Financing Your Home, With More Certainty.
Most of our buyers finance through LPPSA or a panel bank. Check where you stand before a project launches, so there are fewer surprises later.
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LPPSA
Financing for civil servants: who qualifies, how it works when buying from a developer, documents and timeline.
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Bank loans
CIMB Bank and Maybank, and the SJKP guarantee route for contract staff and the self-employed.
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First-home incentives
What a first-time buyer may be entitled to, with the source and validity date.
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Eligibility calculator
An estimate of your financing, showing the rule that limits it.
Three routes to financing a new home
Most buyers of a new landed home in Selangor finance it in one of three ways. They differ in who can use them, how the amount is worked out, and who decides. This page compares them, helps you find your route and explains what to prepare before a launch.
Three terms first
The three terms in full: LPPSA, SJKP and DSR
- LPPSA: Lembaga Pembiayaan Perumahan Sektor Awam: the government board that finances homes for eligible public servants, repaid by salary deduction.
- SJKP: Syarikat Jaminan Kredit Perumahan: a company that guarantees home financing from participating banks, including for buyers without a fixed payslip.
- DSR: Debt service ratio: your monthly debt repayments as a share of your income. Every lender sets a ceiling.
LPPSA, bank loan and SJKP-guaranteed loan compared
| LPPSA | Bank loan | Bank loan with SJKP guarantee | |
|---|---|---|---|
| Who it suits | Confirmed permanent public servants with at least 1 year of service (and other groups LPPSA lists). Contract staff are not eligible. | Anyone the bank accepts, with a payslip or documented business income. | Malaysians aged 18 and over buying their first home to live in, with fixed or irregular income, including the self-employed. |
| Who decides | LPPSA | The bank | The participating bank; SJKP guarantees the financing |
| Rate | 4% a year on financing up to RM750,000; 4.5% on the balance above it (2026 announcement). | Set by the bank; usually floating, so it can change. | Set by the participating bank. |
| Maximum | Up to RM1,000,000 (2026 announcement; official opening date not yet announced, checked 2026-09-29), capped by LPPSA's income table. | Set by the bank from your income, the property value and its margin of finance. | SJKP scheme: up to RM500,000, including principal, MRTA/MRTT, LTHO, legal and valuation fees. SJKP-MADANI: up to RM360,000, including up to 100% of the house price. |
| Affordability rule | Instalment up to 60% of net income (first financing), total debt up to 80%. | The bank's own DSR ceiling, which varies by bank. | All the applicant's loan repayments no more than 65% of gross monthly income. |
| Tenure | Pension scheme: up to 420 months or age 90. EPF scheme: to the end of service or 420 months. | Set by the bank. | Up to 35 years or the financing period, whichever is earlier; two-generation loans allowed. |
| Repayment | Salary deduction through your Head of Department. | Monthly payment to the bank. | Monthly payment to the bank. |
| Credit history | Not a bankrupt or judgment debtor; no disciplinary action for dismissal. | Checked by the bank. | No CCRIS arrears over 2 months in the latest 12 months; no other negative credit record in 24 months. |
| Learn more | LPPSA guide | Bank loans page | Bank loans page |
Which route fits me?
Work down the questions. Stop at the first answer that fits you.
- Are you a confirmed, permanent public servant with at least 1 year of service? Yes: start with LPPSA. It is usually the first route to check. No: go to the next question.
- Are you on contract, self-employed, or paid irregularly? A bank loan is the route. If this is your first home, ask the bank about the SJKP guarantee.
- Do you have a regular payslip from a private employer? A bank loan. Compare the panel banks and ask for their DSR ceiling and margin in writing.
- Is the home price above what LPPSA or the bank will finance? Options include buying jointly (a spouse or parent/child; with LPPSA, a non-public-servant co-buyer can use a bank as second chargee for Type 1 and Type 3) or paying the difference yourself.
- Still unsure? Use the eligibility calculator for an estimate, then register your interest and ask for a check.
Example: one household, two routes
The example in full: one household, two routes (hypothetical figures, for illustration only)
Example
Hypothetical figures, for illustration only.
