Category Archives: Property

Different Home Loan Package

BLR(Base Lending Rate) is set by the central bank, and current BLR is 6.75% while fixed rate is set by the financial institution, normally they have a certain limit when you do the prepayment, you will be charged once you exceed the limit.

Different bank may give you different BLR rate, but 1 thing that I can tell you here is ABN AMRO Bank always give the lowest rate. (app 6.0%-6.5% )

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Thus you need to know what is your needs in order to choose the right loan package.

Fixed Vs Floating

Should we switch to a fixed-rate loan, as every increase of BLR will affect our cash flow?

It is beyond our expectation indeed. If the rates don’t jump a lot, floating rates loans may still be lower than fixed rate loans.

1) Short term property investor, they will look for the floating loan package, which is lowest rate or even zero interest rate at the 1st year. Once the capital appreciates in 2 years, they will sell off the property to gain the profits.

2) Own staying purpose, mostly people will go for fixed interest rate. This is because they are not planning to sell the house within 10years or 20years. Fixed rate loan provides peace of mind for those who like stability. The only downside of fixed rate is lack of flexibility, which does not allow you to pay off more loans to save interest and withdraw the extra that you paid.

*But certain bank have such feature like OCBC Islamic Banking.

Stumble it!

Property Investment…Coming Soon!

I have pledged that I will do some heavy & future related investment. There are so many thing that I have done previously but those are more on abstract side. Outsiders may not see what’s my past & current achievement since I don’t have anything that can be shown off.

Sri Saujana Project

My Future House

Estimated completion will be at the mid of 2009!!

My Future House

If you are capable then try to buy 1 residential house for renting purposes. Better focus on the decent house with low medium cost around RM75,000 (23,809 USD) as this will reduce risk of unable to rent out since tenant usually wants to find lower rental fees. Car parking lot is optional.

Cost RM9000 per car parking lot

Multistorey Car Park

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