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First-time home buyer:
7 steps to making the right purchase decision

Dreaming about buying a property but feeling intimidated by the entire process? Fret not, as it’s completely normal for you to be cautious. After all, deciding to purchase a property is different from purchasing usable or wearable products like clothes, jewellery or a mobile phone. 

For these reasons, we’ve developed a guide for the first-time property buyer, in the hope that you will not make unnecessary mistakes and be equipped with the knowledge to tackle unforeseen challenges that may arise.

A 7-Step guide for the first-time home buyer

Step #1: Familiarise yourself with the Malaysian property market
First and foremost, first-time buyers need to learn about the property market and the fundamentals of residential property in Malaysia. These include understanding the lending guidelines of different financial institutions, as well as the different property types, available land tenures, and types of home loans. Separately, you can visit JLand’s sales office to identify available properties or register yourself at www.jland.com.my to speak to our sales representative.
Step #2: Calculate your property affordability level
Next, determine the property price that you can afford. Usually, financial experts will recommend that your monthly housing loan repayments don’t exceed one-third of your household income.
Step #3: Identify the neighbourhoods you would like to live in

Once you’ve established your affordability, you can start looking at suitable neighbourhoods to live in. JLand’s Bandar Dato’ Onn is a self-sustaining township that’s 12 kilometres away from Johor Bahru’s city centre, and easily reachable via the Eastern Dispersal Link (EDL) and North-South Highway (PLUS).

It’s also crucial for first-time homebuyers to familiarise themselves with the key traits and infrastructure of a specific neighbourhood. This information can go a long way in assuring you that you’re purchasing a property that meets your requirements. A price analysis, likewise, can also be beneficial for ensuring that you get the best bang for your buck.

Step #4: Begin your property search
Bandar Dato’ Onn is a gated and guarded township that uses electronic security systems, including closed-circuit television (CCTV) cameras, electronic fences and intercom systems. It consists of nineteen neighbourhoods that were carefully curated by landscape designer Made Wijaya. It also has smart cars, designated parking areas, an unconventional waste management system, and uses natural sources for energy.
Step #5: Down payment: Do you have enough?
If you’ve already set your sights on a specific property, the next step is for you and your loved one to ascertain if you both have enough to make a down payment. In Malaysia, this payment is calculated as 10% of a property price and excludes other compulsory fees.
Step #6: Shop for home loans
It’s also advisable to set aside an additional 10% for stamp duty charges, and legal, valuation and SPA fees. To complete the process, apply for a house financing loan.
Step #7: Make an offer, and close deal
Accepting and acknowledging the Offer on Loan within fourteen days from the date of approval is important for releasing progress payment to the developer. This payment is per the Architect’s Certificate, which is issued upon completion during each stage of construction. Last but not least, take heed to settle all initial outstanding payments in anticipation of the keys to your new property being released. Ultimately, due diligence and financial security are the core elements for a first-time home buyer to consider when making a purchase decision. Use this guide to minimise delays during the entire process. Good luck!

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