did u get confuse over my question??
Previously i ask what is the cost for adding another owner in spa..not involving any money transaction here...just transfer of ownership.

of course head small, wear small hat enough lar...too big of the hat very heavy ah~~~

Boss, not refinance ah~~just wanna add one more name (ownership) in spa...now dont know what will happen to the economy~dont use money like water...then is like wild wild west la~~

nah not really, thought you're talking another matter

means no cost for adding new name in spa? or minimal cost?
talking

still have to pay as explained the other day, buying 50% of the share and also the refinancing cost.

Is it advisable to ask banker to complete property valuation before I sign offer letter and spa?

What are the costs to bear if valuation done later and valuer give lower value?

1. Yes, it will be good otherwise if valuation cannot get then your loan amount would be lower than ur purchase price

2. Cost to bear as per above, e.g price you bought is 400k but valuation only 380k, meaning you'll only get 90% of 380k. The rest have to top up and pay as downpayment on ur end.

When you mentioned Title of the property? Do you mean strata title? The property I'm looking at just completed 2 years ago, I'm not sure if the strata title has been issued yet. I would need to check with the agent but what if it's not available?

If your property still new still okay can take loan but later if you keep more than 10 years still haven't change to strata title then got problem to take loan for new buyer or when you want to refinance.

Normally developer will announce to change to strata title so you'll start to process for MOT. You can call the developer to check as well.

Recently I made a booking to purchase a property, then I received offers from 3 banks.

CIMB rate is 3.9 (base) + 0.45 (spread) = 4.35, 3-yr locked in.
Maybank rate is 3.0 (base) + 1.2 (spread) = 4.20, 5-yr locked in.
RHB rate is 3.9 (base) + 0.5 (spread) = 4.40, 3-yr locked in.

They offer many different kinds of loan packages, some of them need to open current account, which need a monthly maintenance fee RM10++, some no need but have to keep a min RM1000 balance. For those packages that no need current account, bank will charge a RM25~RM30 transaction fee if I withdraw money. 1 of them, I have to transfer money from loan account to saving account when I want to withdraw money.

My friend told me that the loan spread rate is lower the better. My sister told me that locked in period is shorter the better. My wife has another opinion, she thinks that easier to withdraw money is better. When they were explaining to me, i felt so confusing . To me very simple, the total rate (base + spread) is lower the better, so that I can pay few monthly installation, but I am not so sure.

Any sifu can guide me how to choose a good loan package?

Basically the 3 bank offers flexi loan meaning to say you can choose to put in and withdraw ur money anytime.

Now flexi account is divided into 2, semi and full flexi

Semi flexi normally don't need to maintain a current account and they charge you by each withdrawal.

Full flexi will have a current account and you'll need to maintain a monthly fee, current account like RHB will just need u to put RM1000 and they will not charge you the RM10 every month.

As of now, base + spread = lowest is the best as the spread will less likely to change unless something critical happen to the economy and the bank have no choice but to increase it.

Of course, you'll need to consider ur lock in period as well, if you plan to let go the unit within the next 3 years then a 5 year lock in will not be ideal for you.

Then another thing you'll want to consider getting for your loan will be MRTA or MLTA for the loan coverage.

i saw in loanstreet "AIA" home loan giving 4.39% fixed rate.. is it so true???

Dear LNYC,

1. If your property now in unencumberance (no mortgage loan) Then you can just transfer or add the ownership via lawyer. Just paying stampduty and other miscc fees, you can alter the ownership.

2. If your property is encumberance( which is with mortgage loan), to alter the SPA ownership, you would need to undergo refinance with the bank or to another bank, it's like new loan. That's the process when the property is with new loan.

So the fees will be as stated before.

Do consider well whether altering the SPA name options

CHeers

Dear,

1. Valuation, usually broker will get valuation from various valuer before submitting the loan to any banks, because loan process needs to have a verified valuation from the bank panel, so that they can only proceed with the loan.

