Affin Bank offers different Islamic home loans as per the Shariah concept of Musharakah Mutanaqisah or Diminishing Partnership to its customers that give financial flexibility and convenience to buy a new home for their family.
Affin Islamic Housing Loan Interest Rates
*BR= Base Rate (It is a new Reference Rate introduced by Bank Negara Malaysia and it is applicable for both conventional loans and Islamic loans.)
Fees & Charges
|Affin Islamic Bank Home Loan
||Fees and Charges
||As per the Stamp Duty Act 1949 (revised in 1989)
||RM26.50 (inclusive of 6% GST)
||Applicable for completed properties only
|Compensation Fee (Ta’widh)
||1% p.a. on the overdue amount
|Legal Fees, Disbursement Fees, Valuation Fees and Miscellaneous Charges
||Depends on product package offerings
||Malaysian or Non-Malaysian resident
- Minimum age: 18 years
- Maximum age: 65 to 70 years (depending on the scheme)
||Depending on the loan scheme
For Salaried Applicant
Supporting Documents Required For Salaried Applicant:
- Latest 3 months payslips/ salary vouchers.
- For pensioners, latest pension fund statement.
- For commission earners, latest 6 months commission statements
- EA Form or Borang B supported by tax payment receipt or E-Filing supported by acknowledgement.
- EPF statement
- Latest 3 months bank account statements where salary or pension is credited.
- Latest 6 months commission statements where commission is credited.
- Validation letter from employer.
- Latest EPF Statement.
- Latest 3 months bank account statement where salary/ pension is credited.
- Latest 6 months commission statements where commission is credited.
- Letter from employer to confirm on applicant’s income.
For Self-employed Applicant
Other Acceptable Supporting Income Documents:
- Latest Borang B supported by tax payment receipt or E-Filing supported by an acknowledgement.
- Latest 6 months business account statements (Sole Proprietorship/Partnership).
- Latest 6 months personal account statements (Limited Company/Sdn Bhd).
- Latest Profit and Loss account or Management account.
Additional Documents Required:
- Rental Income Receipts or Tenancy Agreement
- Unencumbered Fixed Deposits Certificates
- Director’s Fee as shown in audited Profit and Loss account
- Other Deposits/Investments/Unit Trust
- Sales vouchers (for agro-based sector)
- A copy of NRIC (Malaysian identity card).
- Sale and purchase agreement OR
- Booking receipt from developer (for properties under construction).
- A copy of valuation report obtained from Bank’s approved panel of valuers (if required).
- Additional income documents (if applicable).
Types Of Affin Islamic Bank Home Loans
- Affin Home Invest-i: This is a type of home loan that is offered for the property value of RM200,000 and more with a margin of finance of up to 95% (including MRTT i.e. Mortgage Reducing Term Takaful). The loan scheme is available for either acquisition of the property (under construction as well as completed) or refinancing (completed property).
- Affin Home Assist Plus-i: The loan is offered for residential properties ranging between RM100,000 and RM200,000. The Affin Home Assist Plus-i can be used for financing, refinancing and sub sale of a completed property below RM200,000. Other features of the home loan include daily computation of profit charges or rental, flexibility in payments and redrawing facility.
- Affin Invest Plus-i: The Affin Invest Plus-i is a term financing facility for residential property, business premises, vacant land or factory lot. It is a loan scheme based on Shariah concept of Musharakah Mutanaqisah (MM) or Diminishing Musharakah. Malaysian as well as non-Malaysian citizens can apply for this loan scheme. The margin of finance provided is up to 90% for residential properties and up to 85% for business premises with a maximum tenure of 20 years.
- Affin BNM Priority Sector Home Financing-i: The home loan scheme is available for the purchase of residential property of up to RM250,000 (Peninsular Malaysia region) and RM300,000 (Sabah and Sarawak regions) which are only residential properties that are low cost housing for the middle and lower income strata. A margin of finance of up to 90% is provided and Mortgage Reducing Term Takaful (MRTT) is compulsory for an applicant.
- Affin Premier Corporate Home Financing-i: This is a type of home financing offered to purchase residential properties for employees of selected corporate companies. The minimum property value of RM150,000 is required to obtain the home loan. The margin of finance offered to the applicant is up to 95% including the MRTT. The bank also offers redraw facility and gives rebates on early settlement of the home loan.
