MortgagePremier

Hi, Legal subsidy differs from bank to bank. Some based on 0.4%, some 0.5% loan amount. And the capped limit differs as well. 3rd year onwards is based on the Hong Leong's own board rate minus the bank spread. HLF maintains the right to adjust their board rate, thus it is not very transparent. If you are looking specifically for 2 year fixed rate package, there are better offers by other banks. Feel free to PM me your email address and I can send you the details, as well as highlight the overall differences of the loan structures on why the others 2 year fixed rate packages are better. You can speak to us for any housing loan related issues/queries. Cheers.

For building under construction projects, the payment schedule is as followed AFTER the 20% down payment (inclusive of 5% option fee) 10% 10% 5% 5% 5% 5% 25% (TOP) 15% (CSC) Kindly note the loan structure would firstly be CASH, followed by CPF and lastly BANK LOAN. Feel free to speak to us on any housing loan related issues/queries.

I second that. The only reason why client should refinance from HDB loan to bank loan is that you would be certain that you would be redeeming your housing loan in full at the end of 5 years (either selling the property or making a full redemption). This is because the longest and lowest fixed rate package available in the industry is 5 years, and the rate offered is 1.99% FIXED for 5 years. Thus, chances that the CPF OA rate would be reduced lower than 1.99% is very slim and you would be pretty certain of paying a lower interest for the next 5 years. However, need to be mindful that when you refinance to the bank, you would incur legal fees and stamping fee. Thus, it depends on the loan amount on whether this option is a better one anot.

Hi, For property financing, we are looking at 3 main options: 1) Fixed Rate 2) SIBOR/SOR rate 3) Variable bank board rate There are many variable factors to determine which housing loan structure would be more ideal for a client's mortgage portfolio. Some loan structures are ideal for short term whereas some are more for longer term strategy. It also depends on client's perceptions on how the interest environment would be reacting in the next couple of years, as well as their risk profile and financial objectives. You can PM me your email address and I can forward you the various competitive loan structures from the whole industry and a brief explanation on the various different loan structures.I will be able to assess your overall cost savings from the different loan structures as well, to see which is a more viable option.

Typically most banks would not take over the loan if the amount falls below $100k. Even if they are willing to do so, the rates offered by them are not attractive compared to what they are offering to clients whose loan amount is of the minimum threshold figure. Also if your outstanding loan amount is small, unless the interest rate differential is substantial, the overall cost savings might not be monetary beneficial to refinance. If the option of refinance makes more sense after assessing the overall cost savings, in view of the small loan amount, it is advisable to choose a loan structure that is more suited for a long term strategy, rather than just focusing on capitalizing on the low interest rates for the first 2-3 years. Firstly, speak to UOB to see what rates and terms they are able to offer you for conversion (repricing). And from there, it would be easier to assess the overall situation on which is a more viable option. Some key points to take note for UOB packages: 1) if a fixed rate package is offered by UOB, typically after the fixed years, your package would be pegged against their board rate, which lacks transparency and gives the bank total discretion to control the rates to protect their target profit margin. 2) They only have SOR pegged rates, which is lower than SIBOR currently, but is more ideal for short term rather than long term, due to the nature of it. Overall, we would need to look at the overall terms on your existing package, as well as what re-pricing rates and terms are offered by the bank to review and assess your mortgage portfolio as many other variable factors would play an important part as well. Feel free to PM me directly for further discussion. Thanks.

Good Day, Hi guys, regarding these refinancing issues, I would like to offer an additonal option for your worries. Do feel free to contact me at john@mortgagepremier.com.sg or simply call at 90488433 for Marc with all your issues. Plese do not worry as it will all be a non-obligatory discussion. Cheers, Johnathan Ong

Good Day everyone, Having read the information provided earlier on HDB Loan Structures, I am now here again to share some further information on the Housing Loan rates, Hope that these information will be beneficial to all. Over the past few years, as consumers demand for more transparency and "fair" rates for their home loans, the popularity of Singapore Interbank Offered Rate (SIBOR) & Swap Offer Rate (SOR) pegged packages is increasing and major financial institutions are structuring their loans against these 2 market rates. However, different FIs have different preferences in structuring against either the SIBOR or SOR. The list of the major FIs and their loan structures: SIBOR 1) Standard Chartered Bank 2) Citibank 3) HSBC 4) DBS/POSB 5) OCBC 6) Maybank SOR 1) UOB 2) CIMB Historically, SIBOR is more stable in nature and SOR is much more volatile. Graphical comparison of the volatility of SIBOR vs SOR, which would reflect a clearer picture of the nature of the 2 market rates: SIBOR VS SOR Singapore Interbank Offered Rate (SIBOR) Singapore Interbank Offered Rate is fixed by the Association of Banks in Singapore. It represents the unsecured funds/rates that banks and financial institutions in Singapore lend to each other. Local housing loan interest rates track movements in the SIBOR. Singapore Swap Offer Rate (SOR) Swap offer rate is fixed by the Association of Banks in Singapore. It represents the average cost of funds used by banks in Singapore for commercial lending. In Singapore, most banks offer housing loan packages pegged to either SIBOR or SOR. SIBOR is most likely to be more stable as compared to SOR as the latter is influenced by a Forex component, which in the last few years, have been badly affected due to the erratic world economy and international exchange market. Although SOR rates have been relatively lower than SIBOR rates recently, SOR has gone through rapid movements and at times, has a much higher rate than SIBOR. This makes SIBOR more "stable" for those who are aware of the unpredictable economic changes and on par with market conditions. Question :SOR will rise faster than SIBOR when interest rate rise? In the event of increasing US Fed rate which will cause both SIBOR and SOR to increase. However, when interest rate rises, US dollar will also appreciate in demand. Thus SOR (which is pegged to US Dollar movement ) will increase faster than SIBOR(which is not pegged to USD) Dear readers, do reply to this post or drop me a mail or message if you have any queries or additional information to share. Million Thanks

Hi, you can apply for the bridging loan before the buyer exercised the OTP, just need to furnish the OTP & valuation report (HDB). In fact, you can even apply for a conditional bridging loan whereby you had not even have the OTP yet. Conditions are: 1) Property address to be furnished 2) Minimum selling price to be furnish 3) Submit OTP within 1 month Regards

First appt, when you meet with the bank law firm, only need to pay stamp duty first. Remaining 5% cash and 15% CPF, around 2 weeks before 2nd appt. After you sold your existing flat, your CPF proceeds will only be back in your CPF around 1 week later, fyi.

DBS 5 year Fixed rate better is better than Maybank's. 5 Year Fixed Rate @ 1.99% (1st 5 years) TA: 3m SIBOR +1.25% Lower 5 year average rate.