Hi Guys,

I am thinking to refinance my old house to fund my new house. Is that possible? Any one have done this before?
Please provide me some information bout this, like how much is the interest, procedure and etc.

Thanks!

of course it is possible, but you have to make sure that the money from the refinancing comes in time to pay for the new house, or else you might be charged interest, or worse, you might lose your down payment.

Of coz it can be done. Just ensure 2 things :

1. Current Vvaluation of your old house is at least 30% more than your outstanding loan.

2. that your total new monthly repayments for both house doesnt exceed 40% of your take home pay.

and please make sure that your extg loan is not within d lock in period...
if not you hv to pay d penalty to d bank...

Why would you actually need to refinance the old house to fund the new house?
For the 10% down payment needed?

And i hate people like u ... u know?
You want people to give u information like interest,procedure etc but u never give any information of your property. How people going to help? (This reply is actually junk, cos u provided junk... )

Sorry guys, i m new and i got no knowledge in refinancing. I dunno what kind of info needed by you in order to help me on. My old house can be consider fully paid and means no hutang to the bank already. According to my information, refinance interest will be lower than housing loan right? So thinking to use this way to get my 2nd property.

Estimate my old house worth 450K, how much i can refinance? Interest if for 20 or 30 yrs. Sorry, what kind of info i still need to provide?

is your salary enough to cover repayments? any other car/property loans at the moment?

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Added on August 13, 2008, 5:04 pmhow much money do you need & how many % of the market value you want to refinance?

This post has been edited by johnsonm: Aug 13 2008, 05:04 PM

Income aroud 3k, minus off car loan 700, other expenses 1k, still enuf for the repayment?
thinking to get a 2nd property for 300k, would like to do a 300k refinance from a 450k market value old house. Possible?

rough estimation, 300k loan, to pay off over 30 years, at blr - 2%, repayment should be around rm1600 or so.

from your 3k income, 1/3 can be used to pay off loans, meaning you have 1k to pay off loans. 700 goes to your car. no way you can get a loan unless you have a co-borrower, or some other source of income. also, if possible, consider using the money from the refinancing to settle your car loan. some banks might give you a loan with that pre-condition.

and banks usually give up to 90% loan based on their valuation of the property.

Bro, if in this case, how much u recommend the amount should be refinance based on my situation and current income? 200K or lesser?

your repayment cannot exceed rm300. i really dont know what kind of loan you can get, but i am thinking around rm50k?

what is the price of your second house?

Havent target any house yet, but in Penang a normal appartment with 1000sft also will cost atleast 200K.

Refinancing does not mean that you'll get a better rate.
Sometimes buying a new property from developers might give better rates if they have 'promotions' etc with certain banks...

or maybe some banks are pushing for their secondary market .. they might give better rates too ....

Ambank is pushing for refinance/secondary market.. thus if you are their Hire Purchase customer, you might get a better deal

its better you refinancing to settle your debt such as car loan or personal loan

if you still insist to buy a 2nd house
you should refinances just enough for settle you car loan, other debt, deposit for the 2nd house & legal fees
then you only left one loan that need to worried.

then you can think to take other house for you 2nd house
but dont think its possible if you want to take loan more than 160k


just my opinion

You ask him to refinance for all these things.
So if he really refinance to settle car loan and deposit for 2nd house... he will have to pay monthly installment for the refinancing.. That is 1 loan already.

Since he only refinance enough to pay deposit for 2nd house, that means 2nd house needs a loan too .. that will be a total of 2 loan

I believe the 1st step is to identify which property u intend to purchase, this being to get the estimation of price of purchase. In this scenario it is possible to maintain only 1 loan, by refinancing and the 2nd property price is lower than the refinancing amount. That means u buy cash from the refinancing amount. I wud advise u to refinance amount to cover ur new property purchase, ur Hire purchase and credit card debt if available. This is due to the lower interest charged and to consolidate ur debt into 1 a/c for better and able to save more $$ due to maintanence etc.. If ur interested to refinance, u may PM me. I am a mortgage consultant. Service & advis is FreeOfCharge. My number will pm to u.