EPF Account 2 (Akaun Sejahtera) Withdrawal for Housing Loan Malaysia 2026
How to withdraw KWSP EPF Akaun Sejahtera (Account 2) and Akaun Fleksibel (Account 3) in Malaysia to pay your 10% house downpayment, legal fees, or reduce monthly installments.
Key 2026 Malaysian Regulatory Takeaways
- Under KWSP’s restructured 3-account system (75% Akaun Persaraan, 15% Akaun Sejahtera, 10% Akaun Fleksibel), members can withdraw from Akaun Sejahtera (Account 2) to purchase a house or reduce/redeem an existing housing loan.
- For a standard 90% home loan, you can withdraw the difference between the SPA price and the loan amount (10% downpayment) PLUS an additional 10% of the SPA price (up to your Akaun Sejahtera balance) to help cover legal fees and stamp duty.
- Because KWSP housing withdrawal is only disbursed AFTER you sign the Sale & Purchase Agreement (SPA) and obtain the bank’s Letter of Offer, buyers still need initial cash or Akaun Fleksibel (Account 3) funds to pay the 2%–3% earnest booking deposit.
Maximum Amount You Can Withdraw from KWSP Akaun Sejahtera (Account 2)
Kumpulan Wang Simpanan Pekerja (KWSP / EPF) allows Malaysian and permanent resident members under age 55 to withdraw savings from Akaun Sejahtera to finance their first or second residential property (provided the first property has been validly disposed of if applying for a second withdrawal).
The maximum withdrawal limit is calculated as: (SPA Property Price minus Housing Loan Amount) + 10% of SPA Property Price, or the entire balance available in Akaun Sejahtera, whichever is lower. For example, on a RM 500,000 property with a RM 450,000 loan (90%), you can withdraw up to RM 50,000 + RM 50,000 = RM 100,000 from Akaun Sejahtera.
Using EPF to Reduce Monthly Mortgage Installments (Ansuran Bulanan)
Beyond upfront purchase withdrawals, KWSP allows members to apply for the Housing Loan Monthly Installment Withdrawal (Pengeluaran Ansuran Bulanan Pinjaman Perumahan), where EPF credits a fixed monthly amount directly to your mortgage account or bank account for at least 6 months, or Capital Reduction Withdrawal once a year to pay down loan principal.
Frequently Asked Questions: EPF Account 2 (Akaun Sejahtera) Housing Guide
Does withdrawing EPF Account 2 reduce my DSR in the bank’s eyes?
Withdrawing EPF to pay a larger downpayment (e.g., borrowing 80% instead of 90%) reduces your loan principal and monthly installment, which directly lowers your DSR.
Can I use Akaun Fleksibel (Account 3) for the initial 3% booking fee?
Yes. Akaun Fleksibel (Account 3) can be withdrawn anytime via the KWSP i-Akaun app without needing an SPA or bank Letter of Offer, making it ideal for the initial booking deposit.