (landed unit) and loan agreement cum assignment (strata unit) has been registered at the land office and the High Court respectively.

Note : The above mentioned format might be changed by the government housing loan unit.
The loan processing is handled by the:

Bahagian Pinjaman Perumahan
Perbendaharaan Malaysia
No 9, Kompleks Kementerian Kewangan
Persiaran Perdana, Precinct 2
Pusat Pentadbiran Kerajaan Persekutuan
62592 Putrajaya
03-8880 2000
Email : pinjamrumah@treasury.gov.my
Website : http://bpp.treasury.gov.my

Angie Ng Property

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