First-Time Homebuyer in Malaysia? Here’s Your Step-by-Step Guide
Buying your first home is a big milestone, exciting and meaningful, but also filled with questions. Where do you begin? What can you afford? How do you secure a loan?
If you’re a first-time homebuyer in Malaysia, this friendly and easy-to-follow guide will walk you through the entire process, from planning to getting your keys.
BY LATHA SARANGAM 02/ 03/2025
Before browsing listings, get clear on your budget.
Monthly Income vs. Commitments: Know how much you can comfortably set aside each month.
Loan Eligibility: Banks usually offer up to 90% financing for first-time buyers.
Down Payment: Typically, you'll need at least 10% of the property's price in cash.
However, some new development projects offer rebates, cashback, or early-bird promotions that can reduce your upfront payment.
Other Costs: Include legal fees, stamp duty, loan processing fees, valuation fees, renovation costs, and the MOT (Memorandum of Transfer)
The good news? In some new launches, legal fees for the Sales & Purchase Agreement (SPA) and even loan agreement may be borne by the developer.
Malaysia offers housing support scheme to help ease the burden:
🔹 SJKP (Skim Jaminan Kredit Perumahan)
For buyers with no fixed income (e.g. freelancers, gig workers, small business owners).
No need for payslips; income declaration accepted.
Offers 100% financing for properties up to RM500,000 (this includes the principal loan, MRTA/MRTT (insurance/takaful), legal fees, valuation, etc.)
Ask yourself:
Property type: Landed, condo, apartment?
Location: Do you prefer city convenience or quieter suburbs?
Purpose: Own stay or future investment?
Also consider:
Proximity to schools, highways, shops, and public transport (MRT/LRT)
Gated & guarded communities vs. open neighborhoods
Future developments in the area
A trusted agent makes all the difference, especially for first-time buyers.
Here, we:
Do pre-loan screenings to check how much you qualify for.
Liaise with bankers to get you the best mortgage deal
Arrange your lawyer for SPA (Sales & Purchase Agreement) signing.
Recommend properties based on your needs and budget
Help you understand market trends, property terms, and processes
Attend project/house viewings
Your agent can help shortlist suitable properties and arrange private viewings.
📞 With the right agent, your journey becomes smoother, faster, and stress-free.
After Choosing Your Home, Your Real Estate Agent Can Guide You Through These Key Steps:
Loan Application – Get an Approval in Principle from your preferred bank.
Pay Booking Fee – Amount differs based on developer.
Sign SPA – Your lawyer will go through the agreement with you.
Finalize Loan Agreement – After signing with the bank, your lawyer will handle stamp duties and title registration.
Once all documents are signed and payment is disbursed, congratulations, the keys are yours!
You can now begin renovation, furniture planning, and preparing for the big move.
Buying your first home can feel overwhelming, but it doesn’t have to be. With proper planning, the right support, and guidance from an experienced agent, you can take this important step with confidence.
Contact or follow us on social media for first-time buyer tips, new listings, and property news.
We’re here to guide you every step of the way.
A: Typically, you need to prepare 10% of the property price as a down payment. However, some new projects offer rebates or cashback, which can lower your upfront payment. Ask your agent about current promotions.
A: Yes. Through the SJKP scheme (Skim Jaminan Kredit Perumahan), eligible buyers such as freelancers, gig workers, or small business owners can apply for a 100% loan without the need for a payslip. You only need to declare your income.
A: In subsale properties, buyers typically bear the legal fees. But for many new property launches, developers may cover legal fees for both the Sales & Purchase Agreement (SPA) and loan agreement. Always confirm this with your agent or developer.
A: Eligibility depends on your income, employment type, and property price.
SJKP: For self-employed or informal workers without payslips.
Your real estate agent can help you check your eligibility and submit the application.
A: Once you've selected a home, the full buying process usually takes 2 to 3 months, which includes:
Loan approval
SPA signing
Legal processing
Final payment and key collection
A: Yes. You can apply for a joint home loan with a spouse, sibling, or parent. This helps increase your combined income for better loan approval chances.
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