Puan Aina is a confirmed teacher; her husband Encik Faris runs a small business. They like a home priced at RM380,000.
Puan Aina's LPPSA estimate is RM300,000. At 4% over 30 years, that is about RM1,432 a month, deducted from her salary.
The gap is RM80,000. Buying jointly, Encik Faris could apply to a bank for his share, with the bank as second chargee after LPPSA approves. Because this would be their first home and his income is irregular, he can ask the bank whether the SJKP guarantee applies.
Their next step: run both estimates in the calculator, then ask for a check during Daftar Minat so any gap is known before the launch.
What to prepare
| Route | Prepare |
|---|---|
| LPPSA | Payslips for the latest 3 months (certified by your Head of Department unless they carry a QR code), 2 IC copies, your Head of Department's service-record letter, your confirmation-of-post letter, and a list of all monthly commitments. |
| Bank loan (salaried) | Recent payslips, EPF statement, bank statements, IC, and a list of all commitments. Your bank gives its own list. |
| Bank loan with SJKP (self-employed or irregular income) | Bank statements, business licence or registration, and income evidence such as a confirmation letter from a government officer or village head, as SJKP's document list describes. |
| Everyone | Your latest CCRIS report, and a realistic view of what you can pay each month. |
How pre-qualification works before a launch
RumahHQ builds landed homes only after qualified buyers have registered. A project launches only when registrations from qualified buyers reach at least 1.5 times the number of homes. Checking financing early is what makes that possible.
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Daftar Minat You register your interest. It is free and non-binding, and no unit is reserved.
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Eligibility check If you ask, we help you estimate your LPPSA or bank eligibility and list the documents to prepare.
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Qualified demand When qualified registrations reach at least 1.5 times the homes, the project can proceed to launch.
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Launch and SPA After the licence and sales permit are issued, you choose a unit and sign the sale and purchase agreement.
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Formal application You apply to LPPSA or a bank. They decide; our sales and LPPSA team helps you through to the letter of offer.
A pre-qualification check is an estimate, not an approval. Only LPPSA or the bank can approve financing.
Common mistakes
- Treating the maximum limit as your amount. The limit is a ceiling; your income, commitments and tenure set your figure.
- Taking a new car loan or personal financing just before applying. It reduces the room left for the home.
- Leaving it late in your career. For EPF-scheme public servants, fewer years of service mean a shorter tenure and a lower amount.
- Sending incomplete or expired documents, which delays or ends an application.
- Assuming a pre-qualification estimate is an approval.
Financing questions
Can I buy with LPPSA financing?
RumahHQ is registered on the LPPSA, CIMB Bank and Maybank panels. Financing decisions are made by LPPSA or the bank, not by us. When you register your interest, you can ask us to help check your eligibility before the project launches.
Does the eligibility calculator decide my approval?
No. The calculator gives an estimate only, based on what you enter. Approval is subject to a full assessment by LPPSA or the bank, which checks your documents, commitments and credit record. Use the result as a starting point for discussion, not a final answer.
I am a contract civil servant or self-employed. Are there financing options?
LPPSA's FAQ states that officers serving on contract, and officers not yet confirmed in their post, are not eligible for public-sector housing financing. A bank loan through our panel banks, including the SJKP guarantee route, may be suitable. Register your interest and choose to have your eligibility checked.
Does RumahHQ give financial advice?
No. We do not give legal, tax or financial advice. We help you prepare your application and connect you with LPPSA or our panel banks. For personal financial decisions, consult a qualified adviser.
What is LPPSA?
LPPSA is the Public Sector Home Financing Board (Lembaga Pembiayaan Perumahan Sektor Awam), the government body that provides home financing to eligible civil servants. Eligibility, financing limits and repayment periods are set by LPPSA itself. Our LPPSA page explains the process step by step.
I have had LPPSA financing before. Can I apply a second time?
According to LPPSA's FAQ, second financing can be considered if the first financing has been fully settled. Eligibility is subject to a monthly instalment of no more than 50% of your current basic salary, and only one purpose can be chosen: buying a home or renovation work. Check the latest conditions with LPPSA before you apply.
