I am 26 years old. Single. Wanting to purchase my first home.
My salary is just RM2300..
Only commitment is car loan at RM550 monthly (3 years loan left).

I am looking for fixed rate loan with NZEC.
I have RM13K from my savings+epf acc 2.. hopefully its enough for 10% down+ legal fees etc etc

Can I afford a RM80K apartment? Would the banks approve my loan?
Any suggestions are welcomed. Thanks.

This post has been edited by myvi5949: May 14 2009, 01:10 AM

should be ok lah

Really? I am looking forward to buy this property...its so reasonably price..and the location is good for investment.

1. If u buy the 80K loan, chances are you will take a loan of 90% - which is 72K - which implies a monthly repayment of around 350 per month. (30 year loan tenure)

2. Your debt burden would stand at about 39%. (550+350)/2300. From a credit processing perspective - it should not be a problem.

3. Having said that - your disposable income (after debt) would be 1,100 for other expenses and savings. Up to you to decide if that's enough for your lifestyle. Bear in mind though - a bulk of your savings of 13K would be utilized for the downpayment and other ancillary expenses.

4. My 2 cents - noble that u r finding your own place. Logically - even if u don't fork out 350 bucks per month for your mortgage - chances are u have to pay about that much to rent a room anyway. However, I would suggest u wait until your cash buffers get higher. Your 13K savings (which is not even pure savings because it includes EPF!) would be mostly utilized....this does not give u any buffer at all for any possible contingencies.

good luck.

Thanks for your advice. I am just so eager to buy the house now to capitalize with the interest rates being down. The property itself is a good investment in my opinion.. I just dont want to miss an opportunity..sigh wish my salary higher

TS can get a low cost unit in JB.
My first deal that went bust, selling price is only RM42k.

I am looking to buy the medium/low cost BBU apartment next to Angsana.. Might be able to pull it off depending how lucky i am. That's quite good price for low cost. Mind sharing me the location?

This post has been edited by myvi5949: May 14 2009, 08:58 AM

myvi, 2 question for you :

1. The house is purchased for own use OR for rental purposes?

2. What is the actual value of the prop?

hehehhe, everyone is right here.....using 13k savings is not enuff to purchase a 80k apartment just yet.....but I purchased my 1st investment (150k condo) using only 2k of my own cash, and borrowed the rest. Admittedly its was very risky thing to do, but I was "lucky"

Pai,

Don't be so humble lah

I don't believe in luck. But, the harder you work, the "luckier" you get.

I believe the TS implied it was for own stay.

It's at Tampoi, near Kip Mart.
I think you should know where Kip Mart is.

If it's for own stay, I won't tell you exactly where this unit is.

This post has been edited by jasonhanjk: May 14 2009, 01:48 PM

Its developer price is 80K.. would the bank value be different from what advertised by the developer?

I am happy staying at home with my parents. But i would like to purchase a house as soon as possible..
I might rent it out to provide some passive income. I think its easy to find tenant with the location being good.
Once i get married i would probably have to move in. Though in the long run i imagine the apartment being an investment vehicle only.. I might purchase a bigger house once my income increases.

I am sure that you're talking about leveraging for maximum returns. Though i don't feel comfortable leveraging too much with my current income.




Ohh i think i know where la.. good general location, but its at the back. I am more interested with Sri Wangi apartment though..



Luck is what happens when preparation meets opportunity. Hopefully i am prepared enough.

This post has been edited by myvi5949: May 14 2009, 08:58 PM

Ignore post.

This post has been edited by AndreA_ApplE: May 14 2009, 09:46 PM

Sri Wangi.

I just bought that unit for RM100k.
Market rate is 120k.

With the current interest rate, loan repayment is less than RM500.
I can sell you for 140k if you're interested.

i think the ts already forget about the quit rent(see if residential or commercial land thingy) and fire insurance, management fee, (rubbish fee?), downpayments for TNB, SYABAS, and others small mini thing that maybe not aware of. just be sure you prepare enough else really got nothing to eat leh...

maybe the house got things want to repair ?? err ??

40k increase within a year??.....i think should be 125k liddat la...

How much can you rent it? Whats the rental price like for similar properties in the same area?

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Added on May 15, 2009, 12:03 pmNot humble, am just thankful

This post has been edited by Pai: May 15 2009, 12:03 PM

Dont think i can afford that kinda price range yet..



Range from RM450 to RM650. But the apt is new development near amenities, shopping mall, mydin, and banks..probably can reach RM650
Repayments at RM320 per month for 30 year loan.



Let say i can only rent it out at RM600.. with RM320 installments, thats still below 60% ..


Already read about this. I keep it in mind. Maybe can dig out more cash.

This post has been edited by myvi5949: May 15 2009, 02:58 PM

myvi, if u r very confident that it could be rented at rm600 per month, think this deal is a no brainer. Btw, does the developer requires you to pay 10% dp? There r plenty of development nowadays requires less than 10% dp.

The low cost unit that I am referring to:

RM42k sales price
Rental RM450

I think your salary can fit well there.

Looks like i got no luck to apply for the 80k apartment.. Apply too late.. no more units left, except those "political" reserve.. I try apply for the unit from the Y.B.. but after 2 weeks still no respond.

The low cost ur referring to.. is it still available? u agent? My concern about Tampoi Indah area is that there is more supply then demand with the new low cost housing at the back there.

I am still pondering.. maybe i should just go for the SPNB project at Taman Molek. I am not sure if i can get it rented out though. Need to do more homework on the area..