Bank Muamalat Home Financing-i

An Islamic home loan offering up to 90% margin of finance and no early settlement charges

Bank Muamalat Home Financing-i
Tenure
Up to 35 years
Profit Rate
from 3.86% p.a.
Loan type
Term islamic financing
Interest Type
Fixed/Floating profit rate
Lock In Period
5 years
Margin of finance
up to 90%
Approval in
30 days

Profit Rate

The interest paid based on the home loan amount borrowed

You borrowEstimated Profit Rate
RM100,000 - RM700,0003.86% p.a.
*Effective profit rate will be determined by Bank Muamalat upon approval.

Requirements

Minimum Annual Income
RM24,000
Minimum Age
  • 18 to 70 years old
Who can apply
  • Malaysians

Fees & Charges

Late Penalty Fee
1% p.a. p.a. of the outstanding amount
Processing Fee
RM200 
Early Settlement Fee
Subject to terms of agreement with bank
Redemption Letter Fee
RM50 per request
Letter for EPF Withdrawal Fee
RM20 per request
Insurance Types
  • Fire Takaful
  • Long Term Houseowner Takaful
  • MRTT

More Information

What do I need to know about Bank Muamalat Home Financing-i?

Home Financing-i from Bank Muamalat is a Shariah compliant home loan that operates much like a conventional mortgage: the loan principal is repaid with with fixed monthly installments. 

To help you manage your budget, you can deposit cash in excess of your repayments but will be considered as advances on your monthly mortgage bill and will not reduce your loan principal. Subject to credit approval Bank Muamalat can offer up to a 90% margin of finance. 

To ease the cost of buying and moving into a new home you can apply for 100% financing where the additional 10% is used to offer zero moving cost (ZEC) on legal fees as well as to cover fees associated with insurance and conveyancing.

What are my obligations?

Well, much like any other borrowing, you will have to make a monthly repayment on your mortgage. The Home Financing-i interest rate is linked to the Islamic Base Rate or IBR, which may move up (or down) in the market you might run the risk of paying more interest. 

Thankfully, Bank Muamalat has guaranteed peace-of-mind with ceiling rate of 10.5%, meaning that when the bank IBR is on the bull, it will not go beyond this ceiling rate - thus hedging you from paying more than you could afford.

Is Takaful protection required with the product?

Takaful coverage is compulsory to protect the bank's interest on financing you a long term asset purchase. There are 3 options of Takaful products you can choose: Mortgage Reducing Term Takaful (MRTT), Long Term Houseowner Takaful (LTHT) or Fire Takaful. 

You are also allowed to use your own Takaful provider, subject to terms and conditions.

What documents do I need to apply for this mortgage?

If you're a salaried employee:

  • Photocopy of MyKad
  • Latest 3 months salary slips 
  • Latest J/ EA Form 
  • Latest 3 months Bank Statement 
  • Confirmation letter from employer 
  • Original S&P Agreement/ booking sheet / down payment receipt

And if you're self employed you'll also need:
Business Registration, Form 24, Form 49, Form A or B, Form D