Just need some opinion of sifu here:-

Currently I just bought new property and I can only get 70% due to bank negara 70% LTV. (I already have existing two housing loan)

I plan to finance 30% different by top up from one of my existing property (occupied myself) which still serving under flexi mortgage loan with Bank A.

Calculation of top up :-

Current market value RM900,000

Margin of finance (estimated at 70%) RM630,000

Less : Existing flexi loan outstanding RM390,000

Maximum amount top up by Bank A RM240,000

I have two option for top up :-

a) Overdraft at BLR +1%

b) Term Loan at BLR - 2% and lock in period 3 year

Irrespective whether which option is choose......2nd charge will be created to the existing property by Bank A.

Btw....I haven't apply the loan yet for the new property. Should I wait the above top up approved by Bank A then after only go for apply loan. Or the other way.

Do any sifu can advise pro and con of these options. Tks.

This post has been edited by scongi: Oct 17 2013, 12:20 PM