Document background
A Letter Of Intent To Sell House is commonly used in Malaysian real estate transactions as a preliminary step before entering into a formal Sale and Purchase Agreement. This document is particularly useful when parties want to document their initial understanding and commitment to a property transaction while allowing time for due diligence, financing arrangements, and other preliminary matters. While not fully binding, it typically contains essential elements such as property details, proposed price, payment terms, and conditions precedent. The document is subject to Malaysian property and contract laws, including the National Land Code 1965 and Contracts Act 1950, and serves as a framework for the subsequent formal agreement. It's especially valuable in complex transactions or when dealing with high-value properties where parties need to establish clear intentions before proceeding with the full legal process.
