SPA – Sales and Purchase Agreement
A legal contract binding the seller and purchaser pertaining to the property transaction and containing all the agreed terms and conditions.
LO – Bank’s Letter Offer
Bank’s letter issued after loan approval for offers of mortgage to the borrower.
LA – Loan Agreement
Is a contract between a borrower and a lender/banker detailing the conditions for a loan.
FA – Facilities Agreement
The loan agreement between borrower and financier.
DOA – Deed Of Assignment
The assignation of right and interest in property without title to financier for loan duration.
PA – Power Of Attorney
An agreement allowing the financier to deal with the property on buyer’s behalf without title.
MOC – Memorandum Of Charge
Signed in lieu of deed of DOA and PA, if the property title has been issued.
MOT – Memorandum Of Transfer
Is to use to transfer the ownership in the house from the developer/seller to the buyer
SD – Statutory Declarations
Declarations we make officially to clarify certain issues.
TA – Tenancy Agreement
Is a contract between tenant and landlord. It may be written or oral. It gives certain rights to both tenant and landlord, for example, the right to occupy the accommodation and the landlord’s right to receive rent for letting the accommodation.
Letter of Offer
Is a document that details the terms and conditions of the transaction. It is drafted before any payments are made and signed by both the buyer and seller. It expresses the intentions of the buyer to purchase property but is not a legally-binding contract yet.
Difference Between Booking Fee and Earnest Deposit.
Both booking fee and earnest deposit are the initial payment made by the buyers to the sellers to indicate their interest in the property offered. They can be used as part of the final agreed purchase price or rental price. The difference is that the earnest deposit is forfeitable while the booking fee can be recovered, depending on the contract.