Housing loans (mortgages) are among the various solutions in Indonesia for financing home purchases. Banking services have become an option as housing prices continue to soar while the funds available to buy a new house have not been fully acquired.
Housing is indeed a primary need to be met. However, choosing a suitable house to live in is not an easy matter. In addition to having to make sure that your prospective house meets a certain standard, you also need to make sure that the price of the house being offered is in accordance with your income range.
For most people, buying a house feels like a burden as the amount of money they need to provide is usually substantially large. For this reason, many people decide to apply for a housing loan. This way, you simply have to prepare a down payment (DP) for the purchase of a house, and then make a monthly mortgage payment according to the stated agreement.
What is a housing loan?
Housing credit or better known as KPR (House Ownership Credit) is a credit facility given from banks to customers in order to buy or repair houses. In Indonesia, there are currently two types of mortgages, namely subsidized mortgages (for the lower middle income community) and non-subsidized mortgages (for the general public).
If you currently have plans to buy a house and are further interested in applying for a housing loan, here are the major steps you need to take:
Also Read: J Trust Bank Wins Award at the 12th IICD Corporate Governance Award Ceremony
Application Terms for Housing Loans (KPR)
1. Indonesian Citizen (WNI) or Foreign Citizen (WNA in accordance with the policies and rules of asset ownership from the Government of the Republic of Indonesia) and domiciled within J Trust Bank Indonesia’s area of operation.
2. Be at least 21 years old or married when the housing loan is applied for.
3. The maximum age limit upon the credit expiring is:
- Employee: aged 55 or of retirement age
- Entrepreneur or professional: aged 60 years old
4. Have a job and income, with the following conditions applied:
- Employee: employee status in the company where he works is a permanent employee. In general, the minimum length of work required is about 2 years.
- Self-employed or professional: have experience in the field occupied for at least 3 years.
Documents that Need to be Prepared
If you feel that you can meet the requirements of applying for a housing loan, then the next step is to ensure that your financial status is sufficient. The Bank will conduct a survey so as to avoid dealing with instances of bad credit from customers.
To make it easier for the bank to carry out the analysis process, there are several documents that you need to prepare when applying for a housing loan, namely:
1. Copy of KTP for both the husband and wife (if married)
2. Copy of Passport & KITAS (for foreigners)
3. Copy of marriage, divorce or death certificate (if the applicant is married or divorced)
4. Copy of Family Card
5. Copy of bank statement or savings account for the last 3 months
6. Copy of Personal TIN
7. Copy of SHM/SHGB, IMB, and PBB collateral
8. Certificate of income or salary slip and certificate of position at the company where the applicant works if the applicant is an employee.
9. Financial statements or a copy of the income statement if the applicant is an entrepreneur or professional
10. Copy of company establishment deed and business license if the applicant is an entrepreneur.
11. Copy of professional practice license if the applicant is a professional such as a doctor, lawyer, and others.
Steps for Applying for Housing Loans (KPR)
1. Select the house you want to buy
Firstly, you need to determine the house you want to buy. You need to know that not all homes can be purchased through a housing loan. So, you need to know which homes within the area can be purchased on credit.
2. Ask for details regarding the cost of the house
After determining the house you want to buy, the next step is to find out in greater detail the costs that must be paid. Ask the bank, how much the down payment is, and how much you will need to spend on the costs for paying the installments every month.
3. Make a token payment
After knowing in greater detail the cost of your desired house, the next step is to make a signed payment; every company has its own rules regarding this, so make sure you understand these regulations first before making a payment.
Some housing development companies usually consider this as part of the down payment. If so, then you only need to pay the rest.
4. Apply for the Housing Loan at the Bank
The housing developer will usually help with the mortgage application process in regards to the chosen bank. But if not, then you will have to submit it yourself. Prepare all the required documents needed for the housing loan application and wait for an approval from the bank.
KPR Services at J Trust Bank
J Trust Bank offers mortgage services where the funds provided can be used to finance the purchase of land or buildings, such as houses, apartments, shops, housing construction projects, or home renovations. Here are the details of the KPR products being offered at the J Trust Bank:
1. Primary Mortgage
This is a mortgage service where the house that is pledged as collateral will be brand new and obtained from a developer who has collaborated with J Trust Bank or an individual.
2. Secondary Mortgage
This is a mortgage service that you can use for the following:
- The purchase of houses, both used and new, obtained not from the developers who have collaborated with the J Trust Bank.
- Building or renovating a house
In addition to housing funding for house purchases, building or renovating houses in this secondary mortgage service, J Trust also offers other services, namely:
- KPR Take Over, namely funding for credit transfer from other banks to J Trust Bank
- KPR Top Up, which is to add credit facilities at J Trust Bank and have been running for at least 12 months
3. Multipurpose Mortgage
This is a credit service where the funds provided can be used to finance requirements by pledging land and/or buildings that are already owned in the name of a person/spouse.
Also Read: J Trust Bank Receives ICCA Award Rank I for the Best Informative Website of 2021
A house can be a valuable asset because its value will continue to increase over time. To receive further information about the mortgaging services offered by J Trust bank, you can contact us at number 15-006-15 or visit the nearest J Trust branch office in your city. We are always happy to assist you.