- Affin Home Build-i: The home loan scheme caters to new as well as sub-sale financing and refinancing. The scheme is applicable for the purchase of residential land as well as for constructing houses. The minimum loan amount for this scheme is RM5,000 whereas the maximum amount scales up to RM500,000. Margin of financing offered is up to 80% and 85% respectively for the purchase of residential land and construction of house.
- Affin Tawarruq Home Refinancing-i: The home loan scheme is offered for refinancing of residential and business properties from other financial institutes. Here, the additional excess limit can be used for personal usage of a customer. Minimum financing amount of RM100,000 is offered against a property value of RM200,000 and above. In this scheme, the redraw facility for own consumption is exclusively applicable for home financing.
Features & Benefits
- The home loan schemes are offered under the Shariah concept that involves joint property purchase by the bank and the customer.
- Re-mortgage financing is also offered on the existing mortgage schemes of the customers. Affin Extra Plus-I and Affin Credit Plus-i are two such schemes available for existing customers. The margin of finance ranges between 85% and 95% for both the schemes.
- The home loan schemes are available for either acquisition of property (completed and under construction assets) or refinancing (completed only).
- The scheme comes with the redraw facility that allows a customer to sell or transfer the ownership of the property to the bank.
- The Affin Islamic Bank Home Loan is available for all Muslim, non-Muslim, Malaysian and non-Malaysian citizens.
- Individuals or joint applicants can obtain the loan from different schemes available under the home loan facility.
- No early settlement fee or processing fee is charged to the customers.
How To Apply for Affin Islamic Bank Housing Loan?
The home loan application process for Affin Bank takes place through following methods:
Offline Application: A customer can apply for a home loan scheme by visiting the nearest Affin Islamic Bank branch. He/she needs to fill the provided application form and submit it along with the required documents to complete the application process.
Telephonic Application: A customer can put up a request for a home loan by contacting the bank through their customer care number at 03-5522 3000.
Affin Islamic Bank House Loan Repayment
The repayment is done on a monthly basis until the end of the tenure through the channels mentioned below:
- Monthly Instalments: As per the amount decided by the bank until the end of the tenure.
- Advance Payment: Any payment that is in excess of the monthly instalment with no prior notice is defined as advance payment. This Advance Payment is used to set-off future instalment. It will not reduce the loan outstanding, but a customer can enjoy savings on daily rental/interest charged.
- Prepayment: The repayment in multiple of RM1,000 and in excess to the monthly instalment with a prior notice of 1 month is known as prepayment. A prepayment will reduce the loan outstanding and it will apparently lead to monetary saving.
- Any Extra Charges For Early Payment: 2% on original loan amount if redeemed within 3 years of retention period.
Affin Islamic Bank Home Loan Refinance
Affin Home Invest-i, Affin Home Assist Plus-i, Affin Invest Plus-i, Affin Premier Corporate Home Financing-i, and Affin Tawarruq Home Refinancing-i are the home loan schemes from Affin Bank that offer refinancing to a customer.
Affin Islamic Bank Home Loan Customer Service Number
To know his/her application status, a customer can contact the customer service department on the hotline number: 03-5522 3000.
Q. How is the rental rate calculated for Affin Extra Plus-i plan?
A. Rental rate is calculated using following formula:
Rental Rate= BR+1.01% p.a. (for property value up to RM500,000) or
Rental Rate= BR+0.81% p.a. (for property value more than RM500,000)
Q. Is the Base Rate variable? What circumstances can affect it?
A. Yes the BR is changeable. The BR can increase or decrease due to changes in financial policy such as the Overnight Policy Rate (OPR). This is decided by the Monetary Policy Committee of Bank Negara Malaysia.
Q. What is a Ceiling Rate?
A. It is the maximum rental rate chargeable to a customer throughout his/her financing tenure.
Q. Will the customer’s share or ownership of the property which is under the bank during the loan tenure, increase as he/she makes the payments?
A. Yes, as the customer makes monthly instalments for the property acquired by the bank, his share will gradually increase and bank’s ownership will decrease.
Q. I am applying for a loan for my under construction residential property. Do I have to pay the valuation fees for it?
A. Valuation fees are charged for completed properties only and it won’t be applied for your type of home loan.