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THIS WEEK AUCTION ENTRY - 250
RM
  • No. 21, Jalan Mahligai 5D/KU2,...
    820,000
  • No. 69, Jalan Bagan Kurnia 8, ...
    190,000
  • No. 1038-P, Taman Sri Pantai, ...
    500,000
  • No. 63, Jalan Desa PD 2/2, Tam...
    120,000
  • No. 5, Jalan Rusa 6, Taman Sci...
    375,000
  • No. 19, Lorong Dato Dagang 52B...
    400,000
  • No. 440, Jalan Intan Duyung 21...
    130,000
  • Unit No. A-19-2, Residensi Kia...
    576,000
  • No. 27, Jalan Wangsamas 2, Buk...
    1,400,000
  • 21-07, 21, Pangsapuri Seri Mut...
    252,000
  • No. 22, Jalan Sentral 23/12, T...
    900,000
  • No. 22, Jalan Sentral 23/12, T...
    900,000
  • Lot 780, Kg. Padang Pak Dogol
    117,000
  • No. 56, Jalan Puyuh, Taman Buk...
    82,000
  • Lot No. 198, Kampung Sri Bunga...
    350,000
  • No. 5, Jalan Perak 1, Taman Sr...
    340,000
  • No. 66, Jalan Seri Bayu 2/2, T...
    180,000
  • No. 3, Jalan Sutera 1/5, Taman...
    108,000
  • No. 8, Jalan Bukit Flora 2, Ta...
    260,000
  • No. S1-01-25, Block S1, Sutram...
    270,000
  • No. S1-01-25, Block S1, Sutram...
    270,000
  • No. 24, Jalan Prima 3/3, Taman...
    549,000
  • No. 4, Persiaran Iskandar Perd...
    100,000
  • PT 36023 dan PT 36024, Jalan G...
    360,000
  • No. 93, Lorong Unijaya 7, Tama...
    346,000
  • No. 52, Jalan Bunga Raya 15, T...
    40,000
  • No. 39, Taman Bersatu
    45,000
  • No. 69, Jalan Sri Kayan 2, Tam...
    45,000
  • No. 16, Jalan Bistari 4/16, Ta...
    200,000
  • No. 116, Persiaran Muhibbah Ja...
    130,000
THIS MONTH AUCTION ENTRY - 1,969
RM
  • No. 71, Jalan Tanjung Jinti 28...
    450,000
  • No. 31, Jalan Ponderosa 2/7, T...
    2,771,000
  • No. 36, Jalan Lading 28, Taman...
    200,000
  • Unit No. 5-6-3A, Block 5 (Cher...
    570,000
  • No. 5, Jalan Cahaya 3, Villa L...
    2,250,000
  • Lot 238, Jalan Tepi Sungai Ten...
    384,000
  • No. 2033, Lorong Serai 12/4, T...
    200,000
  • No. 4, Jalan Gerbang Tanjong 1...
    160,000
  • No. 21, Jalan Mahligai 5D/KU2,...
    820,000
  • No. 69, Jalan Bagan Kurnia 8, ...
    190,000
  • No. 1038-P, Taman Sri Pantai, ...
    500,000
  • No. 63, Jalan Desa PD 2/2, Tam...
    120,000
  • No. 14, Jalan Kempas Indah 1/9...
    650,000
  • No. 5, Jalan Rusa 6, Taman Sci...
    375,000
  • No. 247, Jalan Mantau Indah 2/...
    190,000
  • No. 344, Jalan Desa PD 7, Tama...
    100,000
  • No. 226, Jalan Zamrud 11, Tama...
    210,000
  • No. 30, Jalan Cempaka 5, Taman...
    150,000
  • No. 19, Lorong Dato Dagang 52B...
    400,000
  • No. 440, Jalan Intan Duyung 21...
    130,000
  • No. 1, Jalan Awan Cina, Taman ...
    1,620,000
  • No. 753, Jalan Hijayu 2/52, Hi...
    878,000
  • No. 10, Lorong Temenggung 17B,...
    470,000
  • Unit No. A-19-2, Residensi Kia...
    576,000
  • No. 27, Jalan Wangsamas 2, Buk...
    1,400,000
  • No. 2001, Jalan Warisan Puteri...
    380,000
  • No. 251, Jalan Sendayan Indah ...
    170,000
  • Unit No. C-1-1, Setiawangsa Bu...
    580,000
  • No. C-0-1, Ground Floor, Setia...
    800,000
  • Unit No. A-02-2, Mutiara Upper...
    1,053,000
HOT AUCTION HIGHLIGHTS - 243
RM
  • No. 5, Jalan Cahaya 3, Villa L...
    2,250,000
  • No. 1, Jalan Awan Cina, Taman ...
    1,620,000
  • No. 28, Jalan Mutiara Tropican...
    875,000
  • No. 19, Jalan Ambang 3/1, Hori...
    800,000
  • No. 5, Jalan Sierra 9/3A, Sier...
    1,800,000
  • No. 9, Jalan Teratak U8/96C, B...
    2,070,000
  • No. 53, Jalan Ambang 2/3, Hor...
    1,000,000
  • No. 89, Jalan U-Thant
    9,400,000
  • No. 33-B, Lorong Abu Siti
    2,300,000
  • No. 32, Jalan Biola 33/1, Elit...
    1,710,000
  • No. 34, Jalan Biola 33/1, Elit...
    1,710,000
  • Budget Hotel at No. 159, Golde...
    900,000
  • No. B-16-2, Binjai Residency, ...
    1,800,000
  • No. 9, Jalan 2/4C, Desa Melawa...
    4,000,000
  • No. 11A, Denai Pinang 10, Seri...
    2,430,000
  • No. 7, Jalan Kempas 3/2, Sekse...
    1,000,000
  • Unit No. BP-G-10, BP-1-10, BP-...
    1,620,000
  • PLO 296, Jalan Tembaga 2, Kawa...
    8,300,000
  • No. 37, Jalan Perak
    4,950,000
  • No. B-2, Jalan Seri Kuantan 2,...
    2,361,960
  • No. 26, Jalan TR 1/2, Tropican...
    874,800
  • No. 42, Jalan Yeap Chor Ee, Is...
    2,160,000
  • No. 72, Lebuh King
    3,159,000
  • Lot 58, Jalan Gebeng 1/10, Kaw...
    3,100,000
  • No. 25, Jalan Lagenda 2, Lagen...
    3,500,000
  • Unit No. 5-12-3A, Level 12, Bl...
    720,000
  • No. 17, Halaman Juru Setia 10,...
    800,000
  • No. 5, Jalan Laman Estuari 1/6...
    792,000
  • No. 2, Jalan Pinggiran 4, Tama...
    1,166,400
  • No. 10, Golf Villas, Jalan PJU...
    4,600,000
PROPERTY FOR SALE - 42
RM380,000
Condominium
Tenure
: Leasehold
Property Size
: 1,006 sq. ft.
Location
: Puchong
PROPERTY TO RENT - 17
RM1,650
Apartment
Tenure
: Leasehold
Property Size
: 771 sq. ft.
Location
: Shah Alam
NEWS

