-- Please select --
I. Basic knowledge of land ownership in Hong Kong
Am I holding a Government lease while owning a flat in a multi-storey building?
What are the different ways of owning a property? What is sole ownership and what are joint tenants and tenants-in-common?
I am not the "registered owner" (my name is not written on the title deed of the flat which has been registered in the Land Registry) but I have paid part or all of the purchase money of the flat. Do I have a say in matters concerning the property? For example, can I prevent the "registered owner" from selling the property?
II. The estate agents' services (with an overview of the sale and purchase procedures)
I want to sell my flat. What services can I expect from an estate agent?
As a vendor, must I sign an estate agency agreement when I ask an agent to help me sell my flat?
Can the same agent serve both the vendor and the purchaser?
Do I pay less commission if the same agent serves both the purchaser and me (the vendor)?
I want to buy a flat. What services can I expect and what information can I obtain from the agent who shows me a flat?
As a purchaser, must I sign an estate agency agreement when I ask an agent to show me a flat?
Do I pay less commission if the same agent serves both the vendor and me (the purchaser)?
What if I sign a 'Form 4' with an agent who shows me a flat, and later, I buy the flat through another agent or directly from the vendor?
What if I sign a 'Form 4' with an agent who shows me a flat, and later, someone related to me (e.g. my spouse) buys the flat through another agent or directly from the vendor?
Where can I go to make a complaint if I am not satisfied with my agent?
Before I buy the flat, I find out that my agent gave me false information or he forgot to tell me some important information about the flat. Can I terminate the provisional agreement and sue my agent (and his employer) for compensation?
III. Provisional sale and purchase agreement
I want to purchase a flat. What should I do before I sign the provisional sale and purchase agreement and pay the initial deposit?
When the property is sold with an existing tenancy, what should the purchaser and the vendor be aware of?
What are the usual terms that would be contained in the provisional sale and purchase agreement?
Should the provisional sale and purchase agreement be stamped and registered?
What should a purchaser be aware of if there is an existing mortgage on the flat before he/she signs the provisional sale and purchase agreement?
If a purchaser intends to buy a flat over which there is a negative equity (the purchase price to be paid cannot fully offset the outstanding mortgage loan), how can the purchaser deal with the risk?
What should a purchaser do if a mortgage is needed?
Can a purchaser re-sell the property after signing the provisional sale and purchase agreement?
IV. Formal sale and purchase agreement
What are the usual steps for signing the formal sale and purchase agreement and paying the further deposit?
I (as a purchaser) signed the provisional agreement but I want to add my spouse's name or my parents' names into the subsequent formal agreement. Can I do that?
If I want to sell or transfer my flat to a member of my family or a relative, what should I be aware of?
How much stamp duty is payable for the sale and purchase agreement for the property?
Is there any difference between 'residential' and 'commercial' properties as far as stamp duty is concerned?
Under what circumstances can the purchaser apply for deferring payment of stamp duty?
Should the sale and purchase agreement for the property be registered at the Land Registry? How much is the registration fee?
How much will I have to pay the solicitor for a property transaction? Is there a fixed scale?
V. Consequences of breaching the sale and purchase agreement
If one party commits other wrongful acts, e.g. the vendor broke a small window in the kitchen, can the other party terminate the sale and purchase agreement or claim for compensation?
VI. Completing the sale and purchase transaction
If there are some "new expenses" (e.g. repair costs for the relevant building) come out after the parties signed the formal sale and purchase agreement but before the completion day, should the vendor or the purchaser bear these expenses?
VII. Sale and purchase of Home Ownership Scheme (HOS) flats
VIII. Sale and purchase of property under construction
Sale and purchase of property under construction is governed by either the "Consent Scheme" or the "Non-Consent Scheme". What are the differences between these two schemes?
If the developer/vendor fails to complete the building and hand over the flats to the purchasers on time, can the purchasers terminate the agreement and sue for compensation?
IX. Deed of Mutual Covenant and Owners' Corporation
What are the functions of the Owners' Corporation and the building manager?
How to set up an Owners' Corporation?
X. Case illustration
VI. Completing the sale and purchase transaction
Steps in completing the sale and purchase of a property:
. assignment (*note a)
Approves the assignment.
Vendor arranges for the Purchaser to make a final inspection of the flat.
Vendor & Purchaser
Signs the assignment (and the mortgage, if any).
Gives a cheque for the balance of the purchase price to the Purchaser's solicitor.
(If the Purchaser has been granted a mortgage loan, the bank sends the loan money to the Purchaser's solicitor.)
Signs the assignment and gives the keys of the property to the Vendor's solicitor.
Gives the assignment and keys to the Purchaser's solicitor.
This is usually done not later than 5 p.m. (weekday) or 1 p.m. (Saturday) on the . completion day (*note b)
Undertakes to ascertain that all mortgages are paid off within a certain number of days (if Vendor has taken out a mortgage on the property).
Gives the cheque(s) for the balance of purchase price to the Vendor's solicitor.
This is usually done not later than 5 p.m. (weekday) or 1 p.m. (Saturday) on the completion day.
Gives the keys to the Purchaser, and stamps the assignment at the
. Stamp Office (*note c)
Arranges for the Vendor to pay off all mortgages (if any) on the property.
If no mortgage to be discharged, the balance of purchase price (less legal costs) will be paid to the Vendor. Skip steps 12 and 13 below.
Issue a discharge of the mortgage, which shows that the Vendor's mortgage loan has been paid off.
Bank (Vendor's mortgagee)
Collects and sends the discharge to the Purchaser's solicitor.
Registers the assignment with the
Land Registry (*note d)
(If there is a discharge and a new mortgage, the Purchaser's solicitor should also register them with the Land Registry.)
Gives the registered assignment and all other title deeds to the Purchaser (or gives them to the bank if the Purchaser has been granted a mortgage loan).
assignment is a document transferring the title (i.e. property ownership) from the vendor to the purchaser. It will be signed on the completion day.
b) The property will be formally transferred from the vendor to the purchaser on the
completion day . Keys will be delivered to the purchaser and the balance of purchase price will be paid to the vendor within this day (which represents the formal completion of the sale and purchase).
c) The current
stamp duty for an assignment for residential property is $100 (if the preceding agreement for sale and purchase has been stamped). In respect of an assignment for non-residential property, the full stamp duty is payable (please refer to the relevant Q&A.)
d) The current
registration fee for an assignment is $230 (property price not exceeding $750,000) or $450 (property price exceeds $750,000). For details, please go to the Land Registry's website.
If there are some "new expenses" (e.g. repair costs for the relevant building) come out after the parties signed the formal sale and purchase agreement but before the completion day, should the vendor or the purchaser bear these expenses? Top