Sunday, May 27, 2007

Think twice before buying a house/apartment, Interest rate is killing me

I've bought a apartment last year. Loan about RM110,000. Its a cheap apartment. You know what? I've just paid RM6,000 for interest. Imagine what I can do with RM6,000.

No wonder bank is so rich. No wonder the bank always ask u to refinance with them. With loan at RM110,000 you have to pay RM6,000 a year, imagine loan at RM200,000, your interest will be RM12,000 per year. (based on fixed interest rate of 5.89%)

The moral of the story. Don't loan more than RM100,000 if the house you plan to stay. Unless you're buying the house and someone will rent it from you. That way, some one pay interest for you. Fair enough!

No comments:

Post a Comment