Joint loan is an application for housing financing from two or more individuals to purchase a common property.
Examples of joint loan:

Eligible conditions for joint loan application are:

Joint Loan 1 (PB 1) Each applicant must be a public sector employee where both use LPPSA financing; or

Joint Loan 2 (PB 2) At least one of the applicants is a public sector employee; For joint loan applicants who are not public sector employees, applicants can use the financing of a financial institution or agency that has its own housing financing scheme and agree to be a second mortgagee.

The illustrations are as below: –

The joint loan applicant must consist of:

i. Husband & wife
ii. Mother / Father & Children / Children (Children) Each applicant must sign the same Sale and Purchase Agreement (S&P)

The amount of financing that is eligible to be applied for is subject to the current eligibility of each applicant.

PB 1
i. For joint loan applications between public sector employees, all types of financing are allowed.

PB 2
i. For joint loan applications between public sector employee applicants and private employee applicants, the types of financing allowed are:
a. Type 1: Completed house or compartment of residential house; and
b. Type 3: A house or part of a residential house under construction.

Yes, provided that the financial institution/agency agrees to be the second charge holder and obtains consent from LPPSA first

The eligibility criteria are subject to the guidelines of the financing institution applied for.

Applicants need to submit an application to LPPSA first. If there is an application approved with different money, the applicant can submit a second mortgage application to the financial institution concerned.

Applicants can apply for joint loan through online application. Applicants can also refer to the LPPSA guidelines. Applications must be submitted to LPPSA first.

i. Marriage / marriage certificate (if spouse / spouse);
ii. Child birth certificate (if the parent / child couple).

No. A joint loan application from LPPSA must be approved first before submitting an application with any financial institution / agency that has its own housing financing facility.

No. Applicants are required to use the same lawyer for financing documentation matters.

January 1, 2018