MBSB Home Loan

About MBSB Bank

MBSB Bank Berhad was granted a license by Bank Negara Malaysia to conduct Islamic banking business and became a full-fledged Islamic bank on 28 November 2005. Because of MBSB Bank’s rapid growth, they now provide a wide range of Islamic-compliant banking services to meet the needs of all their customers. Due to the rapid growth, MBSB Bank currently operates approximately 27 branches throughout Malaysia.

What is a home loan?

Borrowing money to purchase a house is known as a home loan. The interest rates and payment terms will depend on your chosen bank and the type of property you plan to purchase.

What type of home loan does MBSB Bank offer?

MBSB Bank provides 2 types of home loans:

  • Residential Property
    • Standard Home Financing-i
    • Ultimate Home Financing-i
    • My First Home Scheme-i
    • My First Home Scheme-i – First Time House Buyer (FTHB) (Lower Income Group)
  • Commercial Property
    • Standard Home Financing-i
    • Ultimate Home Financing-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 MBSB Bank home loans?

  • Standard Home Financing-i & Ultimate Home Financing-i
    • All individuals and joint applicants are allowed
  • My First Home Scheme-i
    • Malaysian citizen
    • 40 years old and below
    • First-time homebuyer
    • Occupant is required
    • Employed applicant:
      • Worked for the same employer for at least 6 months from the hire date
      • Degree holder/ at least 2 years of total work experience
  • My First Home Scheme-i – First Time House Buyer (FTHB) (Lower Income Group)
    • Malaysian citizens
    • Between 18 to 40 years old
    • Maximum monthly household income of RM5,000 (individual/ joint with spousal or blood relationship)
    • Employed applicant:
    • Worked for the same employer for at least 6 months from the hire date
    • Degree holder/ at least 2 years of total work experience
    • No record of impaired financing in the last 12 months for all credit facilities

Why should I choose MBSB Bank home loans?

  • It provides a variety of home loan financing options to suit your needs
  • MBSB also offered Shariah Compliant loan based on Tawarruq
  • Enjoy repayment tenure period up to 35 years or age 75, whichever is earlier*
  • Get up to 90% (basic financing) of the Purchase Price or Open Market Value (OMV), whichever is lower*
  • Flexible Takaful coverage, MRTT, and assignment of Family Takaful
  • A waiver on processing fees*
  • No early settlement will be charged*

*Depending on the selected home loan.

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

For more information or assistance with the MBSB Bank Home Loan, you can choose to:

  • Contact MBSB at +60320963000
  • Email enquiry@mbsbbank.com
  • Visit MBSB Mortgage Department on the 9th Floor, Menara MBSB, 46 Jalan Dungun, Damansara Heights, 50490 Kuala Lumpur

What are the documents required for MBSB Bank home loans?

  • Salaried employee
    • Copy of NRIC
    • Copy of passport/ Work Permit (for non-residents)
    • Latest BE Form and tax receipt/ EA Form
    • Latest 3-month Savings/ Current Account Statement (where salary is being credited)
    • Latest 3-month salary slip
    • Letter of employment
    • Latest EPF statement
    • Sale and Purchase Agreement
  • Self-employed
    • Copy of NRIC/ passport
    • Business Registration/ Form 9, 24, 49 and B&D/ M&A
    • Latest B Form and tax receipt
    • Latest 6-month Current Account statement (company and personal)
    • Latest 3-year Profit and Loss/ audited/ management accounts
    • Sale and Purchase Agreement

What are the fees included in MBSB Bank home loans?

  • Stamp duty

    As per Stamp Duty Act 1949 (Revised 1989)

  • Wakalah fee


  • Processing fee (residential properties)


  • Late payment fee

    1% of the amount arrears

  • Request for redemption statement

    RM50 per request

  • Letter of confirmation for EPF withdrawal

    RM50 per request

  • Security document retrieval and photocopying

    RM10 per document

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.