Sale and Purchase Agreement (SPA)
A legal contract that obligates a buyer to buy and a seller to sell a product or service. SPA are found in all types of businesses but are most often associated with real estate deals as a way of finalizing the interests of both parties before closing the deal.
Developers in Malaysia must follow and use the statutory Sale and Purchase Agreements for the sale of their properties. There have two types of Sale and Purchase Agreements:-
When you purchase of landed properties with individual title such as terrace houses, bungalow, semi-detached.
When you purchase of high-rise and subdivided properties strata title such as flats, condominiums, townhouse and gated & guarded landed properties.