A Malaysian-based bank is offering mortgages in Malaysian currency for Sydney and Melbourne properties, a report said.
“Like the earlier scheme [for London-based property], customers will be able to take advantage of the fact that this is also a ringgit-based loan, hence mitigating the effects of fluctuating foreign exchange risks,” OCBC Bank (Malaysia) head of consumer financial services, Charles Sik, told BERNAMA, as reported in the Malaysian-based The Star newspaper.
The report said the product, OCBC Overseas Property Financing-Australia, follows the launch six months earlier of a similar scheme for London properties.
“Australian property prices are certainly on an uptrend and we think it's really a good time now to capitalise on this," Mr Sik told BERNAMA.
The report said the scheme offers a margin of financing of up to 75 per cent and a loan tenure of up to 36 years for off-plan properties and 40 years for completed properties, or up to the time the borrower turns 70, whichever is earlier.