Best Mortgage Refinance Options in Malaysia (2025)
Refinancing your mortgage can be a smart financial move to lower monthly payments, secure better interest rates, or access extra funds. In 2025, several banks in Malaysia offer competitive mortgage refinance options. Here are the top choices:
1. Bank of China (BOC) Home Loan Refinance
✅ Interest Rate: Starting from 3.85% p.a.
✅ Features:
- Flexible repayment terms that can be adjusted based on your financial needs.
- Withdrawal facility, allowing you to access any extra payments made.
- Ideal for borrowers looking to reduce interest rates or shorten loan tenure.
🔗 Official Website: BOC Home Loan
2. Standard Chartered MortgageOne™ Refinance
✅ Interest Rate: Starting from 3.90% p.a.
✅ Features:
- Account integration: Combines deposit and loan accounts, where savings help offset the loan balance and reduce interest costs.
- No lock-in period, meaning you can repay early without penalties.
- Best for borrowers needing financial flexibility or looking to save on interest payments.
🔗 Official Website: Standard Chartered MortgageOne™
3. Maybank MaxiHome Loan Refinance
✅ Features:
- Refinancing up to 90% of the property’s current market value.
- Flexible repayment options tailored to your financial situation.
- Ideal for those looking to access equity from their home or reduce interest rates.
🔗 Official Website: Maybank MaxiHome Loan
4. CIMB Zero Moving Cost Home Financing
✅ Features:
- Zero upfront costs, reducing the financial burden when refinancing.
- More attractive interest rates compared to standard mortgage packages.
- Best for homeowners who want to refinance without paying large initial fees.
🔗 Official Website: CIMB Zero Moving Cost
5. Alliance Bank Alliance ONE Account
✅ Features:
- Consolidates multiple loans (home loan, car loan, personal loan) into a single account, reducing monthly repayments.
- Improves cash flow flexibility by freeing up funds for other expenses.
- Best for borrowers with multiple loans looking to streamline debt payments.
🔗 Official Website: Alliance ONE Account
Things to Consider Before Refinancing
📌 1. Compare Interest Rates
Even a small difference in rates (0.01%) can lead to thousands of Ringgit in savings over a 30-year loan. Use these tools to compare options:
📌 2. Lock-In Period & Early Settlement Fees
- Some banks impose a lock-in period (typically 3-5 years), with early repayment penalties of 2-3%.
- If flexibility is important, consider no lock-in period options like Standard Chartered MortgageOne™.
📌 3. Refinancing Costs
- Legal fees, valuation fees, and processing fees may apply.
- Zero-cost refinancing options (like CIMB Zero Moving Cost) can help reduce initial expenses.
📌 4. Loan Tenure Strategy
- Extending tenure lowers monthly payments but increases total interest paid.
- Shortening tenure increases monthly payments but reduces overall interest.
📌 5. Improve Your Credit Score
- A higher credit score (CTOS/CCRIS) helps secure better interest rates.
- Check and improve your credit standing before applying for refinancing.
Conclusion
In 2025, Malaysia offers several strong mortgage refinancing options. The best choice depends on your needs:
✅ Lower interest rates → BOC or CIMB
✅ More financial flexibility → Standard Chartered MortgageOne™ or Alliance ONE Account
✅ Lower initial costs → CIMB Zero Moving Cost
✅ Consolidating loans to reduce monthly payments → Alliance ONE Account
