Subsale RM420k
Loan 378k MOF 90%
No MRTA/MLTA
35 year term
semi-flexi

4.45%

good? bad? ok?

Reasonable rate.

Location is paramount.

If bank consider it a "prime" location, they feel more secure in their loan hence the better rate...

If location is bad.. it will negatively impact the rate as well as margin of financing

I need to mention. MRTA/MLTA can affect the rate by around 0.1%

Another option would be to assign your life insurance to the bank instead of purchasing MRTA..

but during construction, we need pay interest

If you developer didn't offer DIBS you need to pay interest, I don't think DIBS plan still available as its ban by bank negara two years ago

just got an offer from CIMB bank for RM750K loan

4.45%, Flexi, No MRTA, 3 year lock in, No ceiling rate

any advice?

Try ask your banker appeal to lower rate, the rate can be lower

Pros and cons to that. For my own profile, I'd rather assign my life insurance to my dependent and let them decide if they want to pay off the property or do some other thing with the money.

Always remember the banks job first and foremost is to protect themselves, not you...

Ofcourse got pros and cons.

If you dont wanna do that, u mah buy MRTA lor...

If you dun wan spend on MRTA.. u mah pay slightly hirgher interest lor..

There is a lot of choice, what's good for me might not be good for u

It's always depends on the banker want to help you appeal better rate or not sometime without mrta included we also able appeal till lower than they first offer rate with mrta offer.

Negotiating with bank goes without saying....

After u negotiate until the lowest... with MRTA it will drop another 0.1%

You're wrong ya, there's a bottom line for all the rate, even with or without it won't be able go below bottom line, so your info wasn't accurate

I never said there isnt a bottom line for rates, that goes without saying.

But are you saying you can get to that bottom line without MRTA?

So lets say I go sit down with my bank manager buddy of my regular bank (where I do all my biz/loans etc) and get a loan with MRTA thrown in (which I happen to be looking to do since I'm buying a house), are you saying you can definitely get me a better rate WITHOUT MRTA?

This post has been edited by MeToo: Apr 23 2015, 12:46 PM

Normally the diff between with/without MRTA is 0.05%. 0.1% is a very good bargain.

Assumption: If you have RM3mil investment with the banks and you're taking a RM800k loan... I would expect you can get the best rate.. even without MRTA. But I wouldn't know..I'll check back in a few years when I have RM3mil.

It all depends on how aggressive is the bank, how desperate they want to win the biz from its competitors and how good is the credit profile of the borrower. One could have zero investment account with a bank but still can get the best rate without MRTA.

Is it normal for banker NOT allow the customer to keep the LO while the customer considering offer from other bank?

I just received an offer 4.5% rate for ~RM400k loan.
1. Loan lawyer & valuation absorbed into the loan.
2. No compulsory MRTT.
3. Semi-Flexi.
4. 3 years lock in period.
5. 20 years tenure (own stay).

Good to sign?

Ask officer to appeal for 4.45%, no loss.