When applying for housing loans, it is a common requirement that the borrower must have a fixed income as the lender will need to know your income stability to ensure you are capable of repaying the loan.

However don’t fret, those without proof of a fixed income can apply for this housing scheme. 

When the budget 2022 was presented by Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz, he announced an allocation of RM2 billion for the Housing Credit Guarantee Scheme(HCGC) to encourage homeownership.

This Housing Credit Guarantee Scheme(HCGC) is most suitable for those such as freelancers, small business owners, and even farmers with a minimum monthly income of RM1,000, as it can be quite challenging for them when applying for a housing loan. 

HCGC also known as Syarikat Jaminan Kredit Perumahan Berhad (SJKP) is an establishment entirely owned by the Minister Of Finance to ensure financial aids are provided by banks and financial institutions involved. 

Who is eligible to apply?

1. Malaysian citizens aged 18 and above



2. Those with no fixed income with a minimum monthly gross earning of RM1,000(freelancers, farmers, small business owners)



3. First home buyers of low, medium or affordable cost residential



4. Residentials that are newly completed, under construction, sub-sale or auctioned are accepted. 



5. Those residing within a 20km radius of the bank where the application is made.



6. Total repayment requires less than 65% of gross income.



7. Applicants’ CCRIS must have a balance of less than two months for the last 12 months to ensure the total repayment rate.



8. Must not have a poor record within the last 24 months.

How do I apply?

1. Identify the desired purchase home along with the relevant documentation such as a draft of the Sales and Purchase Agreement(SPA) and the booking receipt.



2. An authorised income confirmation letter by a government officer(Category A), Chairman of the Village Development and Security Committee(JKKK) and any authorised official. 



3. Providing supporting documents such as account statements, business licence and any relevant documents is important to verify your source of income.



4. Make sure you have all the important documents and bring them to the nearest bank. Do keep in mind that you must be living within 20km of the applying bank.

Where should I go?

Here’s a list of the participating banks:

• Bank Simpanan Nasional



• HongLeong Bank



• HongLeong Islamic Bank



• Alliance Bank



• Alliance Islamic Bank



• Malayan Bank



• Ambank



• AmIslamic Bank

For more information on the Housing Credit Guarantee Scheme(HCGC), you can visit www.sjkp.com.my.