How is the monthly installment calculated for a Malaysia home loan?

The calculator uses the standard amortizing loan formula: M = P [ i(1+i)^n ] / [ (1+i)^n - 1 ], where P is the loan amount, i is the monthly interest rate (annual rate divided by 12), and n is the total number of monthly installments (tenure in years multiplied by 12). This assumes a fixed effective rate for the full tenure.

What interest rate should I use — BLR or BR?

Malaysia home loans are typically priced off the Base Rate (BR), which replaced the older Base Lending Rate (BLR) system, expressed as BR plus or minus a spread. Enter the effective lending rate quoted in your bank's letter of offer, since this is the actual rate applied to your installment, not the BR or BLR alone.

Does this include MRTA, legal fees, or stamp duty?

No. This calculator computes the loan installment on the principal and interest rate you enter only. Mortgage Reducing Term Assurance (MRTA) premiums, legal fees, valuation fees, and stamp duty on the loan agreement are separate costs set by your bank and lawyer, and are not included here.

What is the margin of financing?

Margin of financing is the loan amount expressed as a percentage of the property price. Malaysian banks commonly finance up to 90% for a first residential property, though the exact margin depends on the bank, the property type, and the borrower's eligibility. Enter a property price to see this ratio as a reference figure.

Is the interest rate fixed for the full tenure?

Most Malaysia home loans use a floating rate that moves with the bank's BR, so your actual installment can change over the loan tenure. This calculator assumes the rate you enter stays constant, which gives a useful estimate but will not match an installment schedule exactly if the BR changes.

How does a longer tenure affect the loan?

A longer tenure lowers the monthly installment but increases the total interest paid over the life of the loan, since interest accrues for more months. Malaysia home loan tenures commonly go up to 35 years, subject to the borrower's age at loan maturity.

Malaysia Mortgage Calculator

Name: Malaysia Mortgage Calculator
Availability: InStock
Author: Nham Vu

Enter your loan amount, interest rate, and tenure to get your Malaysia home loan monthly installment, total interest, and a year-by-year amortization summary.

Loan Details

Loan Amount (RM)

Interest Rate (% per year)

Loan Tenure (years)

Property Price (RM) (optional, for margin of financing)

Enter your loan details to see the installment breakdown.

Monthly Installment

RM 0.00

Total Interest

RM 0.00

Total Repayment

RM 0.00

Loan Amount	—
Interest Rate	—
Loan Tenure	—
Year 1 Principal / Interest Split	—

Amortization Summary by Year

Year	Principal Paid	Interest Paid	Ending Balance

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Summary

Enter your loan amount, interest rate, and tenure to get your Malaysia home loan monthly installment, total interest, and a year-by-year amortization summary.

How it works

Enter the loan amount in ringgit.
Enter the annual interest rate from your bank offer.
Enter the loan tenure in years.
Optionally enter the property price to see the margin of financing.
The monthly installment, total interest, and amortization summary update instantly.

Use cases

Comparing monthly installments across BLR- or BR-based rate offers from different banks.
Checking how a shorter or longer tenure changes the monthly installment.
Estimating total interest paid over the full loan tenure before signing a letter of offer.
Checking the margin of financing against a property price before applying.
Planning a household budget around a fixed monthly installment.
Sanity-checking an installment figure quoted by a bank or loan officer.

Frequently Asked Questions

Last updated: 2026-07-23 · Reviewed by Nham Vu