Owning a land in Malaysia involves the entitlement of various titles and first of them is a master title. This title proves the ownership of an individual. The records of vital information like land use, mortgages, caveats, restriction-in-title, and more is stored in the title. However, depending upon the type of property and development stage, an individual is entitled to different property titles. The beginning of your land ownership begins with a master title. This legal document is issued at the initial stage of the development of the property. In short, the moment you permit construction on your owned piece of land, you receive a master title.
The master title is an important record that solidifies your ownership of the most important asset of your life, that’s your land. Let us further know about this master's title.
The master title is a king
This document is one essential document that is provided during the development stage of a land. This record allows you to sell or transact your property. An individual owner can get this title from the local land office of Malaysia. Once you get them, you are technically the owner of all the properties that come under the title.
However, several separate titles are also entitled under this master title. But the owner has full right over the land until those subtitles are not given. But there are some commonly shared areas in the master title which are swimming pools, playgrounds, and outdoor areas.
These titles can be confusing for someone who is buying a property or land for the first time. Henceforth, we are here to explain the difference between all the common ownership titles to our readers.
How master title differs from strata and individual title?
You might have heard of the strata and individual titles. What are these? These three are the official documents you will receive related to property ownership in Malaysia.
Master title- till now, you got a little idea about this. At first, when you own land you will get a master title. You have a full right under this title as long as you are holding this title. But when the property is separated into units or apartments you have to share the land areas. The areas will be sold off easily to individuals and they also get smaller titles.
Strata title-if the land is subdivided into serviced apartments, condominiums, offices, and retail complexes then owners get strata title. These are high-rise buildings. Under strata title, the details of ownership along with the access of particular areas are also included. Earlier, getting this title was a lengthy procedure for which owners have to wait for several years but now they can get as early as 3 months of completion of the structure.
Individual title- owners of bungalows, terrace house, semi-detached houses, super links, and separate landholders get this title. It also covers the details of the land entitled to individuals. Luckily, getting individual titles is a speedy process than strata titles.
However, before purchasing the property buyers must ask the agents whether their land property will get individual or strata title. This is because some properties share common facilities under the strata title.
Other than this you may also want to know whether the property come in freehold vs leasehold.