OCBC launches ringgit-based mortgage facility for Aussie property

OCBC Bank (Malaysia) Bhd has launched a new mortgage loan facility for Malaysians who are looking to purchase residential properties in prime sections of Sydney and Melbourne in Australia.

Dubbed “OCBC Overseas Property Financing – Australia”, this facility follows from the success of a similar scheme for London properties launched six months ago.

Like the earlier one, customers will be able to take advantage of a ringgit-based loan, hence mitigating the effects of fluctuating foreign exchange (forex) risks, said OCBC Bank head of consumer financial services, Charles Sik.

“With the introduction of this second OCBC Overseas Property Financing – Australia scheme – the first of its kind for the country – customers will now be able to invest in Sydney and Melbourne properties with peace of mind, knowing their loan facility is fixed in ringgit, mitigating forex risks. Australia property prices are certainly on the upward trend and we think it’s a really good time now to capitalise on this,” he said in a statement today.

OCBC Bank currency economist Emmanuel Ng said forex rate fluctuations are key to determining the purchase of an overseas property and the ringgit is expected to remain supported against the Australian dollar on a structural basis.

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