Housing Loan Singapore

SIBOR or SOR?

SIBOR is generally more stable while SWAP tend to fluctuate more. However 3-month SWAP has recently stayed consistently lower than 3-month SIBOR for an extended period of time. SOR is also very reactive to currency exchange rates.

Property

Property Cooling Measures

Effective 6 July 2018

1) ABSD for citizens buying first residential property at 0%

2) ABSD for citizens buying second residential property at 12%

3) ABSD for citizens buying third and subsequent residential property at 15%

4) ABSD for permanent residents buying first residential property at 5%

5) ABSD for permanent residents buying second and subsequent residential property at 15%

6) ABSD for foreginers buying any residential property at 20%

7) ABSD for entities buying any residential property at 25%

8) Loan to value capped at 75% or 55% for home loans from the bank if more than 30 years or extends past the age of 65.

9) Home equity loan LTV capped at 75% for borrowers without existing housing loan when funds used to buy property.

10) Home equity loan LTV capped at 45% for borrowers with existing housing loan when funds used to buy property.

Effective 11 March 2017

1) Seller stamp duties (SSD) minimum holding period reduced to 3 years

2) SSD reduced by 4% on each tier

3) TDSR will not apply on cash out equity loans with LTV of 50% and below

4) Additional Conveyance Duties (ACD) for Property Holding Equity (PHE) introduced

Effective 10 December 2013

1) Mortgage servicing ratio (MSR) for EC purchases reduced to 30% of gross monthly income

2) Executive condominium (EC) cancellation fee now at 5%

3) Resale levy on second time applicants

Effective 27 August 2013

1) Permanent resident needs to wait 3 years from date of obtaining PR to buy resale HDB flats

2) Maximum loan tenor for HDB housing loans reduced to 25 years

3) Mortgage servicing ratio (MSR) for HDB purchases reduced to 30% of gross monthly income

4) Maximum tenor for bank loans to purchase HDB units reduced to 30 years

5) Bank loans with tenor between 25 years to 30 years will now have max LTV 0f 60%

Effective 29 June 2013

Total debt servicing ratio (TDSR) of borrowers should not exceed 60% of gross monthly income

Effective 12 January 2013

1) All residential property loans will now only allow a maximum loan tenor of 35 years.

2) If you take up a loan of more than 30 years or extends past the age of 65, you can either

  • borrow up to 50% of property value if you do not have an existing housing loan
  • borrow up to 30% of property value if you have an existing housing loan

3) Non-individual borrowers will now have a cap of 20% LTV

Effective 5 October 2012

1) All residential property loans will now only allow a maximum loan tenor of 35 years.

2) If you take up a loan of more than 30 years or extends past the age of 65, you can either

  • borrow up to 60% of property value if you do not have an existing housing loan
  • borrow up to 40% of property value if you have an existing housing loan

3) The same rulings will be applied to refinancing residential properties

4) Non-individual borrowers will now have a cap of 40% LTV

Effective 8 December 2011

1) Additional buyers stamp duty (ABSD) for foreigners and entities at 10%

2) ABSD for PRs buying second and subsequent property at 3%

3) ABSD for Singapore cotizens buying third and subsequent property at 3%

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What We Do For You

We Gather And Provide You Information On The Best Housing Loans In Singapore So That You Can Make A Better Decision Based On What Is Available In The Market

Which bank do you recommend for home loans in Singapore?

We don't recommend banks. We recommend you the best home loan that suits your profile and financial position.

SIBOR 14 Jun 2018

1 Month 1.40009
3 Month 1.52038
6 Month 1.66171
12 Month 1.85096

SOR 14 Jun 2018

1 Month 1.39053
3 Month 1.56581
6 Month 1.67225

How Does SOR Rates Hit Negative Value?

SOR rates are calculated with a complex financial formula, solved with simple algebra. The results of solving the equation therefore depends on the inputs used. Varying inputs that result from economic impacts and indicators can lead to negative value when the formula is solved. Key input indicators include USD/SGD spot rates and USD/SGD forward rates.

HDB loan or bank housing loan?

Our opinion is to always take a HDB concessionary loan if you are eligible for one. One of HDB's objectives is to to provide affordable housing for the people. While a bank is profit driven.

Which bank offers the best home loan deals?

Interest rates and spreads are not all that matter. Don't ignore the closing costs involved. Different banks can have different customized home loans for you. Don't be surprised if you will save more on a home loan that charges more interest because of the lesser closing costs involved. This is especially so if you know that you will refinance your home loan as soon as the lock in period has expired.