LoanStreet.com.my – your mortgage/home loan solutions all in one place

When I talked to Jared Lim, the head honcho at LoanStreet.com.my,  I am absolutely sure LoanStreet can dramatically simplify your mortgage loan application process. And best of all, it is free to use. Think of it as your mortgage loan broker, but you don’t need to pay a single cent. LoanStreet as a mortgage broker,  only gets paid by the banks if your home loan get approved.

In this live demonstration, I assume  the role of an idiot, and Jared explained in detail, the whole process of comparing & applying for loans via LoanStreet. This whole process not only takes the hassle out of home loan surveying, it also saves bankers a lot of headache because the leads generated are pre-qualified by a team of LoanStreet customer service consultants.  One thing to note is that the consultation session by LoanStreet customer service personnel is impartial – as in, they are not tied to any banks.

On top of that, there are a few nifty tools relating to mortgage loan, most notable being the entry cost calculator. This calculator computes the amount you need for the lawyer fees, stamp duties, SPA fees, etc specially tailored for Malaysians.

During this session, Jared also answered one of my reader’s question on MRTA and MLTA. Helen, if you are watching this, hope this helps.

Side note: This is the illustration of Jared’s explanation of MRTA sum-assured “curve”. Credits to Horlic Lim.

MRTA vs MLTA the curve

See the interview below for LoanStreet’s unique service and its entire customer experience, whether you are a first time home buyer or a seasoned property investor.

*Please bear with the  echo during the recording.

Visit LoanStreet.com.my here

This Post Has 9 Comments

  1. Developer Interest Bearing Scheme (aka DIBS) is applicable for under-con projects only. If there is a DIBS scheme being offered, it means that during the construction period, the developer will pay for the interest of the loan amount until the construction is completed.

    Firstly, not every developer offers DIBS scheme for their projects. Secondly, even if a developer does, not every Panel Bank may have such an arrangement with the developer. So don’t be surprised if you purchased a unit which advertised DIBS, and w/o paying attention, took a loan from one of the few panel banks for the project, and then find out later that that particular bank is not participating on the DIBS scheme. In some cases though, developers do find other means to compensate the purchasor through other arbitrary means.

    But it’s not just about DIBS. There are max quotas, max MoF (Some banks even though offer DIBS, give only 80% MoF), eligibility assessments, and even ad-hoc financing from non-panel banks (yes, it happens).

    Using Loanstreet.com.my, our reps are of course always ready to give impartial advice on the best options available 🙂

    P.S. The article identified us as “LoanStreet.com” in the first paragraph. It’s actually “Loanstreet.com.my” 😉

    1. THanks Jared. Corrected that 🙂

  2. Very patient and professional, and most importantly, it is free of charge!!

    1. Yeap, I agree. That’s why I brought Jared into this interview in the first place 🙂

  3. Just to shed some light on the information. For under-con projects, typically, banks need to green light a particular project at HQ level before they are able to finance it, in a practice known as End Financing (EF). Which bank gets EF status for a project and their max financing quota for the project depends on the result of negotiations and mutual interest by banks/developers. Without EF status for a project, most banks do not finance an under-con project.

    Determinants: Partly risk management by bank side (What if the developer abandons, or the saleability is not great, or exposure to a certain geographic area already too high etc.), partly profit oriented for both sides (For developers, if they have DIBS scheme, they’d want better rates during the construction period; For banks, do they think they can squeeze a decent enough profit to enter special arrangements).

    It is not uncommon for banks to offer customized packages (that vary from their usual) that offers better value just for a particular project. Contrary to what many people think, different panel banks for the same project can have differing offers. But the pain/stress of hunting loan for under-con is usually slightly less than sub sale property financing as:
    1) There are usually multiple bankers congregated at the sales gallery
    2) They have more time to shop for loans after paying booking fee, unlike in sub-sale where usually only have 14 days.

    Of course, while the stress is lesser, there are still stresses (more than most people realize). So it still makes sense to use http://loanstreet.com.my which is free of charge to obtain loans for under-con projects 😉

    1. Hey Jared, thanks for dropping by to answer readers’ queries.
      Can you elaborate a bit on DIBS scheme? I think not everyone is familiar with this term
      Also, say if I go thru Loanstreet for under-con projects, the whole customer experience would be different, wouldn’t it? Because the packages are usually customized, and Loanstreet consultant would need to check/compare these packages instead. Can you comment on that?
      Thanks

  4. LoanStreet is another great financial information initiative from Malaysian for Malaysians. It is a good place to seek for loan details and conveniently compare the loans. However most new property buyers would always go with the “panel banks” agents which are easily reached in developer’s office. In fact, the sales person in developer’s office would often push the property buyers to get loan from the “panel banks”. Very often the property buyers would just go with it. First, because it is convenient – like an all in one service. Second is because the sales person in developer’s office might receive certain benefits from the bank agent or the bank to push their loan package. So, platform like LoanStreet is a good place to look for loan related information, but speaking about actually loan application, I suspect most still happens in developer’s office.

    1. Daniel, I must hit my head for not expressing the same thing you commented here because that was exactly what happened to me too. You hit the nail right on the head 🙂 And normally non-panel banks don’t have the privilege to “participate”, plus special perks like rebates or lower rates are only available with panel banks.

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