Mortgage Loan Singapore
Best Mortgage Loan Packages
Local Bank 1
As Low As 3.5% Interest Rate (Fixed)
Loan Amount More Than $500,000
- Singapore’s largest bank with a strong reputation for stability and trust.
- Offers both fixed and floating rate mortgage packages to suit various needs.
- Seamless online loan application and refinancing tools.
- Known for fast loan approvals and comprehensive customer support.
Local Bank 2
Interest Rates Starting from 3.98% (Floating)
Loan Amount More Than $500,000
- Flexible loan structures ideal for both HDB and private property buyers.
- Provides Home Rates (OHR) pegged packages for transparent pricing.
- Option to use CPF savings for partial repayments or monthly instalments.
- Reputable for personalised service through dedicated home loan specialists.
Local Bank 3
Lowest Interest Rates For Private Home Loans
Loan Amount More Than $500,000
- Competitive interest rates with attractive long-term packages.
- Provides bridging loans to assist with down payments during property transitions.
- Offers refinancing with cash rebates and flexible repayment tenures.
- Strong digital tools for property loan calculators and comparisons.
What Is A Mortgage Loan?
A mortgage loan is a long-term financing option that helps buyers purchase property without paying the full price upfront. In Singapore, it is commonly used to buy HDB flats, condominiums, and landed homes. The borrower repays the loan in monthly instalments over a fixed period, usually between 10 and 30 years. Mortgage loans can have fixed or floating interest rates, depending on the bank’s terms and market conditions. By securing a mortgage, homeowners can manage their finances more efficiently while building equity in their property over time.
Why Do Singaporeans Need Mortgage Loans?
Buying a home in Singapore is one of life’s biggest milestones. Yet, with property prices rising steadily, most Singaporeans find it difficult to pay the full amount upfront. That’s where mortgage loans become essential. They make home ownership possible by allowing people to spread payments over many years. This financial flexibility helps families secure their dream homes without exhausting their savings.
Furthermore, mortgage loans support long-term financial planning. Instead of tying up all your cash, you can invest or save for other goals, such as education or retirement. Many Singaporeans also use their CPF savings to service their home loans, reducing the strain on monthly income. In the end, a well-chosen mortgage loan is not just about owning property — it’s about building stability, security, and a future you can truly call your own.
What Kind of Mortgage Loans Are There in Singapore
In Singapore, home buyers can choose between different types of mortgage loans depending on their property and financial goals. Each option offers unique features and benefits. Understanding the differences helps you make a smarter, more affordable decision. Generally, mortgage loans here fall into two main categories: HDB loans and bank loans. Both allow homeowners to finance their dream homes while managing repayment comfortably. Let’s look at how they differ.
| Type of Loan | Offered By | Interest Rate | Downpayment | Key Benefits |
|---|---|---|---|---|
| HDB Loan | Housing & Development Board | Fixed at 2.6% per annum | 10% (CPF or cash) | Stable interest rate, lower downpayment, and easy CPF usage. |
| Bank Loan | Private Banks (DBS, OCBC, UOB, etc.) | 1.2%–4.0% (fixed or floating) | 25% (CPF or cash) | Lower initial rate, flexible packages, and refinancing options. |
| Floating Rate Loan | Banks | Varies with SORA benchmark | Depends on package | Can enjoy savings when rates fall, flexible adjustment options. |
| Fixed Rate Loan | Banks | Fixed for 2–5 years | Depends on loan | Predictable payments, stability during market volatility. |
While HDB loans offer safety and consistency, bank loans provide flexibility and potentially lower rates. Fixed-rate loans are ideal for homeowners who value certainty, while floating-rate loans can benefit those comfortable with market changes. Therefore, it’s important to review your income, CPF usage, and long-term goals before selecting the right mortgage plan.
What Are the Requirements to Secure a Mortgage Loan in Singapore
Before applying for a mortgage loan, it’s important to understand the basic requirements set by banks and the Monetary Authority of Singapore (MAS). These conditions help lenders assess your financial health and ensure that you can manage repayments responsibly. Meeting these requirements increases your approval chances and helps you secure better loan terms.
Generally, borrowers must be at least 21 years old and possess a stable income. Singapore citizens, permanent residents, and eligible foreigners can all apply, though requirements may vary slightly by lender. Banks will also review your credit score, total debt obligations, and employment history before offering approval. Here are the main eligibility criteria every applicant should know:
| Requirement | Details |
|---|---|
| Age | Minimum 21 years old at application; loan must end before age 65–75, depending on the bank. |
| Income | Stable monthly income meeting each bank’s minimum requirement (often from S$2,500 and above). |
| Credit Score | Good credit standing with no recent defaults or late payments, as reflected in your CBS report. |
| Total Debt Servicing Ratio (TDSR) | Your total debt obligations cannot exceed 55% of your gross monthly income. |
| Loan-to-Value (LTV) Limit | The maximum loan amount depends on your outstanding loans; first-time buyers may get up to 75% financing. |
| Employment Proof | Payslips or CPF contribution statements for salaried workers, and tax statements for self-employed applicants. |
| Property Type | Only approved residential properties in Singapore are eligible for financing. |
While requirements may vary slightly among lenders, these are the key factors that determine eligibility. Therefore, preparing your documents and understanding these rules beforehand will make the application smoother and more successful.
Why Choose Singapore Home Services?
Fast • Reliable • Local
Singapore’s Home Experts, Always Ready.
Seamless Service. Zero Stress.
At Singapore Home Services, we make finding the right mortgage loans in Singapore simple, fast, and stress-free. Our dedicated experts compare trusted banks and secure the best rates for your needs. With transparent advice, local experience, and personalised support, we help every homeowner achieve their dream property confidently — without the hassle or confusion.
Anything Else to Take Note Before Applying for a Mortgage Loan?
Before applying for a mortgage loan in Singapore, always review your long-term financial plans. Compare interest packages carefully, as small differences can affect your total cost significantly. Ensure that your credit score is healthy and avoid taking new debts before approval. It’s also wise to budget for hidden costs such as legal fees, insurance, and valuation charges. Most importantly, choose a repayment plan that suits your lifestyle. By preparing early and staying informed, you’ll enjoy a smoother, more confident home-buying journey.