Hi Neighbours, V4 up and running, keep it all coming!

Bro Vislai,

So, its between CIMB and Hong Leong now:
I would go with HLB if can afford the 30 years repayment.
I can use the reno loan for another prop investment.
I can save the monthly cost of maintaining the account since I wont be paying excess every month.

But, if I dont need the reno loan, I will go with CIMB, since I have 35 years and I rather have longer repayment tenure since, most of us will try to pay off earlier.

CY, get well soon. Catch you later.

The usual standard is 2 weeks to sign LO, but now market is competitive, some pressure you to sign cuz they dont want you taking the LO to other banks for counter offer.
You should have an expiry date in the LO.

I dont think it matters really, should you sign LO now and SEH says no DIBS and rebate is given - the amount of rebate will not be made known to Bank, and you will still serve the loan - perhaps instead of SEH paying the interest, you would be paying it, to me its more important to secure a loan than DIBS.

I dont know how this is going to pan out. But, being SPS, I am sure they will be able to pull the strings as their launch was in September.
What i understood from some banks that confirm DIBS regardless of budget, but now bankers arent saying anything till SPS gives the final verdict.
Also, SPS isnt saying anything perhaps because they havent got the DL for SEH. Nevertheless, its a good thing that they are not over promising anything - and taking the time to make informed decisions. I would still continue to purchase whether DIBS or non DIBS but expect rebate if no DIBS.

Similar to bro Doom2, CIMB, HSBC and HLB confirmed that this is a DIBS project and will be financed accordingly. However, we still need final confirmation from SPS.

Bro Vislai,

Yes, RHB DSR is too low, they took alot of loans for processing, but application rate vs approval rate varies alot; they cant book loans if DSR is >80% and their income recognition (bonus/allowance) is low too thus low DSR.

Congrats, I am still waiting for CIMB to come back to me as they are working on a special package since I am staff.

RHB have customer service issues - they are not as aggressive as other banks - I dont have any bad experience, but since I worked there previously, we had tough time educating the bankers on the new credit application. Similarly, I also apply HSBC, OCBC, SCB, Citi (if got) and CIMB.

However, for SEH package, they were exceptionally fast though low DSR.
Pre-approval status was known within a day and they by far have the best package.


This post has been edited by darween13: Oct 28 2013, 03:53 PM

Bro sam,

You should have applied to Sherlyn, the leng lui. Efficient and effective. Banker with looks.

As i said it depends on your appetite.
I personally thought the Merrum was steep at RM1m, but then after due consideration, I concluded that the price is justifiable.
And, DIBS, yes, though it helps but the interest during construction would not be material till you have reached 50% drawdown.
Hence, as long as there are rebates, I can digest the non DIBS - but, the rebate amount is immaterial, as I am not going to pull out from the project. Then again, what you said is valid - good to know what are we signing for in Black and White as it is a tedious process to withdraw.

No worries. There's always another prop to look for.

What I meant was the materiality of the interest. Only when the drawdown is approaching 50%, you would experience significant contribution to interest repayment. 2years construction, I would say, 50% drawdown will be in the 9th or 10th month of signing SPA. So, still bearable. Stagnia is alright in my view; just didnt like going so far in and dont know what is on the other side of the land - my first choice from the day of launch of WC has been Merrum and I went with Merrum eventually. Stagnia is having some premium because it is from Phase 2, not planned for launch together with Merrum. Layout isnt that bad either, their C-Shape was smaller than all the C-Shape in Merrum. Merrum B1 is also kinda weird the design, I personally think, some of the houses arent space effective - not the right layout, but they had to differentiate in one way or another - hence, I believe its okay.

Relax mate.

My order of choice should I not hit the Merrum was Aravia and then Stagnia; Aravia only because the land size was big. Stagnia was my 2nd choice in terms of built up.

But, luckily the Merrum B1 that I wanted was available and I managed to book that. Yeah, my loan has been approved with HSBC as well, just pending developer code prior to generating the LO. I am not keen in fighting for the BLR-2.45% / BLR-2.5%; at the end of the day, it is not so material to me. I am only keeping my options open now for offer from CIMB - since I am CIMB staff (whom did not take up the staff loan due to the restrictions) - the Bank is proposing for a better package.

I would be glad if its BLR-3%; else, I will just go with HSBC since the Personal Banker who served me was so efficient and prompt. She's young too, should give her a push to do well.

I am guessing approximately RM50-70k.
Assuming interest is RM3k per month which is what we will pay upon full drawdown - so RM3k is overestimate.
RM3kx24mths = RM72k.
Unsure if this could be lower or higher. Because, usually, during the beginning 5 years of the loan, interest makes up to approx. 80% of the repayment amount.

Is this confirmed? I received a call from my PBB banker - she said, waiting for SPS reply.

Bro doom2,
Dont think they will change the materials used, there could be cash rebate. Remains to be seen.

True; but the pricing which the loan is based on - is inflated with the DIBS element. Assuming, we bought Merrum at 1M and now no more DIBS - means our interest is based on 900k (90%MOF) - which could have been based on 800k (should the price be lower by 100k). However, the customer can probably still revoke the LO as the LO will state DIBS and the LO needs to be amended. You can refuse to sign the amended LO.

I will continue too; but I am sure there will be either Cash Rebate or Future Claim of Interest on a periodical basis.

The LO could be invalid, right? Those buyers will need to re-apply; i foresee if this happens, SPA signing wont be anytime soon.