FAQ By Singapore Home Sellers
Why do I need to get a valuation done before I sell my house?
In volatile markets, selling your property based on the lastest transacted prices may be inaccurate due to the time lag between the actual transaction and the published transacted prices. Also, most buyers would want to know the valuation or the bank indication of your property to access their ability to purchase your home.
What are the main factors that affect the value of my property?
- Tenure
- Location
- Quality
- Proximity to conveniences and facilities such as MRT, market, bus-stops
- Surrounding features such as beautiful scenery/landscape
- Current demand for the property
How much does it cost to obtain a valuation report?
Generally, a valuation exercise costs from 0.5% to 3% of a property's value.
What are my lawyer's duties to complete the sale of my property?
Your lawyer has to do the following:
- Completion account : give an account to your buyer's lawyer regarding the money for the payment of your property, and the necessary bills your buyer has to pay on the day the sale transaction is completed.
- Transfer : to get all documents signed and ready for exchange on the date of completion.
- Discharge of mortgage/ CPF charge.
- Place & Time : arrange for the time and place for all parties involved to meet.
- Attendance : meet all parties involved to exchange the documents, payment and keys.
- Notice of Transfer : (within one month of the completion) to notify the Property Tax Department that you are the new owner of the property.
I am now in the midst of completing the sale of my property, and I wish to use another to represent me, is this possible?
Yes, but you have to pay your current lawyer for the work he/she has already done.
Are there benefits from getting my Buyer to use the same lawyer as I for the sale transaction?
You will only need to pay ¼ of the scale costs instead of ½ the scale costs [the legal fees payable to Lawyers for property transactions, because the fees are fixed by law to a scale] if the both of you use the same lawyer. However, this is not advisable since a conflict of interest could arise.
Can you estimate the amount of money I have to fork out for legal fees?
The legal fees are currently based on a scale which is dependent on the selling price of the property. In general your legal fees should not exceed 1% of the selling price of your property.
[ read more on legal cost - pdf file - download Adobe® Acrobat Reader ] Can my lawyer also act as my estate agent and receive a commission on the transaction?
No, he may not do so.
Can my lawyer give a discount for my legal fees?
Strictly speaking - no. Giving discounts may be seen as a marketing gimmick to attract business unfairly.
Is my lawyer entitled to charge additional fees on top of the prescribed scale costs?
Yes, your lawyer may charge you an additional fee for situations that require "special exertion" and has to be executed within an exceptionally short time. My buyer's lawyer requested for my lawyer to hold a part of my sale proceeds as stakeholder after completing the sale transaction of my property. Should I agree to this? Why?
This is request from your buyer's lawyer is fairly common because you are liable to pay for all property tax up to the very day of the sale completion. To ensure that your buyer doesn't end up paying your property tax for you, you should agree to the request. |
Residential Home Owners : Selling FAQ