What is the difference between LPPSA financing and a bank loan?
LPPSA is only for eligible civil servants, and its conditions are set by LPPSA. A bank loan is open to anyone who meets the bank's credit assessment, including private-sector employees and the self-employed. Rates, tenures and the documents required differ between the two, so compare them before deciding.
What is SJKP?
SJKP is Syarikat Jaminan Kredit Perumahan Berhad. Its schemes give a government-backed guarantee to participating financial institutions to help first-home buyers get a loan, including people without a fixed income. Scheme conditions and limits are set by SJKP and can change, so check its official site.
What documents do I need for an eligibility check?
For LPPSA, a copy of your letter confirming you in your post is a mandatory document in a financing application. Other documents, such as proof of income and commitments, are set by LPPSA or the bank. During the eligibility check, we tell you the exact list for your financing route.
Why is eligibility checked before a project launches?
Many buyers find out too late, after choosing a home, that they cannot get financing. Checking early means you know where you stand before you decide, and we know how many buyers are genuinely ready. The check does not replace the decision of LPPSA or the bank.
How is the price paid after the SPA is signed?
For landed homes under a Schedule G SPA, the price is paid in stages as work progresses, such as the foundation, structure, walls, roof and finishes, on the developer's written notice. A small part of the price is held by the developer's lawyer as stakeholder until eight months and 24 months after vacant possession. If you use financing, LPPSA or the bank pays these stages on your behalf.
Where is the money I pay a developer kept?
A licensed housing developer must open a Housing Development Account (HDA account) for its project, and buyers' payments go into it. Section 7A of the Housing Development (Control and Licensing) Act 1966 bars the developer from withdrawing money from it except as the regulations allow. KPKT monitors these accounts and processes applications to withdraw from them.
Do I pay for an eligibility check?
No. The eligibility check you ask for when you register your interest is part of that free registration. It helps you understand your options, but the financing decision is still made by LPPSA or the bank. Any figures you see are estimates only.
Sources
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- LPPSA, Inisiatif Baharu LPPSA 2026: Penambahbaikan Had Kelayakan Pembiayaan Perumahan — read 2026-09-24
- LPPSA, Pekeliling Pembiayaan Perumahan LPPSA Bil.1/2026 — read 2026-09-24
- LPPSA, Garis Panduan Pembiayaan Perumahan LPPSA Bil.1/2026 — read 2026-09-24
- LPPSA MyFinancing, Syarat Kelayakan Pembiayaan (soalan lazim) — read 2026-09-24
- SJKP, Skim Jaminan Kredit Perumahan: maklumat skim — read 2026-09-24
- SJKP, Skim SJKP - MADANI — read 2026-09-24
- SJKP, Kelayakan permohonan — read 2026-09-24
- SJKP, laman utama (dokumen diperlukan dan institusi kewangan) — read 2026-09-24
Related guides
- Financing & LPPSA How to Calculate LPPSA Instalments: Formula & Examples Work out your LPPSA instalment and eligibility yourself: the reducing-balance formula, net income, the 60% and 80% caps, tenure by age and worked examples.
- Financing & LPPSA LPPSA Financing Limit & Interest Rate 2026 LPPSA is raising its home financing limit in 2026. How the 4% and 4.5% rates work, who really qualifies, sample instalments and what to do now.
- Financing & LPPSA How to Apply for an LPPSA Loan for a Developer Home An LPPSA application for a home under construction, step by step: conditions, Type 3 documents, the offer, lawyers, stage payments and instalments.
- Financing & LPPSA Why Home Loan Applications Are Rejected Seven common reasons home financing is rejected or approved for less than you need, the warning signs, and how to fix them before you apply again.
- Buying a First Home First Home Eligibility Checklist: 6 Steps Before You Buy A 6-step checklist before buying a first home: financing route, income and commitments, tenure, CCRIS record, down payment and documents, with a worked example.
- Buying a First Home How to Calculate a Home Loan: Monthly Instalment Formula How to calculate a home loan with the monthly instalment formula: loan amount, rate, tenure and margin of finance, with step-by-step examples and a PMT check.