Planning to get your dream home? You’ll need to do some research first before you decide on getting the best and most affordable home loan in Malaysia. Check out these top five tips on getting home loans in Malaysia:
- Save for a Down Payment Whether you plan to purchase the property next year or five years from now, it’s best to start saving money to afford the down payment. Most properties in Malaysia require a down payment between five to twenty percent of the total sale price to qualify for a standard housing loan. So start saving as soon as possible.
- Check Your Financial Status Your lender won’t be convinced of your ability to finance your mortgage if you’re financially unstable. So check your financial status first above anything else. Do you have a stable job or a thriving business that brings in regular income on a monthly basis? How many loan repayments are you on currently? If you’re struggling to pay your bills or are unable to keep up with your monthly repayments, settle them first.
- Organise Your Financial Documents Organise your financial documents and get everything in order before you meet your lender. Some of the basic documents that are often required include NRIC copy, latest three to six months pay slips, latest three to six months personal bank statement, latest employment letter, and latest KWSP/EPF statement. The document requirement may vary based on whether you’re employed or self-employed.
- Compare Available Home Loans Start doing your research and compare available home loans online for convenience. Mortgages aren’t created equal, and they may feature different interest rates or fees. Compare pricing and ‘shop’ carefully.
- Take Advantage of a Mortgage Calculator When you’re doing your online research, take advantage of the mortgage calculator found on many official Malaysian banking sites offering home loans. See how much your repayment would be with the different interest rate, down payment, and home price.
Always do your research first before committing to a home loan. Remember to follow the tips mentioned when you look for home loans in Malaysia before you settle for one. Always read the fine print and ask questions for clarification.