How Much Can You Borrow to Build Your House?

Don't fall in love with a house that is beyond your eligibility. Check first — in under a minute — and we show you the amount, the monthly instalment, the tenure, and which rule is limiting you, so you know exactly what can change.

LPPSA rate: 4.00%; fixed
LPPSA financing limit: RM1,000,000
Bank rate assumed: 4.30%; floating

Basic salary (RM per month) Fixed allowances (RM per month) Fixed allowances only — not overtime, bonuses or claim-based allowances. Current age Retirement age Financing ends at this age, up to a maximum of 35 years. Total existing monthly commitments (RM) LPPSA counts the deductions on your payslip. Enter at least those; adding other instalments gives a more cautious figure.

Which LPPSA facility is this?

Instalment capped at 60% of net income for a first facility, 50% for a second.

Assumptions used

Fixed profit rate of 4.00% per year on a reducing balance, on financing up to RM750,000; 4.50% on any balance above that.
Instalment capped at 60% of net income (first facility).
Total debt servicing not exceeding 80% of net income.
Tenure of 25 years — age 35 to retirement at 60, maximum 35 years.
Maximum financing limit of RM1,000,000, as announced by LPPSA in 2026 (applications expected to open in Q4 2026).

Rates effective 2026-09-20 (version 2026.09c). The final decision rests entirely with LPPSA, not with RumahHQ.

Eligible

Estimated financing amount

RM375,000

Rounded DOWN to the nearest RM1,000. We deliberately do not round up.

Monthly instalment: RM1,980
Tenure: 25 years

Your binding constraint

Instalment cap on net income

Your eligibility is capped by the share of net income that can go to an instalment. Raising fixed income or clearing a commitment lifts this figure.

Estimate Build Cost

The rules we apply

Every figure below is effective 2026-09-20. If one of them changes, this tool changes the same day.

LPPSA — public sector

Profit rate: 4.00% fixed
Instalment cap — first facility: 60% of net income
Instalment cap — second facility: 50% of net income
Total debt servicing ceiling: 80% of net income
Minimum net salary retained: 20%
Maximum tenure: 35 years, to retirement age
Financing limit: RM1,000,000

The RM1,000,000 limit follows LPPSA's 2026 announcement (applications expected to open in Q4 2026): 4.00% up to RM750,000, and 4.50% on the balance above it. This tool calculates both portions.

Bank loan — private sector

Rate assumed: 4.30% floating
Net income — salaried: 82% of gross
Net income — self-employed: 90% of gross
DSR — net below RM5,000: 60%
DSR — net RM5,000 and above: 70%
Margin of finance: 90% / 80%
Maximum age at maturity: 70 years

Bank rates are floating and campaign-dependent, which makes them the fastest-ageing thing on this site. They are shown with a date, not as a promise.

Cover of the RumahHQ guide Panduan Mudah: Pembiayaan LPPSA Untuk Penjawat Awam

Free guide, in Malay

Panduan Mudah: LPPSA Financing for Civil Servants

Our team's 36-page guide: the seven types of LPPSA financing, who qualifies, the documents, takaful cover and legal fees, in plain Malay.

Download the guide (PDF, 5.3 MB)

Written in November 2025, the book gives the old RM750,000 limit. LPPSA has since announced RM1,000,000.

We are a registered panel contractor

Golden Sharp Innovation (IP0580950-X) is a registered panel contractor with the institutions above. Panel status means our credentials as a contractor have been assessed, and our progress-claim documents follow the format these institutions expect — it is not a guarantee that your financing will be approved, and not an endorsement of our services by them. Approval and terms are determined entirely by LPPSA or the bank concerned. Logos and trademarks are the property of their respective owners.

If your eligibility falls short

This happens to most applicants on the first pass, and it is almost always fixable. Five things that genuinely move the number, in order of effect:

Clear one small commitment. Every RM100 of monthly instalment removed adds roughly RM20,000 of eligibility over 30 years.
Apply jointly with your spouse. Two incomes are assessed together, and this is usually the largest single jump.
Extend the tenure if your age allows it. A lower instalment supports a higher principal.
Choose a smaller design or the Silver package. Dropping 200 sq ft is enough in many cases.
Use EPF Account 2 to cover the gap, not to fund the whole build.

We can help you check all of this at no charge, including the document list. Contact us.

Frequently asked

Is this an approval decision?

No. It is an estimate based on publicly reported rules. The actual decision rests entirely with LPPSA or the bank, who will review your CCRIS and CTOS records, employment stability and documents. We do not make that decision and cannot promise it.

Why is my figure rounded down?

Because a tool that rounds up creates a shortfall you only notice at the end, when it is too late to do much about it. We round down to the nearest RM1,000 so the figure you plan against is at least achievable.

What does “Eligible With Conditions” mean?

It means your figure sits on the boundary of one of the rules — usually the net-salary floor after all deductions, or a target cost slightly above your eligibility. It is not a rejection. Many conditional cases are approved after one small commitment is settled.

Which allowances does LPPSA count?

Basic salary and fixed allowances only. Overtime, bonuses, temporary duty allowances and side income are excluded, because they are not guaranteed over the life of the facility. This is the main reason people's own estimates come out higher than their actual eligibility.

Can I apply jointly with my spouse?

Yes, and it is usually the most effective way to raise your eligibility. This tool calculates a single applicant; for a joint application, contact us and we will work out both incomes. See also LPPSA or a bank.

What is the difference between a 90% and an 80% margin?

The margin is the share of the property value a bank is willing to finance; the remainder is your contribution. When building on land you already own, the value of that land often counts towards your contribution — so the actual cash deposit can be far smaller than the figure suggests.