Hi sifus,

May i know if we lulus loan and disbursed 3 years early, do we need to pay more progressive interest compared with the one who buy the house one year before completion?

How is your opinion? I am totally new in this matter. Looking for first house.

Regards,

This post has been edited by ameenbp94: Nov 25 2024, 01:16 PM

Usually bank will disburse the payment to developer according to phase/stage of completion but yes I guess the person who bought the unit when near completion pays less interest I guess? I am not so sure myself either.

But the person who bought so last minute might not get the unit he or she wants.

This post has been edited by Duckies: Nov 25 2024, 01:14 PM

thank you for your thought. one more thing, do you know if progressive interest will deduct the original whole loan?

no, progressive interest payments is just interests. There is no principal payment involved, so your whole loan remaining balance is there until full disbursement

does this mean the total cost of ownership is slightly higher over the course of loan repayment period?

Yes. under construction interest is 100% bank earn. doesnt reduce principal, you cannot make repayment towards principal.

those buy one year before completion in theory pays less interest compared to those bought during launch.

if you're looking for first house, better to find one that enables you to claim ur 1st property stamp duty waiver/discount

Some bank allow buyers to start paying monthly payment during undercon