I am searching and will buy my first home. However, I have no idea about the finance & legal aspect of it.

1) My friends informed me that I should buy a few months ago. Another friend informed that I enjoy more benefits if I buy this year. May I know what is the difference if I buy this year and next year? (except the BLR?)

2) I am targeting a RM220K condo. After paying 10% deposit, I will need to get about RM200K house loan.
i) Can I know which bank offered the best rate?
ii) What should I be looking at when choosing a house loan?
iii) What is ZEC, Non-ZEC & EPA?

3) If I want to pay more deposit using my KWSP, how should I go about it? I know that it can only be done after I sign the Sale & Purchase Agreement. But how soon, is it once, a week, a month after the signing?

1) My friends informed me that I should buy a few months ago. Another friend informed that I enjoy more benefits if I buy this year. May I know
what is the difference if I buy this year and next year? (except the BLR?)

Few Month ago the bank still offer BLR-2+% package for Zero Entry Cost package. Thus you saved few k of money for the legal fee. Now it's no more ZEC package for sub sales property.

2) I am targeting a RM220K condo. After paying 10% deposit, I will need to get about RM200K house loan.
Can I know which bank offered the best rate?

Now almost all about the same which is around BLR-1.7 to 1.85% depend on the margin and MRTA option. So for now, better get the loan from the bank that is your preferred and most convenience to you. If you need help getting the loan, you may contact me too.


ii) What should I be looking at when choosing a house loan?

Interest rate (but now almost all the same),
Lock in period ( how long you have to serve the loan before you can refinance or sell of the property),
Penalty rate (how much you have to pay for penalty if you refinance within the lock in period)
Full flexi, or semi flexi, or normal conventional term loan.
Interest calculation (daily, weekly or monthly) Normally calculate by daily already, which is the best.
And others T&C that you feel not comfortable.


iii) What is ZEC, Non-ZEC & EPA?

ZEC = Zero Entry Cost = bank pay all the cost legal fee, stamp duty for you, but there is no more ZEC offer for subsales unit
Non-ZEC = Non Zero Entry Cost = You have to pay all the cost
FEC = Finance Entry Cost = You finance the cost into the loan amount
EPA = (i'm not so sure also) maybe Exit Penalty Amount?


3) If I want to pay more deposit using my KWSP, how should I go about it? I know that it can only be done after I sign the Sale & Purchase Agreement. But how soon, is it once, a week, a month after the signing?

Once you sign the S&P, you may straight away bring along the S&P to KWSP to process it.


Goodluck,
Onn

This post has been edited by onnying88: Nov 17 2009, 08:18 PM

1)your eligible tenure will be reduce by 1 year
2)
i)do your homework. most bank now have similar package BLR-1.8(NZEC)
ii)(full-flexi, semiflexi,fixed rate=conventional loan) or islamic loan, also look at "lock-in period" and MRTA
iii)
a)ZEC=zero entry cost, -it means bank will absorb all or cap amount of the cost to obtain loan. i.e legal charges (loan agreement+disbursement ) ,loan processing fee and stamp duty for your loan agreement.
b)NZEC= NON zero entry cost, - you bear all of the above charges
c)EPA=??not sure or issit SPA?

3)KWSP-money will be credit into your account in 7 working days after your application at KWSP counter.

TS FYI I just signed LO from OCBC around 200K BLR -1.7 after 5 years BLR -2.4 ZEC. But this is property under Construction. I am not sure about subsale.

same rate n bank....mine is subsale....

if buy directly from developer or newly launch project, u think bank will offer zero entry cost?

I heard no more ZEC from Standard Chartered,not sure about other bank and the maximum is -blr 1.9%.

Another thing not being mentioned, ZEC has higher interest than NZEC.
For example, if using NZEC, you may get BLR - 2++%. But using ZEC, you may get somewhere around BLR-1.7%.

is it for real, no more ZEC for sub sale.. gosh.. I'm glad I bough sub sale property just a few months ago using ZEC package..

This post has been edited by zeese: Nov 18 2009, 11:32 AM

It's depend on the agreement between the bank and the developer. So better check with the developer before purchase.

cimb oso no more zec, and the rate is -1.7%


please also take into consideration the lawyer that you will choose....

This post has been edited by leongal: Nov 18 2009, 12:22 PM

Buy a second hand house may be better.
My new house still couldn't move in, why?
it is abandoned after completed 80%...
I now have big debt with bank...

2. Be aware, buy from well known developer.

ermm may i know the word: please also take into consideration the lawyer that you will choose
btw i am noob here about buying new house how much deposit really need to buy 150k house

10%? New or sub sale?

Don't forget your legal fees, stamping fees... Also, not that banks don't offer ZEC, that's another cost to consider (at least from the offset)...

Deposit usually 10% - RM 15,000

Estimated S&P agreement fee = RM 2,575
Stamp duty for S&P = RM 1,000 (Suppose to be RM 2,000 but got 50% discount cos ur property less than rm 250k)
Estimated loan agreement fee (if you taking 90% loan) = RM 3,092.50
Stamp duty for loan agreement = RM 337.50 (Suppose to be RM 675, but got 50% discount)
Memorandum of transfer = RM 2,000

Therefore, estimate that you should have at least RM 20,912.50 at hand before u start buying...

Figures from: www.fiscal-wise.com.my

wat bout legal fees>?

wat is memorandum of transfer? how is it be calculate?

the s&p agreement fees and loan agreement fees are the legal fees

memorandum of transfer fee - is the fee needed to transfer the title from one owner to another

go to the website, and you key in the figures of your property amount and loan amount, it will compute for you

I know that 50% stamp duty waiver is if property is less than RM250K.
Can I know if it's only valid until 31/12/09?

This post has been edited by NaiveLady: Nov 22 2009, 05:55 PM

if i wanna buy at property value at rm190k, how much is the legal fees i need to pay for the S&P? assume i pay 10% deposit
from www.fiscal-wise.com.my, is RM5669.
is it correct?
is the website auto will discount the stamp duty?
thanks

as far as i know, i think there is no expiry date stated...

---

Added on November 23, 2009, 10:14 ami dun think it auto discount the stamp duty...

This post has been edited by leongal: Nov 23 2009, 10:14 AM

If I buy new properties, usually the developer pay the stamp duty, legal fees and etc.....
If I buy existing properties, who have to pay? Is it seller or buyer or both?

Is this correct?

S&P Stamp Duty Rates:
First RM 100,000.00 = 1%
Next RM 100,000.01 - RM 500,000.00 = 2%
Next RM 500,000.01 - RM 2,0100,000.00 = 3%
Above RM 2,000,000.00 = 4%

Loan Agreement Stamp Duty Rates:
Any Amount = 0.5%

How abt the calculation for loan agreement, transfer of title, etc.....???


This post has been edited by NaiveLady: Nov 30 2009, 10:35 PM