Not only for Retirement, use EPF to Unlock Your Dream Home
When most people think of EPF (Employees Provident Fund), they often associate it solely with retirement. But did you know that your EPF savings can actually support you at various key moments in life — not just when you stop working?
Over time, as you contribute and build up your EPF account, you’re also unlocking access to a range of withdrawal options tailored for different needs
Thinking of buying your own home?
Here’s something many Malaysians may not fully realise — your EPF savings can be more than just retirement funds. Under the Home Ownership Withdrawal category, EPF allows you to tap into your savings to support various property-related needs.
Whether you're looking to purchase a house, build your dream home from scratch, To pay monthly housing instalments, reduce your existing mortgage balance, or own a home under the PR1MA housing scheme - there are specific EPF withdrawal options to help make that happen.
Understanding these avenues could bring you a step closer to owning your own place, without over-stretching your day-to-day finances.
As property prices are not entirely affordable nowadays, owning a property especially in the city can be a costly affair. One can opt to consider the EPF withdrawal for ‘Home Ownerships’ and make it a reality.
For individual withdrawal for a housing loan, you need to be 55 years and below and never made a housing withdrawal or have made housing withdrawal previously but have sold or disposed of the property.
The amount allowable for withdrawal is the difference between purchase cost and approved loan amount plus 10% of the purchase cost Or entire Savings in ‘Akaun Sejahtera’ (whichever is lower). If it is self financing, the purchase cost + additional 10% Or entire savings in ‘Akaun Sejahtera’
These withdrawals are open to categories of properties in the Residential House bungalow, terrace, semi-detached, apartment, condominium, studio apartment, service apartment, townhouse and Small Office Home Office (SOHO) from a developer in Malaysia.
The approved loan needs to be taken from a certified financial institutions under the Financial Services Act 2013 or Islamic Financing 2013; Central/State Government or any other government financing institutions; member's employer; Licensed Corporation/Cooperative bodies (approved by SKM); Insurance Companies licensed by Bank Negara; or other EPF recognised loan providers.
Already own a home? There’s still something in it for you. You can choose to ease your financial burden by using your EPF savings to help pay your monthly housing loan instalments. In fact, you’re allowed to withdraw the total housing loan balance or even your entire savings from Akaun Sejahtera, depending on your eligibility.
There are many other options, EPF offers more than just housing withdrawals.
There are various other options you can explore — including the Health Withdrawal for critical illnesses and even fertility treatments.
You can also access your savings for key life stages such as education and performing Hajj.
Want to know more? You can visit the official EPF website at www.kwsp.gov.my for further details Or if you’d prefer to speak to a PropNexian, feel free to PM us here anytime — we’re happy to assist!
