EPF Withdrawal for Home Purchase
(Excerpted from Employees Provident Fund Website)
This withdrawal allows you to utilize your savings from Account 2 to partially finance your purchase of a house individually OR jointly with your spouse or close family members namely parents or siblings. Buying of a house with another individual who has no kinship is allowed provided that the other individual is a buyer and borrower. This withdrawal allows you to buy a house from a developer or an individual or through a public auction.
FAQ Withdrawal to Purchase a House
What are the requirements for Withdrawal To Purchase A House?
Members must be:
- Malaysian citizens; OR
- Non-Malaysian citizens who have obtained Permanent Resident(PR) status; OR
- Malaysian Citizens who have made Leaving The Country Withdrawal before 1 August 1995 and have opted to re-contribute to the EPF; OR
- Non-Malaysian citizens who have became members before 1 August 1998;
What is the amount entitlement under Withdrawal To Purchase A House?
Members can withdraw their savings according to the following, whichever is lower;
- Individual Purchase – The difference between the house price and the loan amount plus an additional 10% of the house price; OR All the savings in the applicants’ Account 2 subject to maximum amount eligible for withdrawal (whichever is lower)
- Joint Purchase With Spouse, Family Member or Other Individuals
- For housing loan of 100% – 10% from the cost of building the house; OR All savings in Account 2 (whichever is lower)
- Cash purchase – house price with an additional 10% from the cost of building the house; OR All savings in Account 2 (whichever is lower)
How is the payment made?
The payment for withdrawal will be credited directly to the bank account with the following conditions:
- Members own a bank account with the EPF elected panel banks.
- Members’ bank accounts are still active, and
- Members’ bank accounts types are individual savings/current accounts OR Individual Joint Account for withdrawal amount of more than RM 100,000.00
How do I submit the applications?
Applications can be submitted at any EPF Offices nearby, either at the counters or by post