FORECLOSURE VIA AUCTION: ALTERNATIVE SOLUTION FOR NON-PERFORMING CORPORATE LOAN

Date: 20/06/2014

YOUR Corporate loan is in default or close to being in default and when this happens, generally our country’s financial institution will appoint Receivers and Managers (R&Ms) or liquidators to obtain the repayment of the lenders and at the same time to reduce the burden of the borrowers. 

 

Upon the appointments of R&Ms and liquidators, they usually secure the asset charged to the financial institutions (properties) and dispose by the process of tender and expression of interest if you are unable to repay the loan.

 

Sometimes the R&Ms and liquidators may encounter difficulties in selling the distressed assets via the method mentioned above or the appointment of agencies. Furthermore the delay in selling the distress assets can cause high carrying costs for the lenders and also for the borrowers such as interest payment, utility bills, maintenance charges, and other unnecessary inconveniences such as unscheduled viewing to unqualified prospects.

 

Gary Chia of AuctionGuru.Com.My, said that an alternative solution for non-performing loan is via auction. “It is important for the borrower who is falling behind in repaying their loan to take a more proactive approach in finding a solution. 

 

“Contrary to popular belief, your lender does not want your property what they want is to get back what was lost. Worst if they have to enter foreclosure, this can cost them as much as 20% of the remaining principal balance.

 

Chia explains that many people are starting to turn to selling their property via auction as a way to tackle non-performing loans. The auction format has many advantages both for lenders and borrowers. “Nowadays you can see that many real estate deals are clinched through auctions. It is an effective and excellent way to convert personal property into cash quickly in a fair and equitable way. “Auction is usually conducted by property auction specialist who will take the task for appraising, advertising of the properties and providing a venue for the auction to be held.”

 

Chia elaborates that from the simple process above it accelerates the entire marketing process therefore properties are sold in a shorter time frame compare to properties that are sold through estate agents. “The properties that are going under the hammer will have the advantage that it will be advertised well before time to many potential genuine buyers furthermore on auction day itself, because of the buzz and the process of competitive bidding of a property amongst interested buyers it automatically speeds up the entire marketing process.

 

“Another great advantages, is that the sellers have the right to dictate the minimum price of sale and the final selling price will be determined by the highest bidder, which there is no cap on the final ceiling price.”

 

Chia added that during an auction, if the seller is lucky enough or the property is really good, the auction price can exceed the market value. “Generally people are always interested in a potential deal and the chance to buy a property at a great discount will always get people in the door. Furthermore the auction creates the illusion of lost opportunity. Buyers are more likely to make a decision on buying a house when they are faced with the thought of the prize being pulled away from them.

 

“A few example, in a recent auction, one landed property in Desa Parkcity were sold for RM1.35 million with a reserve price of RM1.2 million. A condominium unit at K Residence sold for RM2.52 million with reserve price of RM2.1 million. Another one was a piece of land located near KLCC area with land size of approximately 2 acres plus was sold at RM84 million with a reserve price of RM59 million.

 

“To compare with the traditional real estate sales, sellers run the risk of overpricing the property and seeing very little interest, as well as underpricing the property and selling it for less than its actual value.” said Chia. Auction can be an alternative solution for non-performing loan to overcoming it, emphasise Chia, it is even an effective selling option for the lenders, R&Ms and liquidators.

 

To learn more about property auction you can log on to www.auctionguru.com.my. Through the website you can get extensive information on foreclosure properties as it keeps track of all public real estate auctions advertised in all the local media. It is a useful reference that can benefit bankers, valuers, investors, and the general public. It also keep readers updated with the latest property auction news nationwide.

 

For more information, you can call AuctionGuru.Com.My on 03- 6205 3325 or log on to www.auctionguru.com.my.

 

by Gary Chia

    AuctionGuru.Com.My

 


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