If you are buying a property and wonder how long does it take to have your name registered on the title of the property, the answer is… It depends.
The duration of the property purchase varies from case to case, depending on factors such as negotiation time on terms of sale and purchase, documentary compliance, pre-existing condition of the property and etc.
This infographic is to help give you an idea on how long a conveyancing process (i.e. conveyancing of a real estate property) will be for a sub-sale property with title on behalf of the Purchaser via a Sale and Purchase Agreement (SPA).
NOTES
Step 1: Sign letter of offer (if any)
If the Vendor has appointed a real estate agent to sell the property, the agent will prepare a letter of offer to be signed by the parties. Please take note of the dateline to sign the SPA which will be specified in this letter of offer – normally within 14 days from the date of the letter of offer.
Step 2: Provide S&P details
Provide details regarding sale and purchase transaction to your solicitor. For example, name of parties, property details, payment terms, name and contact of the Vendor’s solicitors (if any).
Step 3: Provide copies of documents
Provide copies of the issue document of title to your solicitor. For example, for individuals:
- NRIC or passport (for foreigner).
For companies:
- Certified true copy of the Memorandum and Articles of Association;
- Latest Form 49 or Section 58 & 236(2) of the Companies Act 2016;
- Form 44 or Section 46 of the Companies Act 2016;
- All Forms 24 or Section 78 of the Companies Act 2016;
- Board of Directors’ resolution and members’ resolution (if applicable) authorising the entry into the sale and purchase transaction and execution of the SPA; and
- Associated documents together with the authorisation to affix the common seal on the Memorandum of Transfer (Form 14A).
The Vendor will have to provide the current quit rent, assessment and utility bills to the Vendor’s solicitor. If the Vendor is not represented by a solicitor, to provide the same to the Purchaser’s solicitor. If the property is charged to a financier, to provide a copy of the latest loan statement.
Step 4: Preparation & finalisation of the SPA
The draft SPA will be forwarded to the Vendor solicitor for review and comments. This may involve several rounds of discussions and exchange of drafts before the SPA is finalised.
During this time, the Purchaser’s solicitor will conduct a bankruptcy search or a winding up search (for companies) against the Vendor to ensure that the property can be transferred by the Vendor to the Purchaser upon completion of the SPA.
Step 5: Sign the SPA & other documents
The Purchaser will be signing the SPA with other documents such as:
- Memorandum of Transfer form (Form 14A);
- Private caveat form (Form 19B) together with the statutory declaration to enter private caveat;
- Withdrawal of private caveat form (Form 19G); and
- Real Property Gains Tax form (CKHT 2A) (as an acquirer) to be submitted within sixty (60) days after signing the SPA.
The SPA and Form 14A will be forwarded to the Vendor’s solicitor for Vendor’s signature.
Step 6: Lodge Private Caveat
The Purchaser’s solicitor will then send an application to lodge a private caveat against the property using Form 19B accompanied by the statutory declaration to support such application at the relevant Land Office. Form 19G is to be retained by the purchaser’s solicitor pending completion of the sale and purchase transaction.
Step 7: Stamp the SPA
The Purchaser’s solicitor upon receiving the signed SPA and Form 14A from the Vendor’s solicitor, will proceed to stamp the SPA. The stamping is normally done within 1 or 2 days upon receipt of the signed SPA.
Step 8: Forward stamped SPA to all parties
The Purchaser’s solicitor will forward:
- 2 copies (1 original and 1 duplicate) to the Purchaser;
- 1 duplicate of the above to the Vendor; and
- 1 duplicate to be retained by the Purchaser’s solicitor.
If the Purchaser is taking a loan to part-finance the purchase of the property, the original SPA will have to be forwarded to the financier.
Step 9: Notice of Assessment & Stamp Duty
The Form 14A will be submitted to the Stamp Office by the Purchaser’s solicitors via online submission for adjudication to determine the amount of stamp duty payable. The rate of duty varies according to the nature of the instruments and the consideration stipulated in the SPA and Form 14A, or the market value of the property.
Thereafter, the Purchaser’s solicitors will receive a Notice of Assessment for Form 14A, normally within 1 week or more from the date of submission.
Payment of the Stamp Duty for Form 14A must be made to the Collector of Stamp Duty through the Stamp Office within 30 days from the date of the Notice of Assessment.
The Purchaser’s solicitor is to ensure that the Purchaser deposit (i.e. the sum payable for stamp duty, held on trust by the Purchaser’s solicitor) is accurate and sufficient. A penalty will be imposed for payment of Stamp Duty exceeding 30 days from the date of the Notice of Assessment. Calculation of the penalty is as follows:
Step 10: Present Form 14A with withdrawal of caveat form
If the Purchaser is taking a loan to part-finance the purchase of the property, the following documents need to be forwarded to the Purchaser’s financier’s solicitor:
- Form 14A;
- Original Issue Document of Title;
- Charge Form;
- Form 16A;
- Form 19G; together with
- Latest quit rent and assessment receipts.
The Purchaser shall pay the balance of purchase price by the completion date and/or extended completion date. In the event that the Purchaser is taking a loan from a financier, the Purchaser’s solicitor must follow up with the Purchaser’s financier’s solicitor to ensure that the loan has been disbursed accordingly so that the Vendor will be able to receive the balance of purchase price by the completion date/extended completion date (with late payment interest paid, if any) as per the SPA.
And finally…
The Purchaser is to receive the new title with Purchaser’s name registered onto the Issue Document of Title. This normally happens within 2 weeks or more from date of presentation of the Form 14A with all the other relevant documents as stated herein.
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Great info and thanks for the in depth sharing! 🙏🏼