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Purchase Planning

Step 1: To determine the type of holding for the new property. 


There are few major ways you can hold commercial property. It is depending on the resources you have and the objective you want to achieve.


From mortgage point of view, it is a key factor for loan approval & the loan amount.


a) Private Limited Company - (Excluding investment holding company)

    The loan amount & approval. is mainly depending on the company overall      

    financial stand and the personal guarantor(s) financial status.
    Each bank has its own guideline for loan approval.







b) Sole Propriotor, Partnership, LLP, Newly Set up company,
    Investment holding company, Individual. 

    TDSR regulation is applied for the loan approval. Which means that, the loan
    amount is limited by personal income & other loan commitment.  

    TDSR (Total-debt-servicing-ratio)
: The new mortgage repayment & your other       existing loan monthly commitment should not exceed 60% of your combine  
    income. If the subject property is an investment property with minimum 6 months
    balance lease, this portion of income could be included into the total income.


b) What is the maximum Loan-to-valuation (LTV)? 
    i) Own occupy property could always apply for 80% loan.
    ii) Investment property normally highest LTV is 70%. It is also possible to get 80%
        for certain type or area property. eg. Office unit or retail shop in CBD area, the
        borrower could always try to apply for 80% Loan. 


Once you know your maximum loan borrowing capacity, you can always work backward to derive your budget for new property purchase

save your time & effort. Let MxRICH assist you.

save your time & effort. Let MxRICH calculate for you. 


To determine the property is to be hold under what what type of entity? 

Step 1

Apply for
In-principle Approval from at least 1 bank

Step 2: Apply for IPA (In-principle-Approval)


It is an important step. With a written IPA from bank will give you a peace of mind for securing a mortgage and avoid unnecessary lost of booking fee. We always ask our client do not underestimate this step especially under stringent regulation and check in bank. 


We will recommend you a few bank packages based on your criteria, and assist you on the documentation and follow up with respective banker. 


Normally, IPA only last for 1 month. Any annoucement of new regulation, IPA will always become obselete.  

Step 2

save your time & effort. Let MxRICH assist you.

Get Bank Indicative 

Step 3

Step 3: Bank Indicative Valuation


You can always send your shortlist property detail to MxRICH. We will obtain the bank indicative valuation for  you. 


Most banks require at least 2 valuers to match the asking price.  
The indicative valuation is extremely important if you are planning for maximum loan. 

save your time & effort. Let MxRICH assist you.

Shop & Shop house

Industrial B1, B2, Factory

Office unit

Private Limited operating company, more than 3 years incorporation


Newly set up Company

Investment Holding

Sole Propriotor, Partnership, LLP

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