We understand that buying a home is a huge long-term financial decision. To make your journey easier, our Home Loan Specialists can provide advice and tips every step of the way, saving you valuable time and money. Just follow our 8 simple steps and you'll own your dream home in just 40 days*.
STEP 1: FIND OUT HOW BIG A HOME LOAN YOU CAN AFFORD
First thing to do is find out how big a mortgage you can afford. Visit our Home Loan Centres at Serusop, Gadong or Kuala Belait branch, or any of HSBC branches and our Home Loan Specialist will discuss your finances and repayment ability.
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STEP 2: SUBMIT YOUR HOME LOAN APPLICATION
Now knowing how much you can borrow, you can now look for your dream house. Once found, approach our Home Loan Specialists with the following:
-Details of the house you wihs to purchase / build. Details of Property - Copy of Land Title Deed and/or Copy of House Plan and Indicative Valuation of Property.
-Your Identification Card
-Your latest salary slip (or the past 3 months salary slip for non accountholders)
-6 months bank statement (for non-accountholders only)
After these information have been provided, we can issue you a conditional approval of your loan indicating how much you can borrow within 24 hours! To proceed, our Home Loan Specialist will also request for further documentation in order to complete the application.
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STEP 3: SPEEDING UP THE PROCESS
(This is optional but you are highly recommended to perform this step in order to speed up your home loan process!)
At this stage, we can make the process faster by having you sign a letter of authorisation allowing us to manage the required services listed below on your behalf thereby speeding up your home loan process considerably.
-Full Valuation Report - We get in touch with reputable valuers to conduct a full evaluation of your chosen property.
-Legal services - We can recommend lawyers whom we work closely with hence making your home loan process faster.
-Mortgage Reducing Term Assurance (MRTA) - We can liase with a number of insurance providers to give you the protection you need
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STEP 4: PROPERTY VALUATION
You will need to meet the conditions set in our conditional approval letter (obtained in step 2). The documentation requirements are illustrated below.
Already Submitted?
-Letter of Certification from the Employer
-Land Title Deed
-Cost of construction (for building a house)
-Approval from Town and Country Planning (for building a house)
-Sales and Purchase Agreement (for buying a house)
-Full Valuation Report (either for building a house, buying a completed house, buying a vacant land or refinancing an existing house)
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STEP 5: FACILITY OFFER LETTER
Once all the conditions are met, a Facility Offer Letter (FOL) will be drafted for you to sign. Our Home Loan Specialist will explain clearly all the relevant terms and conditions on the FOL regarding your home loan.
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STEP 6: APPOINT LEGAL REPRESENTATION
Upon signing the FOL, you need to engage the services of a lawyer. As mentioned above, we can engage lawyers on your behalf whom we work closely with hence making your home loan process faster but you are free to choose a lawyer you are familiar with. Please note you are required to pay the lawyers for services rendered. In normal cases, these costs range from BND2500 to BND4000 depending on the complexity of your home loan. In addition, during this time, our Home Loan Specialist can now assist you in signing up for your MRTA.
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STEP 7: CREDIT YOUR LOAN TO YOUR ACCOUNT
Once all legal documents and MRTA are completed, your lawyer will authorise HSBC to credit the loan facility to your account. Upon receiving this instruction, HSBC will credit your loan into your account within 2 days! For building a house, the loan amount will be credited according to claims submitted by the contractor. An Independent Architect Certification is required to certify the contractor's claim along with supporting pictures.
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STEP 8: COMPLETION
Congratulations. You are now the proud owner of your dream house!
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Additional Info
Here are the some of the costs you can expect when buying your home:
-One-time application fee of BND500
-Property valuation fee (depending on the property value)
-Legal fee (depending on the property charge amount and complexity of your home loan)
-One-time Mortgage Reducing Time Assurance (MRTA) insurance premium
-Stamp duties (depending on the property value)
-Fire Insurance (0.1% of the property value)
*Based on normal circumstances. Due to the complex nature of home loans, please be advised this figure may vary.
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