|2||Engage Mortgage Consultant|
|3||Check eligibility and Property valuation|
|4||Sign Booking Form|
|5||Sign letter offer|
|6||Letter instruction send to lawyer and valuer|
|7||client signed loan agreement with lawyer|
|8||valuer site visit on the unit|
|9||Lawyer then send loan agreement to the bank|
|10||lawyer then send loan agreement to land office for stamping|
|11||lawyer retrieve redemption letter from past bank|
|12||first disbursement happens|
|13||transfer of name occurred|
|14||2nd disbursement occurs|
|15||Vacant Possession receive|
Financing is a big complex jargon to everyone, people who purchase house from borrowing till vacant possession will have lots of hurdle need to gallop over before they could finally have a piece of mind sleeping in their new home
Here I am going to explain in depth details of the whole process from A-Z, because we are Mr Mortgage and we like to share every nitty gritty details of Mortgage loan (Housing loan) Financing to the netizens out there!
We will explain in away starting from how fetus is form from what activity till it develops with monthly progress till baby is born.
1. You wanted to purchase new property which is subsales (second hand house) whereby the first thing you will do is looking for a property first of cause!
Go through Iproperty.com.my or any other websites or find a reputable agents to help you search for your dream House.
Then you will sign booking form with the seller to lock the property you intend to purchase.
2. Next, you will need a banker / mortgage consultant to help you with the loan. They will provide a professional service by assessing your profile, jotting down your incomes, debts and screening through CCRIS and CTOS, so to calculate your max loan eligibility. When your loan eligibility matches the loan you want to finance 90% with the property, you are good to start with the journey to the wild wild west!
3. Mortgage consultant/ Broker will help you check the property market value first, property must match the market value valued so to avoid overstating of the property selling price. Mortgage consultant / Broker will check your value via bank panel valuers to match the value, next you can proceed with loan submission.
4. Before loan submission, Mortgage consultant/ Broker will meet up with you to discuss with you regarding the financing packages you need and the addon, after signing the bank submission form, you loan will be proceed with the bank. While signing the booking from with the seller.
5. Waiting time of 4-15days, you will receive call from mortgage consultant/broker that your loan accepted and letter offer is prepared. You will need sign the letter offer in agreement to take the bank’s loan offer, however do take note few pointer before signing letter offer. Letter offer will be delivered to the bank HQ credit department for processing, in between lawyer will receive copy of the letter offer, title and SPA from mortgage consultant, so that lawyer can prepare loan agreement.
6. Then on, bank will send out letter of instruction to the lawyer and valuer to give authority to them handling your case on their behalf.
7. You will visit lawyer office to sign Letter offer and the Sales Purchase Agreement once it is ready.
8. Valuer will site visit the said unit that you intend to purchase, so that the property is in good shape and form.
9/10. Lawyer will then send the document to the bank and land office for stamping and adjuctication.
11. While in the meantime, Redemption letter will be retrieved
12. then first disbursement (Money) will be released to the previous bank in 1-4 months.
13. Transfer of property title
14. After the title has been successfully transferred, 2nd disbursement will be released to the seller in 2-4months time.
15. Hence the whole process will take 6months or less, if there’s no complication! Acquiring a house sounds easy, but the back end process is quite tedious and need focal attention thoroughly.
Below is the diagram to better simplify the process to you!