Calculator

Malaysia Home Loan Calculator

Enter your loan below — monthly installment, total interest, and a year-by-year amortization schedule. Simulate lump-sum or recurring extra payments to see how much you save.

Your loan

%
Typically 10% — up to 90% financing for 1st/2nd home in Malaysia.

Pay extra to finish earlier

— optional, skip if not needed

A one-off lump sum at a chosen month. Your monthly installment stays the same — you finish earlier. Leave the amount blank to skip.

Your result

Monthly installment

RM2,148.37
Total interest
RM 323,412.78
Total payable
RM 773,412.78
Loan amount
RM 450,000.00
Annual rate
4.00%

Year-by-year

How each year of installments splits between interest and principal. Click a year to see month-by-month detail.

InterestPrincipalAnnual totals
Show full schedule
Year / MonthInterestPrincipalBalance
RM 17,855.76RM 7,924.66RM 442,075.34
RM 17,532.90RM 8,247.53RM 433,827.81
RM 17,196.88RM 8,583.54RM 425,244.27
RM 16,847.18RM 8,933.25RM 416,311.01
RM 16,483.22RM 9,297.21RM 407,013.81
RM 16,104.44RM 9,675.99RM 397,337.82
RM 15,710.22RM 10,070.20RM 387,267.62
RM 15,299.95RM 10,480.48RM 376,787.14
RM 14,872.96RM 10,907.47RM 365,879.67
RM 14,428.57RM 11,351.86RM 354,527.82
RM 13,966.08RM 11,814.35RM 342,713.47
RM 13,484.74RM 12,295.68RM 330,417.79
RM 12,983.80RM 12,796.63RM 317,621.16
RM 12,462.44RM 13,317.98RM 304,303.18
RM 11,919.85RM 13,860.58RM 290,442.60
RM 11,355.15RM 14,425.28RM 276,017.32
RM 10,767.44RM 15,012.99RM 261,004.33
RM 10,155.79RM 15,624.64RM 245,379.69
RM 9,519.22RM 16,261.21RM 229,118.48
RM 8,856.71RM 16,923.72RM 212,194.76
RM 8,167.21RM 17,613.22RM 194,581.55
RM 7,449.62RM 18,330.81RM 176,250.74
RM 6,702.79RM 19,077.63RM 157,173.11
RM 5,925.54RM 19,854.88RM 137,318.23
RM 5,116.62RM 20,663.80RM 116,654.43
RM 4,274.75RM 21,505.68RM 95,148.75
RM 3,398.57RM 22,381.85RM 72,766.90
RM 2,486.70RM 23,293.72RM 49,473.18
RM 1,537.68RM 24,242.74RM 25,230.43
RM 549.99RM 25,230.43RM 0.00

How it works

Malaysian home loans use the reducing-balance method: each month, interest is charged on what you still owe — not on the original loan amount. Your installment stays fixed for the full tenure, but the split shifts over time: early months are interest-heavy, later months are principal-heavy.

Banks quote the rate as SBR + spread. SBR (Standardised Base Rate) moves with Bank Negara's Overnight Policy Rate; the spread is fixed for the life of your loan.

Why prepayment is so effective

Because interest is calculated on the reducing balance, any extra ringgit you put toward principal compounds in savings for the rest of the loan. A small recurring extra (RM 200–500/mo) on a 30-year mortgage typically shortens the tenure by years and saves tens of thousands in interest. Check whether your account is full-flexi (free, withdrawable) or semi-flexi (small fee per prepayment) before committing.

Questions, answered

How is my monthly installment calculated?

Malaysia home loans use the reducing-balance method. Each month, interest is charged on your outstanding balance, not the original loan amount. The installment is fixed for the whole tenure using the standard PMT formula: M = P · r · (1+r)^n / ((1+r)^n − 1), where P is the loan, r is the monthly rate (annual ÷ 12), and n is the number of months.

What is SBR and how does it affect my rate?

SBR (Standardised Base Rate) replaced BLR in August 2022. Banks quote home-loan rates as SBR + a spread (e.g., SBR 3.00% + 0.45% = 3.45% effective). SBR moves only when Bank Negara changes the Overnight Policy Rate, so it's more transparent than the old BLR system. Enter the effective rate from your offer letter into this calculator.

How much can I borrow?

Margin of Finance (MOF) caps how much you can borrow against the property price. For most buyers, MOF is up to 90% for your 1st and 2nd home, dropping to 70% for the 3rd and subsequent properties. The remainder is your down payment. Your debt-service ratio (DSR) and credit score also matter — banks typically want DSR under 60–70%.

Will paying extra each month really save me money?

Yes — significantly. Because interest is charged on the reducing balance, every extra ringgit of principal saves you compound interest for the rest of the loan. On a 30-year RM 500k loan at 4%, an extra RM 500/month can shorten the tenure by 6+ years and save over RM 100k in interest. The recurring-extra tab models this. Note: full-flexi accounts let you withdraw the extra, semi-flexi often charges a small fee per prepayment.

What's the maximum tenure?

Most Malaysian banks cap home-loan tenure at 35 years or until the borrower reaches age 70, whichever comes first. So a 40-year-old can typically take up to a 30-year loan. Longer tenure means lower installment but more total interest.

Does this work for Islamic financing?

Yes. Islamic home financing (Murabahah, Musyarakah Mutanaqisah, etc.) uses a profit rate instead of an interest rate, but the math at the customer's perspective is the same reducing-balance amortization. Enter the effective profit rate as the rate input and the results map directly.