Able to do so if the owner willing to mark up the rice in SPA. Actual price is 360k, let's say owner willing to mark up the price in SPA to 400k, provided the bank valuation also can match 400k, then you might be able to get 90% financing of 400k, which is 360k.

Of course, you will be paying higher legal fee, higher stamp duty.

This post has been edited by Fat3Twister: Feb 3 2015, 11:36 PM

Some banks will directly credit to seller's account while some banks will credit to the lawyer and lawyer pay to seller. So you have to arrange with the lawyer

This depends on your income level. Banks have different DSR/commitment guideline for different income range.
Generally it will be around 70%/80% for gross income above 5k, it can go up to 85%/90% for gross income above 10k. For your credit card outstanding, take 5% of the total O/S to become your monthly commitment. If o/s same as your income, then it will be 5% as well. So 16+15+9+5=45%. You do the calculation.

You will have to surrender your existing MRTA. If you refinance to another bank, if you want to be covered, yes, you will need to buy a new MRTA or MLTA. But why you want to refinance to another bank, if you wish to obtain additional financing you can top up your loan with the existing bank and remain the existing MRTA.

The premium depends on the amount covered and tenure covered. No high or low.

If you cancel it then you will not be covered.

When you pay your monthly instalment, during the earlier stage of repayment, a big chunk goes into the interest while only a small portion will be paying the principal, which is the loan amount you get. So after 5 years, look at your loan statement for the outstanding loan amount, let's say 86k. If you sell at 200k, 86k will be paid to your existing financier for redemption and the balance goes to you.

It's not necessary to transfer the name to you in order to re-mortgage, of course, you still can do the transfer if you want it.

Some banks do accept third party charge where the property under your parents name and your parent and you become the borrower.

Note that re-mortgage to cash out the banks will calculate your Debt Serving Ratio / commitment level using 10 years, or you can go for AIA home loan which they will use full tenure if not mistaken.

If it's a flexi loan account, you can make your installment a fortnightly repayment and reduce the interest.
For example, if monthly installment is RM2,000 and due on 1st every month, you can pay RM1,000 on the 15th before it is due and another half on the due date.

Not many banks offer loan which start paying installment right from the first disbursement. Afaik, OCBC offers it, anyone knows any other banks which we can start paying installment even it's still under construction please share with us.

However, if it's a flexi loan, you can save the interest by putting in the money as advance payment or in the linked current account. It can reduce the interest charged but it won't reduce the principal amount. For instance,let say the bank releases 50k to the developer n u put in 50k in the account, then there will be no interest charged on you, but it doesn't reduce the principal. When the bank disburse another 50k, assuming you do not put in additional amount, then you will be paying interest for the difference 50k. The 50k that you put in is still available for u to withdraw.
Note that not all banks able to do this, afaik, most of the banks which offer flexi loan account can do this way, but RHB can't. You will anyhow be charged interest during construction period.

Maxihome Loan = semi flexi
Maxihome Flexi Loan = full flexi

To clarify on the matters:-

1. Most banks if not all you can do a standing instruction of your designated amount to pay your installment. For instance, if you installment is RM2,000, you can set a SI of RM3,000 monthly.

2. MRTA/MRTT has NO cash value, but it has surrender value. The surrender value depends on many factors such as the period of the coverage. I give you an example here, a borrower aged 30, 300k loan, 35 years, taking full MRTA/MRTT.

Premium :- 13,362 (include financing)

Surrender value :- 9,409 (Year 1)
9,748 (Year 5)
10,292 (Year 10)
10,508 (Year 15)
9,663 (Year 20)
7,154 (Year 25)
3,238 (Year 30)
0 (Year 35)

3. Taking Islamic loan will have 20% discount on stamp duty, but do note that you might have to pay legal fee for 2 additional documents which are Asset Purchase Agreement & Asset Sales Agreement.

Personal preference. Apart from the benefits mentioned above, there's also a ceiling rate/cap on the effective interest rate. Alliance used to offer Islamic full flexi loan which ABMB waived the account setup fee and also monthly fee but I not sure whether they are still offering this.


YES, and also as mentioned by ims2628, permanent disability.

Yes, my mistake for didn't make it clear. For non flexi/standard term loan, there's no advance payment account. So no point paying extra as the additional payment made will be in the prepayment, unless you are going oversea for a long duration and wanna do prepayment. Reduction of principal have to be made over the counter.

I heard AIA Home Loan won't appear in ccris. Is it true?