Hello to all sifus here, I will need some professional advice here. I couldnt find any friends that is good in Maths! Aww.

I am having a housing loan of MYR 300k for my SOHO unit, interest rate was 2.63% and the tenure period is 33 Years. Please let me know which option is the best to choose. Thank you

Option A - To utilize the subsidy.

i recently find out that my company did offer some attractive subsidy to me which the money can be returned to me on a monthly basis but in return I will be bound by a contract with my company for 5 years if I agree to take that staff benefit. The calculation are as below :

Current Outstanding/total loan x MYR 125k x 4% = Monthly subsidy. The current outstanding will be based on stages by stages since it is a SOHO unit.

Option B - Pay a fixed instalment despite of its progressive loan repayment.

Since it is a SOHO unit, I will only pay the loan stages by stages. So for the first few months, the installment amount should be a few hundreds only. Can i just pay a full installment (MYR 1200) instead of paying stages by stages? I dont wish to pay so much interest to the banks in the end.

P.S : I have enough cash to pay a full instalment without affecting my commitment.

So to all dear Sifu, which option is the best?

If previously I bought only 30 years of MRTA, how to cover for the shortfall of remaining 5 years of my loan.
Last time thought can save some money but MRTA full coverage really important suddenly you pass away before end of tenure.