Hi,

My parents are planning on getting a house soon. We have visited and viewed a couple of houses and found 2 to be to our liking. Just have some questions regarding it.

1. My dad is 56 years old. He is planning on use a part of his EPF and pay for the house and take loan for the remaining. [He actually wants to use about 80% or so of his EPF to get the house, in order to reduce the interest rate from loan. So, instead of paying interest to the bank, he can pay whats he's supposed to pay to the bank into the EPF. He said EPF can keep until age of 65. Is this a good move?]

2. The owner of the house said some of the banks may have difficulty in approving the loan compared to other banks. Is it true? If so, which bank would be the best to go for?

3. Assuming we found a bank [question no 2] and [question no 1] is a good option, what are the chances of getting a loan?

4. We are making the talk directly without the agent. Through the agent, the house is around RM420K. Without the agent, the owner agreed around RM375K. If going without a agent, what problems we might be facing? What should we be prepared for?

5. Regarding deposit to the owner to secure the house. How can I ensure that they wont runaway with the deposit or wont sell it to other party? How do I draft an agreement for this situation?

This is what's going through my mind right now. Will post other questions if i remember them throughout the discussion.

All help is appreciated.

p/s: I'm still studying and will be completing my study end of this year, and work next year. that's when the earliest I can contribute to the payment of the house.

Thank you.

Hi,

Thank you. Almost have all done. Just one more question. Regarding Mortgage insurance. Which should we opt for MRTA or MLTA?

Thanks.