HLB appears attractive. You will be paying instalment approximately RM3,151 per month, about RM100 more than Maybank, but for lesser years and higher loan amount.

This post has been edited by Cyclopes: Mar 15 2020, 05:16 AM

[quote=fruxano,Mar 20 2020, 07:50 AM]



Thanks for the replies guys!

I received another offer from HSBC:
- Amount: 608k
- Tenure: 32years
- Rate: 3.7%
- with TRTC (RM130/month)

From my inexperienced calculations, the advantages compared to other offers:

1) the least monthly instalment: RM2.7k
2) less loan amount and tenure, hence less interest and loan finish faster
3) instead of lump sum MRTT, HSBC replaced it with TRTC. Similar to insurance with monthly premiums paid separately from monthly instalments to HSBC

Disadvantages:
1) Full-flexi. Addtional RM10 charge per month
2) Only 80% loan. So I need to fork out some of my EPF acc.2 to cover the downpayment
3) No cash for renovation when VP, unless I take out all of my EPF acc.2

Anyone has experience with HSBC? Care to share your experience? Thanks!

[/quot

Monthly repayment will still be RM2,700 +-, for if it's reduced amount of RM608k, instead of RM720K from HLB.
Choose that which gives you better cash flow management.
TRTC is reducing balance, and will only pay for the outstanding house loan, unlike MLTA where you get a full sum assured.

This post has been edited by Cyclopes: Mar 20 2020, 11:51 AM

You do not need to have a specific policy for house loan. If you already have a Life insurance, It can serve as MLTA. Just ensure that the amount assured is of equal value to mitigate potential liability.

Bank 1, comes with CLTA or MRTA?

You could be exposing yourself to risk upon expiry of the MRTA before the end of the loan tenure. You can consider alternatives such as life insurance as MLTA for the whole tenure of the loan.

The monthly installment should remain the same. Excess payment likely will likely knock off the interest element, reducing the monthly interest charge.

If your house sits on land, it's individual title. If your unit is part of high rise with common area, it's strata. Your SPA is your reference for information.

If FD rate is lower than your home loan rate, better put in your loan account. Whether put in other options depends on your needs. Some of these investments may not be easily liquidated when you need the cash, so ensure you have sufficient amount for emergency use. Where you will get higher returns is no guarantee either.

Hi Aleyna,

You may get your answer for pre approval here:
https://www.propertyguru.com.my/home-loan-pre-approval

Still not allowed unless you have already sold your 1st house.

But your interest element will be very high and are will your cashflow in future sustain the higher monthly repayment? What about your other commitments?

I was hinting that you should not take the Banker advise just like that. You also need to consider will your cashflow be impacted if you have some emergencies or other commitments in the future that servicing a higher repayment may be difficult. Is the interest rate the same or differs for each option? You may want to work that out too. A situation like MCO/Covid19, has put some people in a difficult situation. Just give it a thought before you commit.

That is correct. In essence, they allow if you do not have previous record of withdrawal.

The financing amount are within the same range 480-490k, why the MRTT for bank B is very much higher?

Ideally, until the loan is fully settled. But the premium would vary based on the term and amount. Check what options can be offered to you.

90% if new purchase.

Yes, subject to same criteria.

Under construction?

Did they workout your monthly repayment?

10 years is too short. Most of your repayment will be for interest than the principal amount. You can be saddle with higher risk in later years unless you get another replament policy. Or you intend to sell off by Year 10, that may be worthwhile.

35 years can be a better choice. But you may want to work the total cost and be comfortable with it.

Refinancing for only the existing loan amount, may be costly taking other related cost into account. As savings in slightly lower monthly installment may not off set the refinancing cost. However if you refinance for a higher amount and use the difference for some purpose, then it may be cost effective.

3.25%, for Year 1&2. Higher subsequent years.

It's Fixed rate mortgage loan from AIA:

3.25%, Year 1&2
4.00%, Year 3&4
4.99%, thereafter.