i wanna refinance my property.
only 3 years old and still under lock in. 5% of total loan or rm6k

so Ii need a high current market value in order to get a little to cover for the penalty.

so far checked with the banks below.
for example property value = RM100k
outstanding = 92k

Market value
HSBC - 75k
Stan chart - 80k
Am bank - 110k
pub bank - 100k

but people are selling their houses for rm150k on newspapers.
can i know why is it like that, and how can i find a good valuer who can give me a good market price?

this may be due to most banks are tightening their pipe to give higher loan.

You may try agressive bank like CIMB, or may be EON. Or u may want to wait after CNY to see the market...

and i think u shud check ur outstanding loan+penalty (5% very high)=? then only decide to refinance cos not worth to refinance if penalty high.

This post has been edited by bearbearhong: Jan 15 2009, 04:53 PM

Tried CIMB. they can also offer 10k extra from purchase price.
i've done the calculations for the lock in period
i have another 3 years left for lock in.
my blr when purchanse the house is 0% and +1 after 3 years.

its now 3 years and i'm paying 7.5% for the housing loan which is extremely high.
by refinancing, i actually save about RM15k-6k(penalty)= RM9k

So i think refinancing is a much better way to go now.

Why wait for CNY? what happens then?

ur previous loan is RM100K? so penalty only rm6k..

yeah, if u escape earlier, you may saved more interest provided also u hv gotten a zero cost from the new bank to bear ur legal and valuation cost which may come out about +-RM4k..

you may hv to wait then, cos heard from banker fren most banks are tightening their loan by pulling down loan margin..and may be after cny, they will be more agressive..

i wanted to refinance too but penalty is too high for me to bear...

Try talk to your current bank to give you a better offer, i'm very sure they'll lower down the rate. I just got and accepted an offer from my bank -1.7%, from my current fixed 5.5% so now i save about 0.8% thats about rm100 a month without need to pay penalty.

Last year another property with stand chart also willing to lower down from +0.25 to -1.5%, good enough for my opinion.

Ofcoz i'm a very good customer i paid 50% more than what i need to pay monthly.

my loan is actually 6% of the total loan amount or RM6k whichever is lower.

cannot tahan already cause need to refinance. and once able to refinance for higher value of my property, i can take the extra cash and pay for the penalty.

Tried asking my bank to lower the rate but they refused. Because right now i'm still in lock in. they said that i can apply again after the lock in period. I also gave them other bank offer letter to me also. but still they said they won't counter offer.

so no choice for me but to find higher property value.

May i know which bank is that?

The recent house that i did was Direct access now changed to CIMB, at first last year they refused to offer me a better rate because my terms with term supposed to be fixed 5.5% for 3yrs. Only sept this yr is the 3rd year but surprisingly they finally approved my request and got the letter 2days ago.

Try call in their customer service, request them to appeal. who know this time luck might be on your side. If you're a good customer i'm sure they will value.

Good luck

have you considered trying banks that offer cost absorb package where the banks actually absorb the penalty without adding it to your new loan when you refinance?

for example your loan amount RM 200,000 (penalty 5%)

you manage to refinance 90% and you current market value is still RM 200,000

Once you refinance your new loan will be RM 180,000(the 5% is borne by the bank)

contact me at repul2k7@yahoo.com with your property deatils such as address, property type loan oustanding

P/S : however this is limited to certain areas within the Klang Valley

for a start, perhaps you should write to your current banker to seek to lower the interest rate. If you can enclose one or two Letter of Offer to them, it will motivate them to do more....then you dont have to fork out RM6k......then slowly fish out for the best loan.

My Property is in Puchong,

The only bank i know that absorbs the rate is Maybank.
They cant offer me a my house market value.
Dunno why its so low.

My current bank, they dun care. i send in letter, meet them. discuss with them. in the day answer is just same. sorry we cannot do anything for now.

just like my existing Bank, also another Sh1tty one, i tot of restructure/refinance the loan with them and shortened the repayment period, they said Yes, but u have to bear the penalty... F them la...may be we are under the same sh1tty action Bank

my penalty cost me RM13k++ , but i just need to bear another few months then cant refinance already

If really no choice, i advise you to utilise ur EPF to reduce ur loan sum so dont have to pay more interest and if your loan is flexi loan which allow you to pay more than your monthly repayment to reduce interest, then you can settle it earlier

This post has been edited by bearbearhong: Jan 16 2009, 11:03 AM

i wish my loan was flexi but its not. its the normal conventional loan.

pay extra need to write in. pay more than 10k - kena processing fee rm100.

ask for yearly statement - rm50
ask for full settlement statement rm-100

every month need to pay rm1.3k, suddenly they send late payment fee.
ask them why, they said fire insurance.
i tell them, u never send me statement, never inform me. suddenly charge late payment. why so lousy service.

they said. if u want monthly statement, must pay rm10 every month.

my loan is the most stupidest of all. first time property never check all this. next round i will surely ask everyone.

terrible ! is it a local bank? mine not a local one..

my loan oso not flexi, but with epf withdrawal fund pump in, no admin fee or whatsoever, if normal extra payment yes.

i have been charging RM10 per month too..their so call service fee and suck services..but when late payment even one two days, they will call immediately..

Hi

Wondering which bank you use for every mth charging rm10!!! Maybank??

As I know CIMB has not impose for any service fees since last yr. Try out for CIMB.

true, cimb dun charge anything.

but unfortunately they cannot give me the market value. sob... sob....

My wild guess goes to Stand chart

i dun want to reveal the banks name as even though i hate them, i might cause conflict and hurt people on this forum....

so i've been contacted by many people so far. but most of it also can
't give me a good market value.

some banks say 75k, some banks say 80k.
very dificult la, if not for my penalty, i will refinance. i just need extra to pay of that penalty. now im stuck with high interest,...

sob!

for loan amount which below 100k
CIMB will be a good choice since they offer up to BLR-2.05% ( with legal fees financed ) but still save alot with the current interest rate that u bearing.
I dun encourage u to take EON bank as i've bad experience on EON bank when doin refinancing, the redemption process are extremely slow, and they do charge service fees on prepayment, and also alot of hidden cost which are never stated in the letter offer.


Edit : Standchart too little branches..if anything happens u have to travel all the way down to standchart bank in certain places to settle up stuff. Not encourage to finance with foreign banks eventhough their offering for interest rate are quite low. I think first few years are BLR-2.xx sth. Flexi.

This post has been edited by sam0919: Jan 21 2009, 02:01 PM

if i remember correctly cimb only gives the flexi facility if the loan is 150k and above. the rate is still -2.05 but conventional already for below 150k. standard chart minimum for the flex i think is 40k, could get a -2.0 from the published rates.

thanks, the figure 100k is only a made up value. my property is worth more than that....