Any idea what's the max tenure for government loan?

30 years for the first borrowing, 25 years for the second one.

25 yrs seems relatively short as property prices nowadays are quite high.

And they can only borrow up to 60% of their salary. So it's generally a good idea to just keep it as your 3rd and beyond housing loan.

Is the government loan borrowed through bank like BSN and Bank Rakyat? Else how would it be reflected in CCRIS?

That's the beauty of it. Government loans (at least Mortgages) are not reflected in the CCRIS.

However, it is reflected in your payslip, as such the banks would know that you have at least 1 housing loan with the government!

That's why, for the first house, if you can, do use commercial banks. Then for your 3rd house, use the government loan to get higher margins

I see... Thanks for the info

currently my loan with EON bank (merge with HLBB) already 3 years+ (past lock-in period), full flexi
RM212k for 30 years @ FDR+2.75% interest, paying RM1k per month (november last month increase to RM1.1k per month)

based on current valuation, property increase to RM450k (neighbor house just sold for this price) & thinking of refinancing.

1. maybank - max 10 years tenure
2. cimb - max 10 years tenure
3. alliance - max RM350k @ BFR-2.30%
35 years @ RM1667 per month
30 years @ RM1784 per month
25 years @ RM1955 per month

thinking of settling all below debts & have only 1 loan to service:
2 car loans @ RM60k
PTPTN loan @ RM40k
CC @ RM6k

is it worth to refinance & other banks can offer better rates/higher amount?

For this loan amount, I can help refinance for at least BLR -2.35% with OCBC and Hong Leong for 35 years. If you would like to do this, we can quickly meet up and I can straight send in the docs tomorrow. Results in about 5 working days.

It's good to consolidate these loans since they (except for PTPTN as I am not sure about them) all have higher interest rates than housing loans. Car loans use simple interest rate calculation and almost always have higher rates than housing loans.

At FDR+2.75% it is high time for you to refinance

Faiz Azmi + 6 013 369 3993

This post has been edited by wild_card_my: Dec 19 2014, 12:23 AM

Want to ask why ocbc bank still charge certain percentage of lock In penalty when we do refinance within the same bank under lock in period. What banker told is the most they can give some discount in the lock in penalty. Is this common as I thought normally will only impose penalty if refinance with another bank.

Faiz what are ur comments abt Alliance bank? i noticed that it's easier to get loans from them..

Are you talking about loan top ups? Because I recommend that you simply top it up instead of refinancing if it is with the same bank (OCBC, in this case). Loan top ups will NOT affect the original lock-in period, nor will the bank penalize you based on any lock-in periods. It also doesn't involve lawyers, only stamp duty. The loan top-up will have its own lock-in period, but it will not affect the previous lock in period (it will not shorten or lengthen)


There are 2 types of loan top ups with OCBC:

1. Top up back to your loan original value. For example, you have a loan with OCBC for RM500k, your outstanding today is only 300k. You want to top up back to RM500k, thus giving you RM200k in cash. Valuation may be required. No stamp duty, no lawyers involved.

2. Top up based on the house value. For example, you have a loan with OCBC for RM500k, your house is now worth RM800k, you want to top up up to 90% of the house's value, which is RM720k. Your loan balance is RM300k, so you will get RM420k cash in hand. Valuation and stamp duty required (0.5% of the top up amount above the original loan amount). No lawyers involved.

In short, the top up amount above the original loan amount is RM220k. 0.5% SD is only applied on RM220k. You will get RM420k minus the SD (RM1.1k), as such, RM 418.9k will be credited into your account.

Alliance bank is just as good as any other banks. As a mortgage broker, I discuss options with my clients, depending on their situation, income, commitments, MOF max, LVS inclusion, charged interest rates, type of collateral, etc and offer them the right banks for their needs

This post has been edited by wild_card_my: Dec 21 2014, 05:28 PM

Bro, can you elaborate on the stamp duty, 0.50% of what loan amount are we talking about.

Is there is real need for stamp duty, new Agreement being drawn up? No Legal Fees?

Kamsia kamsia.. will contact you when i buy my next prop..

My mistake, what I meant was, valuation may be required depending on the processing team, but stamp duty definitely no if you are doing a top-up up to the the original loan amount. I'll format it again:

1. Top up to original loan amount: valuation may be required. No stamp duty, no lawyers involved.

2. Top up to 90% of the house's new market value: Valuation and stamp duty required (0.5% of the top up amount above the original loan amount). No lawyers involved.

In short, the top up amount above the original loan amount is RM220k. 0.5% SD is only applied on RM220k. You will get RM420k minus the SD (RM1.1k), as such, RM 418.9k will be credited into your account.

This post has been edited by wild_card_my: Dec 19 2014, 01:35 PM

Sorry bro, for benefit of others, I have to ask specifically, if top up to new Market Value, I understand Valuation required.

How is the Stamp Duty calculated, on new Loan Amount?

Say Original Loan Amount RM500K

Current Principal P/S - RM300K

Market Value - RM700K

No Problem!! I have edited my post above for clarity (let these people get it right the first time). But here it is to get the conversation flow in order

---

Taken from above:

There are 2 types of loan top ups with OCBC:

1. Top up back to your loan original value. For example, you have a loan with OCBC for RM500k, your outstanding today is only 300k. You want to top up back to RM500k, thus giving you RM200k in cash. Valuation may be required. No stamp duty, no lawyers involved.

2. Top up based on the house value. For example, you have a loan with OCBC for RM500k, your house is now worth RM800k, you want to top up up to 90% of the house's value, which is RM720k. Your loan balance is RM300k, so you will get RM420k cash in hand. Valuation and stamp duty required (0.5% of the top up amount above the original loan amount). No lawyers involved.

In short, the top up amount above the original loan amount is RM220k. 0.5% SD is only applied on RM220k. You will get RM420k minus the SD (RM1.1k), as such, RM 418.9k will be credited into your account.

This post has been edited by wild_card_my: Dec 21 2014, 05:27 PM

Ok thanks for your clarification bro. What if original loan has 2 borrower and now decide to refinance to pull out one name and might as well top up some amount since market value increase. What is the cost involve for this new loan with just one name and will ocbc charge lock-in penalty fees if refinance with same bank?

Oh, if there are going to be changes in the names of borrowers (be it adding or removing) then it would need a completely new loan agreement. As such, it will be classified as a refinance and any bank would consider this as a new application and not a top up; even from the same banks. As such, with a new agreement, the cost would be the typical legal, valuation, and stamp duty - the cost is usually about 2% of your loan amount. The lock-in period will also be reset to the bank's own typical period, just like any other new loans when applied from the banks.

You will get a new account number too, to show that this is truly a new application and not a top-up as I have mentioned above.

Now, to solve any of these problems, why don't you just refinance into Islamic MM loans? Islamic loans don't have any lock-in periods for you to think about. A lot of my non-Muslim clients opt for Islamic loans too due to its advantages, and lack of apparent disadvantages. Those who say that Islamic loans are bad can't really explain or pin point what they are really bad about, as I am able to explain all their misconceptions.

In fact, I talked a little about Islamic loans in this very thread earlier.

This post has been edited by wild_card_my: Dec 19 2014, 11:19 PM

I wish to refinance and cash out:
basic 3000
fix allowance 2500
sales incentive(fix) 2660

home loan 1050/monthly
personal loan 622/monthly
credit card outstanding 16,000 (from ccris)
car loan, nope

home loan outstanding 210k
market value 650k

max. cash out?
which banks still offer 30 yrs tenure for cash out?