Document background
The Property Options Contract is a crucial document in Malaysian real estate transactions, providing a structured framework for property acquisition negotiations. It is commonly used when a potential buyer needs time to arrange financing, conduct due diligence, or secure necessary approvals before committing to a purchase. The document grants the Option Holder exclusive rights to purchase the property within a specified period, typically ranging from 14 days to 3 months, in exchange for an option fee. This contract type must comply with Malaysian property laws, including the National Land Code 1965 and the Contracts Act 1950, and may require additional provisions for foreign buyers under the Guidelines on the Acquisition of Properties by Foreign Interests. The agreement protects both parties' interests by clearly defining the option terms, property details, purchase price, and exercise mechanisms.