2. After the loan has been accepted, you will sign letter offer. Lawyer will have you sign letter of agreement and SPA if it is ready, and in between the valuer will do a site visit on your property.

3. Broker must be professionla in terms of valuation, as it will affect the clients loan process. Professional consultant will get valuation with valuer with black and white proof, so that anything happen at least they have the evidnce backing that valuer has given such amount. Find a good consultant to guide you will do.

Cheers

Dear,

1. if the title has not been transfered yet, you won't need to provide such document to process the loan.

Cheers

Dear,

It really depends on your objectives.

1. lowest spread rate will be the given best option, however, it is not a fool proof in this system. Because bank can adjust base rate in the end to increase the effective lending rate. However, choosing the lowest spread rte now could be the best option.

2.

If you have huge cash flow transacting in and out weekly, then full flexi would be a good option for you, because you can credit the amount into full flexi account and withdraw it the next day when you need it. SAVING 1 OR 2 DAYS OF interest in between. If you don't have huge cash flow transacting frequently, then semi flexi is the choice.

However, it really depends on what you want, do read below and choose wisely

Full flexi and semi flexi description will be shown at below:




3. Lock in period.

Lock in period doesn't affect people who stay it in the property forever, if you are a flipper and wants to trade your property in the near short future, then short period lock in period will be beneficial to you.

We never knows what future might holds, so it is wise to choose the shortest lock in period, incase we need to sell or refinance for emergency.

Cheers

Dear

Yes they do provide such loan packages, but look at picture below.

Nice picture in courtesy from *Malaysiahousingloan website*



1. 4.39% fixed rate is good because low interest rate, but it will altered to 5.15% 2 years later. SO you will be fixed 5.15% interest later on.

IMO, it doesn't worth it. However, it really depends on your own objectives though.


2 For zero moving cost package, MRTA is compulsory, hence you need to fork out additional to purchase MRTA.

Nothing wrong, since it's a win win situation, depending how you think


Cheers

This post has been edited by Madgeniusfigo: Jul 19 2016, 05:02 PM

What's ur main objective of the loan ? investment ? own stay ?

You're looking at short term or long term for the loan ?

when signing letter offer by bank, what i need to check it out first?

Hi

You may look into the
1. Interest rate
2. Type of facility - full flexi, semi flexi
3. Lock in period
4. Prepayment condition
5. Penalty of default
6. Fees like processing fee, charges
7. Loan Tenure
8. Any cap on the deposit you can put in
9. Other terms not stated above or prior to the banker explaining to you the package before applying ur loan and seem different at the end.

Dear

1. pinpoint and check whether your details name, address, IC, loan amount and loan tenure is correct

2. Do question on the default month allowed before interest rate will be adjusted higher for defaultment.


additional things to take note



Cheers

Apology in advance because I'm using your replies to ask some noob questions

1) Can I add MRTA in the home loan package and must I buy coverage until end of loan tenure if I plan to settle loan early?

2) When will the insurance be in effect? At which stage?

3) If unlucky situation happens, like fire, and loan already disbursed, do I still have to commit to the loan?

Can you please advise me the stages, let's say I manage to get a loan from bank for subsale house, after signing offer letter and SPA and loan agreement, when will the name be transferred? Loan will disburse after name change and only after that the seller will pass me the keys? How long is the whole process roughly?

1. Yes you can add mrta to the loan by financing it in. It's recommended to buy the full tenure as mrta ia a reducing term coverage meaning the lesser your tenure the faster your insurance coverage drops compared to your outstanding loan amount

Otherwise I would normally recommend to get MLTA for long term property purchase.

2. Effective on the signing of LO that day after it's handed back to the bank to process

3. Yes you're committed as the title is transfer to ur name already together with the loan already paid to the seller. That's why you get insurance.

The process of transfer of name will happen in the sales and purchase agreement and once the loan is fully disburse and you get your key. Considered you're owner of the property already

Whole process take about 3 months

Let me know if you have anymore questions

This post has been edited by lifebalance: Jul 19 2016, 09:03 PM