AFFIN Bank Home Loan

About AFFIN Bank

Affin Bank Berhad is a Malaysian financial holding company with 111 branches. AFFIN Bank also provides a wide range of financial products and services to retail and corporate customers, including loan and financing, investment, life, general insurance, trade facilities, and others, to meet customers’ needs, particularly in today’s modern world. AFFIN Bank constantly connects and engages in understanding its customers’ changing needs and aspirations.

What is a home loan?

A home loan is a sum of money that you apply for or borrow from a bank to assist you in purchasing your dream home. Each loan will be charged an interest rate determined by the loan amount and the repayment period. So, keep in mind that each bank will have a different interest rate, and you should do some research before applying for a home loan.

What type of home loan does AFFIN Bank offer?

AFFIN Bank provides 7 types of home loans:

• AFFIN Home Solution Plus
• AFFIN Home Invest-i
• AFFIN Home Flexi Plus
• AFFIN Tawarruq Home Financing-i
• My First Home Scheme / Skim Rumah Pertamaku-i
• AFFIN Home Build / AFFIN Home Build-i
• AFFIN Home Step Fast / AFFIN Home Step Fast-i

What should I know before applying for a home loan?

• Interest rates

  You must be aware of the interest rates that the bank will charge you, either fixed interest rates or variable rates.

• Type of loan

  In Malaysia, there are 3 types of loans offered: term loan, semi loan, or flexi loan.

• Lock-in period

  Knowing the lock-in period is crucial because it often occurs when there is a sudden need for full settlement, refinancing, or selling your property.

• Margin of finance

  You must understand your margin of finance, which is the amount of money that a bank will allow you to borrow for your loan and how much cash/ upfront you must pay for the property.

• Fees

  The fees include legal fees, stamp duty charges, late payment fees, early settlement fees, and others.

• Type of bank

  The bank you have chosen to apply for a home loan with, as different banks offer different loan amounts, terms, etc. Choose a bank where you are comfortable applying for a home loan.

Who is eligible to apply for AFFIN Bank home loans?

• AFFIN Home Solution Plus & AFFIN Home Flexi Plus
• 18 years old and above
• Property Investment Holding Limited Companies (AFFIN Invest Plus only)
• AFFIN Home Invest-I & AFFIN Tawarruq Home Financing-i
• 18 years old and above
• Property Investment Holding Limited Companies (AFFIN Invest Plus only)
• My First Home Scheme / Skim Rumah Pertamaku-i
• Malaysian citizen
• 18 years old and above
• Property Investment Holding Limited Companies (AFFIN Invest Plus only)
• Maximum monthly gross household income:
• RM300,000 property: RM5,000/ month (individual/ joint)
• RM300,000 – RM500,000 property: RM5,000/ month (individual) | RM10,000/ month (joint)
• AFFIN Home Build / AFFIN Home Build-i
• 18 years old and above
• Property Investment Holding Limited Companies (AFFIN Invest Plus/ -i only)
• AFFIN Home Step Fast / AFFIN Home Step Fast-i
• 18 years old and above
• Property Investment Holding Limited Companies (AFFIN Invest Plus/ -i only)

Why should I choose AFFIN Bank home loans?

• It provides a variety of home loan financing options to suit your needs
• It also applies the concept of Musharakah Mutanaqisah (MM) or Diminishing Musharakah
• Get finance up to 95% (inclusive of MRTA)*
• Interest rate is calculated based on Base Rate (BR) + 0.60% p.a.*
• Loan tenure up to 35 years or up to age 70, whichever is earlier*

*Depending on the selected home loan.

Who should I contact for further information about AFFIN Bank home loans?

For more information or assistance with AFFIN Bank home loans,

• Contact AFFIN Bank Contact Centre at +60382302222
• Visit their official website
• Walk into an AFFIN Bank branch near you

What are the documents required for AFFIN Bank home loans?

• Salaried employee
• Latest 3-month salary slip or salary vouchers
• Latest pension fund statement (for pensioners)
• Latest 6-month commission statement (for commission earners)
• EA Form or B Form supported by tax payment receipt or e-Filing supported by acknowledgement
• Latest EPF statement:
• Latest 3-month bank account statement where salary/ pension is credited
• Latest 6-month commission statements where a commission is credited
• Letter from employer to confirm on applicant’s income
• Self-employed
• Latest B Form supported by tax payment receipt or e-Filing supported by acknowledgement
• Latest 6-month business account statement (sole proprietorship/ partnership)
• Latest 6-month personal account statement (Sdn. Bhd.)
• Latest Profit and Loss account or management account

Please visit this page for information on additional documents required.

What are the fees included in AFFIN Bank home loans?

• Stamp duty

  0.5% of the total amount.

• Late payment fee

  1% of the amount in arrears.

• Early settlement fee

  2% of the original loan amount.

• Letter for EPF withdrawal fee

  RM20.

• Processing fee

  None.

• Re-draw charges

  RM25.

• Redemption statement

  RM50 per request.

• Security document retrieval

  RM30 per request.

What are the common terms of home loan?

• Lock-in period

  A period during which you will be penalised if you pay off your home loan earlier than agreed. The fine ranges from 2% to 5% of the total amount.

• Margin of Finance (MOF)

  The amount of money that a bank will lend you for your loan determines how much cash you must pay upfront for the property.

• Interest rates

  It is the amount of money you paid to the bank in addition to the principal amount.

• Valuation

  An estimate of the property’s worth and the stamp duty is calculated based on its value.

• Base rate

  The base rate is the interest rate charged by Bank Negara Malaysia to commercial banks for loans.

• Base Lending Rates (BLR)

  A rate set by each bank based on the cost of borrowing the money to be lent to borrowers.

• Refinancing

  Repaying an existing loan and replacing it with a new one with new terms and conditions.