OCBC offers loan for London homes

OCBC Bank (Malaysia) Bhd is offering its customers a new mortgage loan facility, to finance the purchase of residential properties in prime sections of central London, United Kingdom.

Head of consumer financial services OCBC Bank, Charles Sik said with the introduction of the new scheme, customers can now invest in London properties with peace of mind, knowing that their loan facility is fixed in the ringgit, mitigating forex risks.

"Our goal for financing products is to offer as many bespoke loans as possible to our customers. London property prices are certainly on an uptrend and we think it’s a really good time now to capitalise on this," he said in a statement today.

According to OCBC Bank currency economist Emmanuel Ng, foreign exchange rate fluctuations are key to determining the purchase of an overseas property and the ringgit is expected to remain supported against the British Pound Sterling (GBP)on a structural basis.

"The ringgit sits comfortably within the Asian growth sphere and is also underpinned by net positive foreign capital inflows into the region, as well as a favourable balance of payments environment," he said.

The OCBC Overseas Property Financing facility offers a margin of financing of up to 75 per cent and a loan tenure of up to 30 years or up to the time a person turns 65, whichever is earlier.

By Bernama