Home Loan @ Choosing the right home loan package respectively.
Buying a house is a huge financial decision, there are many types of loans in the market that you can take to pay for the property you intend to buy. How do you know which is the best for you? Take a look at the four most common home loan packages in Malaysia.
This is the most conventional of all the loans. You pay interest and principal throughout the tenure. A term loan has a maximum tenure of 35 years or age 70, whichever comes first, in Malaysia. For example, your monthly installment of RM2,129.66 will consist of RM442.16 being the principal amount and RM1,687.50 being interest incurred. You will pay more interest and less principal in the initial years of repayment. If you would like to pay more to finish the loan earlier, you will need to inform the bank before hand in order to reduce the principal. You will have to do that as otherwise the extra payment will go towards prepayment for the following months.
For overdraft, the borrowers only pay interest portion without having to pay the principal. How much interest you are charged will depend on how much you have utilised the overdraft facility. Overdraft is good for businesses, apart from withdrawing only what they need to meet commitments. Any surplus funds at anytime can be deposited into the overdraft account, therefore reducing the overdraft balances and consequently, the interest charged, which is calculated on daily rest.
Flexi loan is a hybrid between a term loan and overdraft. The borrowers will still need to pay the monthly instalment but can do any additional repayment at any time without informing the bank. The additional repayment will go towards reducing the interest charged on the flexi-loan facility as the principal owing to the bank has now been reduced. This facility makes use of the current account to operate. Be extra careful when you choose this package from the banks as there are banks that charge extra when you pay more towards reducing the principal.
Islamic loan uses the Murabahah concept under syariah principle. Under the Islamic concept of lending, banks will buy the property from the borrower and then rent it back to them. The bank will determine the profit rate in advance after considering the tenure duration. You have a choice to choose either the fixed interest rate or the floating rate. The interest on the floating rate is lower than the fixed.
Do keep in mind that the approval for whichever loan you apply for will depend on many factors – not just your credit score including whether you have a criminal record (burglary, arson, fraud, murder, etc), stable income, existing loans (car, student, personal, etc), credit card debt, and more. If you have a felony on your record, banks may still approve your loan but your interest rate will be higher than normal.
Malaysia My Second Home Programmed is initiated and promoted by the Government of Malaysia, to allow foreigners to stay in Malaysia for as long as possible, on a multiple-entry Social Visit Pass.
The programmed is open to all nationalities regardless of race, religion, gender or age; where applicants are allowed to bring their spouses and unmarried children below the age of 21 and parents ( above 60 years old), as dependents. The Social Visit Pass is initially for a period of Ten years and is renewable.
Malaysia, Situated in the heart of South East Asia, reflects the very essence of Asia, a bubbling, bustling melting pot of races and religions, where various ethnic groups live together in peace and harmony. The country has much to offer, not least, of which is a low cost of living, make more attractive with relatively high standards of living.
The rapid economic growth of Malaysia has resulted in substantial investment towards infrastructure and the continuous upgrading of facilities to world-class standards. Yet, in spite of rapid growth, Malaysia has not lost its traditional cultural essence and is well-known for its extreme contrasts, which further add to its ” diversity” towering skyscrapers look down upon wooden houses built on stilts, while five star Hotel sit jest meters away from ancient reefs. All this and more has made Malaysia a perfect choice for as my second home.
Malaysia is made up of two distinct geographical parts – Peninsular Malaysia to the west and the state of Sabah and Sarawak on Borneo Island to the east, both of which sit just north of the equator and separated by the South China Sea. Peninsular Malaysia has a border with Thailand to the north and the island of Singapore sit offshore in the south, while Malaysia Borneo shares borders with Brunei and Indonesia.
The total area of Malaysia is approximately 330,000 square kilometer, with most of it located on the island of Borneo. Peninsular Malaysia only comprises approximately 40% of the total area.
Malaysia is not located within the Pacific Ring of Fire Zone, making it free from major natural disasters such as volcanoes, tsunami, typhoons and earthquakes.
The country enjoys a tropical climate, with weather that is pleasant, warm and balmy with moderate rain throughout the year. There are also highland residential areas and resorts with permanent spring-like weather throughout the year, which temperatures are between 15″c (59″F) to 25″c (77″F).
The People of Malaysia
Malaysia is a multi-racial country consisting of Malays, Chinese, Indians and numerous indigenous people. Having lived together for generations, all these cultures have influenced each other creating a truly Malaysia culture.
Culture – A land of charming Diversity
Malaysia is a mosaic of cultures, owing to its colourful historical past and being part of the international spice route many hundreds of years ago. The amalgamated culture is a colorful heritage that is still a large part of daily life practices, despite urbanization of the cities.
The English language is well established as an international language of choice with a large number of people conversing in fluent English. This makes Malaysia especially attractive to native English speakers or those speak enough English to communicate.
Recreation & Entertainment
Recreation and entertainment facilities are abundant in Malaysia, owing to the year – round pleasant weather and natural wonders of its tropical environment. The country has everything for the family, or for individual pursuit of fun and creation – theme parks, jungle trails, world – class cinemas, performing arts theaters and art galleries, sports facilities, water sports and golf courses.
Food and Fruits in Malaysia
Malaysia food is a varied culinary spectrum, originating from Malaysia’s multi-ethnic population. Malaysian relish and celebrate their diverse food, which include an eclectic mix of international food as well; to suit all tastes and budgets. Indulge in gourmet cuisine created by amazing chefs in designer restaurants, or sample an endless amount of treats found at malls, store- fronts, street-side hawker stalls or the 24-hour local ‘mamak’ restaurants; which are run by Muslim-indians. The best part is that eating out is thoroughly affordable in Malaysia.
Shopping – experience the indoor and outdoor shopping.
Malaysians love shopping, which is why there is a huge number of luxury malls, as well as the local street-side stalls and stores. Local regulations ensure items are price-tagged and prominently displayed, Particularly at department stores in shopping mall where prices are fixed. Upmarket shopping malls where everything is designed for shopper convenience; contain banks, foreign currency exchange counters, supermarket, restaurants, entertainment centres such as complexes and bowling alleys and hundred of shops offering a tremendous range of goods.
For interesting curios and local face, shoppers can visit one of the many weekly flea markets and night markets – ” Pasar Malam” where haggling is a much required skill and presents an interesting insight into the live of the locals.
Malaysia – Future Development
High Speed Rail (HSR)
High Speed Rail expected to be completed in year 2026, with the ripple effect of the project, development in Malaysia looks set to surge, as the newly-accessible prime estate along the tracks awakening now-sleepy towns hosting transit stations.
Future Development – Bandar Malaysia
Foreign Universities Branch-Campus
- Xiamen University Malaysia Campus
- Monash University Malaysia
- The University of Nottingham Malaysia Campus
- De Montfort University
- Heriot-watt University Malaysia
- Manipal International University
Local University Branch Campus
- Taylor’s University College
- Sunway University College
- Inti International University College
- Limkokwinf University of Creative Technology
- University College Sedaya International
- Alice Smith School
- Australian International School
- French School
- Say fol International school
- International School of Kuala Lumpur