Public Sector Housing Financing is a facility provided to eligible public sector employees to help them realise their dream of owning their own home.
This facility is managed by the Public Sector Home Financing Board (LPPSA), a statutory body under the Ministry of Finance Malaysia, which officially began operations on 1 January 2016, taking over the role of the former Housing Loan Division (BPP).
Advantages of LPPSA Public Sector Housing Financing
Fixed Interest Rate
- LPPSA offers a fixed interest rate of 4% per annum on the monthly reducing balance.
Types of Financing (7 categories)
- Purchase of completed residential property
- Construction of a house on own land
- Purchase of residential property under construction
- Purchase of land for the purpose of building a residential property
- Settlement of an existing housing loan from banks/financial institutions (refinancing)
- Construction of a house on land already financed by LPPSA
- Renovation of a residential property where the purchase/construction was financed/settled through LPPSA housing financing
Financing Tenure
- Up to 35 years, or not exceeding 90 years of age, whichever comes first.