All projects approved after the enforcement of the amended Act in June 2015 are now subjected to the amended Act whereby the Act expressly safeguard the rights of the strata owners and buyers by stipulating vacant possession with strata title. 

Strata Title Resolves Ownership Issues - Part 1

Albeit, it is a long journey for those unlucky house buyers of older strata projects, where this issue has yet to be resolved. Below are the simplified steps on how to get your strata titles:
Scenario A

Developer yet to transfer strata title to house buyers

1.  Buyer needs to check with the Land Office if the developer has actually applied for the strata title.
2.  In the event that the developer has applied for the strata title, buyer or lawyer (appointed on behalf of the buyer) shall inquire the developer on the transfer of strata title.
3. Developer informs the buyer that strata titles are out.
4. Buyer appoints a lawyer to draft Form 14A memorandum of transfer to the Land Office to transfer title from the developer’s name to the buyer.
5. Lawyer writes to the developer for the necessary information once documents are signed.
6. The lawyer applies for stamp duty with Lembaga Hasil Dalam Negeri (LHDN).
7. Buyer pays the stamp duty.
8. Lawyer compiles the necessary documents and presents to the Land Office to transfer the name.

Scenario B

Developer yet to apply for strata title in the first place

1. Buyer needs to check with the Land Office if the developer has actually applied for the strata title.
2. Buyer discovers that the developer did not apply for strata title.
3. Buyer needs to file a complaint to the Commissioner of Buildings to enforce the developer to apply for the strata title.
4. Developer informs the buyer that strata titles are out.
5. (Succeeding steps similar to Scenario A)

Scenario C

Developer undergoes liquidation and did not apply for strata title in the first place

1. Court-appointed liquidator opens a Book of Strata with the Land Office.
2. Liquidator on behalf of the developer informs the buyer that strata titles are out.
3. Buyer appoints a lawyer to draft Form 14A memorandum of transfer to the Land Office to transfer 4/ title from the developer’s name to the buyer.
4. Lawyer writes to the liquidator for the necessary information once documents are signed.=
5. (Succeeding steps similar to scenario A)

Additional cost

Additional costs include the surveyors’ cost, consultancy costs to appoint an architect to draw up a new planning design of the building, and other relevant administration costs. In this context, the Commissioner of Buildings acts as the mediator in resolving the issue. In addition, legal fees and relevant stamp duty fees would be payable as well, and the number of legal fees and stamp duty will very much depend on the valuation of the property.

For example, the legal fees for transfer (using the same Sale and Purchase Agreement transaction lawyer) for a property valued at RM650,000 (bought from a housing developer) would be RM1,550

For example, the legal fees for transfer (not using the same Sale and Purchase Agreement transaction lawyer) for a property valued at RM650,000 (bought from a housing developer) would be RM3,100.

For example, the stamp duty for transfer for a property valued at RM650,000  (bought from a housing developer) would be RM13,500.