Document background
The Letter Of Intent To Purchase Residential Property is a crucial preliminary document in Malaysian real estate transactions, typically used before entering into a binding Sale and Purchase Agreement. It serves as a formal expression of interest from a potential buyer to a property owner or developer, outlining proposed terms including purchase price, payment structure, and key conditions. While generally non-binding, it demonstrates serious intent and can help secure initial negotiations. This document is particularly relevant in Malaysia's property market, where it helps establish clear communication between parties and can be used to initiate processes such as legal due diligence and financing arrangements. The letter must consider Malaysian property laws, including the National Land Code 1965 and the Housing Development (Control and Licensing) Act 1966, while maintaining its primary function as a preliminary agreement.
