Industrial property loan calculator.
Calculate your property loan installments, total interest payable, and affordability for factories, warehouses, and commercial properties in Malaysia.
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Disclaimer: This calculator provides estimates only. Actual fees may vary. Please consult with your lawyer and bank for accurate figures.
How to Use the Mortgage Calculator for Industrial Properties
Our mortgage calculator helps you estimate the monthly installments for factory, warehouse, and commercial property loans in Malaysia. Simply enter the property price, down payment percentage, interest rate, and loan tenure to get instant results.
Industrial Property Financing in Malaysia
Banks in Malaysia typically offer commercial property loans with interest rates ranging from 4.5% to 6.5% per annum. The loan tenure can extend up to 30-35 years, with down payment requirements usually starting at 10-20% of the property value. Use this calculator to plan your factory or warehouse purchase effectively.
FAQ
Can I use this as a shoplot or commercial property loan calculator?
Yes. Shoplots, offices, factories and warehouses are all financed as commercial property loans in Malaysia and the monthly instalment is worked out the same way. Enter the price, your down payment, the bank's interest rate and the tenure to see the instalment, total interest and total repayment.
How much deposit do I need to buy a factory in Malaysia?
With banks commonly financing 80 to 90% of the price, your own money is a 10 to 20% down payment plus the purchase costs. For a RM3 million factory: a RM300,000 to RM600,000 down payment, RM104,000 stamp duty on the transfer, 0.5% stamp duty on the loan (RM12,000 to RM13,500 on a RM2.4 to RM2.7 million loan) and legal fees for the sale and purchase agreement of up to RM31,250 under the Solicitors' Remuneration Order 2023 plus 8% service tax, with the loan agreement's legal fees on top. The legal fees and stamp duty calculator works these out for any price.
What is the loan margin for a factory in Malaysia, and how much can I borrow?
Banks usually finance about 80 to 90% of the property value for commercial property, so plan a 10 to 20% down payment. The final margin depends on your income or business track record, the property and the bank.
What interest rate should I enter for a commercial property loan?
Use the rate your bank quotes you. Without a quote, banks' published illustrations for commercial and industrial property were about 4.25% to 4.44% a year when checked on 7 October 2026, and the average lending rate on all commercial bank loans was 4.55% in July 2026 (BNM). Try a rate one point higher as well to see how sensitive the instalment is.
Is a commercial property loan priced like a housing loan?
Not for a company. The Standardised Base Rate (2.75% at every bank in October 2026) applies only to loans to individuals; a loan to a Sdn Bhd is priced off the bank's Base Rate, BLR or cost of funds plus a spread agreed case by case. BNM's 70% loan-to-value cap is for a third housing loan, not commercial property.
How long can a commercial property loan tenure be?
Published maximum tenures for commercial and industrial property run from 20 to 35 years depending on the bank and product, usually ending by the time the borrower turns 70. A longer tenure lowers the instalment but raises the total interest.
What other costs are there besides the monthly instalment?
Stamp duty on the transfer (MOT): 1% on the first RM100,000, 2% on the next RM400,000, 3% on the next RM500,000 and 4% above RM1 million. Stamp duty on the loan agreement is 0.5% of the loan. Legal fees for the sale and the loan follow the Solicitors' Remuneration Order 2023. The legal fees and stamp duty calculator works these out.
How is the monthly instalment calculated?
With the standard amortisation formula: instalment = P x r x (1 + r)^n / ((1 + r)^n - 1), where P is the loan amount, r is the annual rate divided by 12 and n is the number of monthly payments.
How a commercial property loan in Malaysia differs from a housing loan
This calculator works for any commercial property loan in Malaysia: factories, warehouses, industrial land, shoplots and offices are all financed the same way, so the instalment formula is the same. What changes from a housing loan is how the bank prices and limits the loan.
- Pricing: the Standardised Base Rate (SBR) applies only to loans to individuals. A loan to a Sdn Bhd is priced off the bank's Base Rate (BR), BLR or cost of funds, plus a spread agreed case by case.
- Margin of finance: banks publish maximums of 85% to 90% of value for commercial and industrial property (some include 5% to 10% for insurance and fees). BNM's 70% loan-to-value cap is for a third housing loan, not for commercial property.
- Tenure: published maximums run from 20 to 35 years depending on the bank and product, usually ending by the borrower's age 70.
- Working capital: some SME packages lend up to 140% to 150% of the property value when working capital is bundled in (OCBC, CIMB, Hong Leong).
Commercial property loan rates in Malaysia (October 2026)
| Overnight Policy Rate (OPR) | 2.75% |
|---|---|
| Base Rate (BR) at 10 major banks | 2.75% to 3.75% |
| BLR / BFR at the same banks | 6.40% to 6.64% |
| Standardised Base Rate (individuals only) | 2.75% at every bank |
| Bank illustrations for commercial and industrial property | About 4.25% to 4.44% |
| Average lending rate, all commercial bank loans (July 2026, BNM) | 4.55% |
Worked example: RM3 million factory with an 80% loan
| Interest rate | Monthly instalment | Total interest over 25 years |
|---|---|---|
| 4.25% | RM13,002 | RM1,500,514 |
| 4.44% | RM13,258 | RM1,577,513 |
| 4.55% | RM13,408 | RM1,622,455 |
| 5.55% | RM14,810 | RM2,042,955 |
Calculated with the same reducing-balance formula as the calculator above. Your bank's rate depends on your financials, the property and the loan size.
Costs to budget besides the instalment
- Stamp duty on the transfer (MOT): 1% on the first RM100,000, 2% on the next RM400,000, 3% on the next RM500,000 and 4% above RM1 million.
- Stamp duty on the loan agreement: 0.5% of the loan amount.
- Legal fees for the sale and purchase agreement and for the loan agreement follow the Solicitors' Remuneration Order 2023 (1.25% on the first RM500,000, then 1%), plus 8% service tax.
- Your down payment: the price less the bank's margin of finance.
Related tools and guides
Also try our Legal Fees & Stamp Duty Calculator →
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