Housing Loan Singapore

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Providing online home loan services since 2009

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.

Definition

Reverse Mortgage

A reverse mortgage is essentially a secured loan against property that enables a homeowner to access equity in the property.

It is usually marketed to seniors as the structure of such loans can suit their lifestyles.

In layman terms, a reverse mortgage allows a homeowner to receive monthly payments (like an annuity) which is actually the money they have in the property’s value.

For example, an elderly person might have a house worth $350,000 that has been fully paid. He is retired and does not have an income for daily expenses. Selling the house would not be ideal as it would leave him with no home to live in. Therefore, a reverse mortgage would allow the senior to continue living in the house and receive regular cheques which can be used for daily living expenses.

Upon the death of the homeowner, the property would be liquidated and the proceeds would go towards paying for the amount which has been withdrawn. The balance of the proceeds would go to his descendants.

HDB has a program in somewhat the same structure as a reverse mortgage called the lease-buyback scheme.

Banks are also starting to conceptualize loans with structures resembling reverse mortgages.

While these types of home loans are still in it’s infancy in Singapore, reverse mortgages have been around for a long time in other countries and have shown to serve certain segments of society very well.

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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.

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.
Want to see housing loan interest rate trends for the last 36 months?

Enter your email below so we can send it to you.

It makes absolutely no sense to pay more
than you have to on a home loan.

Find the best mortgage rates here
SEE RATES
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It makes absolutely no sense to pay more than you have to on a home loan.

Find the best mortgage rates here
VIEW TODAY'S RATES
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