alot i.e insurance MRTA or MLTA, bank service, loan facility term loan , felxi or semiflexi, future refinance, lock in period if wanna sell after certain years.

This is quite technical. As you mentioned, your legal fee is rm4.5k. I guess your loan amount is RM200k and loan tenure is 30years.

In fact, BLR-1.9% ZEC better than BLR-2.1% non-ZEC.

Firstly, 0.2% difference equipvalent ~RM30 on monthly interest. If lock in period 5yrs, 12x30x5=RM1800, which is lesser than RM4.5k legal fee.
After lock in period, you always can revise your rate internally or refinance to another bank.

Secondly, 62% of customers will settle their loan within 10years. If you plan to earn back 10.8k interest saving along 30years end up paying more interest to bank, it is not worthy.

Thirdly, net present value(NPV) for 10.8k along 30years is only left 3.3k ( refer to buku sifir, assume inflation rate at 4% ) but if you chose for free legal fee, you save 4.5K immediately. Saving up front mostly better than saving by term.

thanks for your advice.

now i have an even better rate from HSBC.

BLR-2.0% ZEC vs BLR-2.3% non-ZEC

i was thinking that since this rate is the best of all the banks so far, could any other bank top this rate in 5 years for me to consider refinancing? the closest 'competitor' is -1.9% for non-ZEC (non-panel bank for developer). i thought it might be a little unlikely (totally my layman opinion), so there is no need for me to refinance the loan after 5 years.

i did some rough calculations. if i select the -2.1% and pay the legal fees in cash, i will only 'untung' (regain the 4.5k i've paid) after the 8th year. means that i need to stick to HSBC for at least 8 years. so the question is after the 5th year, would there be any other rate lower than HSBC's?

i think it is unlikely that i will be able to settle the loan in 10 years.

your 3rd point is an interesting insight on inflation. 1point for ZEC package.

but i'm still wondering: in 5 years, how possible is it for HSBC's rate to drop below another banks rate? if there is a high possibility, then it would be worth paying the legal fee package.

I cannot comment for those matters with probability, since those thing may or may not. I only based on my knowledge to give these fair comments.

based on my experience, i will choose BLR - 2.0% ZEC.......

may i ask why so? the same reasons given as Bon Lee?

May i ask what are other documents needed for loan applicant who currently working in sg.

Besides payslip, bank statements(both sg and msia) and income tax statement.

is that true that applicants who working in sg are difficult to obtain 90% of MOF for landed property

Thanks

HI This is some thing i saw on the internet,

Would like to share this with you all

Structured Home Financing-i
Al Rajhi Structured Home Financing-i is ideal for anyone who has executed the S&P agreement on a completed property and is looking for financing or anyone looking to refinance an existing residential property - while enjoying the protection of Shariah.

With Al Rajhi Structured Home Financing-i you get flexibility, including up to 90% financing and up to 35 years repayment terms. And because there is no interest charged, you avoid the compounding effect on your outstanding balance.

Enjoy the competitive rates of :
BFR -2.10% throughout the financing tenor (without Free Moving Cost)
or,
BFR -2.00% throughout the financing tenor (with Free Moving Cost)
(the prevailing BFR is 5.85% with effect from 3 April 09)




* FAST Approval
* Flexible pre-agreed contract terms
* Up to 90% financing
* Floating rate structure tied to Base Financing Rate
* Rebate for early settlement
* Is in Compliance with Al Rajhi Bank (Malaysia) Shariah Standard
* SMS Alerts

sounds interesting.. are there any HSBC or Al Rajhi bankers out there who could contact me? the HSBC person who was supposed to meet me today was late by 1 hour and that p1ssed me off already. looking for another one..

maybe you can call Ms Norlaiza Arif She is from HSBC and her service is quite good.

her no is maxis 380 6283 i'm also applying my loan with her.

For Al Rajhi Bank im also looking for a banker.. lol

---

Added on March 1, 2010, 10:19 pmhi just want to ask lets say if the developer says free SnP and Free Legal for banking can i still apply for the ZEC loans? higher - for BLR

or do i have to get from their panel banks.. so far the had not mentioned that have to get from their panel banks . Just said that its recommended only as it would speed up the 1st draw down later on.

the other thing is that are there any banks who offers capped interest rate with daily rest + ZEC?

This post has been edited by lokideangelus: Mar 1 2010, 10:19 PM

when applying your home loan also make sure you can easily access the banking facilities later on when want to pay the installments, if you overlook this you might end up spending more going to the bank from your office/home just to do the payment. it happen to me wif my car loan with muamalat bank.

If the package is good enough, its worth it to switch banks. When I refinanced my own property, the bank where I've been their customer for 4 years, and my salary credited there every month actually quoted me the worst packaged. Needless to say I refinanced with another bank and moved all my main banking activity to the new bank. There were even kind enough to approve my new CC with a much higher limit compared to my old bank.

hi, can anyone tell me the differences between islamic banking and the conventional one? HSBC Amanah is processing my loan. the banker told me that the only difference is that for islamic banking, i dont have to pay the instalments anymore and the bank would refund me the interests paid should the project be abandoned before completion.

is that all the difference? after finding out that HSBC Amanah credit cards cannot be used at non-halal restaurants, now i am wondering if there is anything else 'hidden' that the banker did not mention? (cos HSBC Amanah is not allowed to sell the conventional plans)

I think Islamic does not have a penalty fee if you settle within 5 years.

Hi..

I am looking housing loan agent from various bank.. Please do PM me..

- Property price RM320,000 Leasehold
- MOF 90%
- Must be Islamic (not conventional).
- Prefer Flexi, but will also consider others.
- Tenure 30 - 35 years.
- ZEC/non ZEC
- Location : Seksyen 4 Tambahan, Bdr Baru Bangi.
- Age : 34yrs

Appreciate if you guys can PM me the best loan available..

Thanks..

To anyone looking for better rates & deals for housing loans, try EON Bank Loan packages. Go to their website for moore info. If u need more assistance, pls SMS me or PM me @ 012-9725972.
As for MLTA packages i do have good connections to give all of you good deals also.

Hi Leesa

If you take up Islamic Banking, your installment will not be affected by the BLR as they got a fixed rate on this. This is because in Islamic rules, only can have profit and no lender and borrower terms are allowed.

If you take up conventional loan, your installment will be affected by the BLR as the banks only promise on their deduction percentage eg: BLR - 2%.

If you are going to take up a fixed loan, you can try AIA or ING loan. Myself is taking up AIA fixed loan when I bought my condo 2 years back.

Hope this details could help you
anything can pm me I will explain more to u =)
0195205511

hi im new here.
im open for suggestion since im at wits end deciding which bank to go for im thinking of HSBC, PUBLIC BANK ..what do you think?

- completed unit , leasehold
- property price rm283k
- financing 90%
- preferable zero entry cost
- loan period 35yrs >
- im 27yrs old

pls pm me. Tq

That was probably true awhile back but now Islamic Products comes with a Ceiling Rate so effectively, they still follows the BLR Rate cause due to the contract you sign is being based on the ceiling rate, it's still Syariah compliance.

At least if the BLR goes higher than the Ceiling Rate, you don't need to pay more than the ceiling rate.

yeah, they call it BFR (base finance rate, i think) that is the same as the BLR which is currently at 5.5%. guess the plus points of islamic is the ceiling rate.

any downsides or not? islamic cant be all good only right?