Article: When should I refinance my TOP property?

[newbie11]

So you have bought a property during the new launch 3 years ago, and while it's almost completed now, when is the right time to refinance my property?

There are 2 major milestones for property under construction, TOP and CSC. Once the property has TOP, that's when you start collecting the keys and move in! But wait, it's probably not the right time to refinance yet. As usually there is an undisbursed loan amount before CSC is obtained, refinancing at this junction may incur cancellation fees! CSC is about 12 months after TOP.

So you should wait till CSC, right? Yes.. But.. There's always a BUT!! Is the loan beyond the legal clawback period, typically 3 years, or more specifically, 2 years and 9 months? If you answer Yes and property has obtained CSC, then you should consider refinancing! Try out our Refinance Calculator (http://www.findahomeloan.sg/refinance-loan) today.

[TheOnlyGayInTheVillage]

thanks for the sales pitch under the guise of half baked "advice" articles.

[mygeemeel]

thanks for the sales pitch under the guise of half baked "advice" articles.

OMG. I almost fell for it.

[newbie11]

intention is obvious, its to share info that's meaningful. If I had intended otherwise, I could have simply pasted the article link. I dont think your comments are reasonable, as the timeframe to refinance is clearly stated which answered the article topic. I would be happy to improve my article if you can provide me with a "full-baked" advice.

[wildfaye29]

Lets disregard TOP and CSC.

If the tie in for the claw back is, say 3-years, Loan is disbursed from Jan 2011 to Dec 2013 (36mths), we can refinance from Jan 2014.

If we are getting a re-price from the same bank, when should we approach the bank?

If we intent to re-finance with another bank, when shld we approach a loan specialist to get quotes?

In both scenarios, i believe there is a notice period which we need to serve prior to any re-financing/ repricing.

[taggy]

Lets disregard TOP and CSC.

If the tie in for the claw back is, say 3-years, Loan is disbursed from Jan 2011 to Dec 2013 (36mths), we can refinance from Jan 2014.

a) If we are getting a re-price from the same bank, when should we approach the bank?

b) If we intent to re-finance with another bank, when shld we approach a loan specialist to get quotes?

In both scenarios, i believe there is a notice period which we need to serve prior to any re-financing/ repricing.

I can try to answer this ;)
a) oct-2013, 3 months in before out of lock in period
b) oct-2013, 3 months in before out of lock in period
c) notice period is 3 months
that's why 3 months in advance u should start to nego with same bank and other banks.

- Assume u finally decide to reprice with same bank, the new/amended contract will start before 3 months due. So do not wait, nego with same bank once you reach the last 3 months before out of lock in period. Hence, conclude asap for your best interest.

- Assume u finally decide to refinance with a different bank, your refinance lawyer will immediately write to your current bank giving 3 months notice. Meaning, once you are out of lock in period, in Jan-2014, you are immediately switched to the new bank (no need to wait for another 3 months). Again, conclude asap for your best interest.

Then again, for refinance, the actual cross over date may be affected by your current bank contract. Bec, your current bank contract may have a clause that need you to redeem the loan on certain interest expiry date (eg. end of 3month sibor period), else extra penalty fee...
For this, you can ask your refinance lawyer to go through your current bank contract and advice the actual redemption date in your best interest.

[oda]

aiyo!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! :banghead: :banghead:

[wildfaye29]

I can try to answer this ;)
a) oct-2013, 3 months in before out of lock in period
b) oct-2013, 3 months in before out of lock in period
c) notice period is 3 months
that's why 3 months in advance u should start to nego with same bank and other banks.

- Assume u finally decide to reprice with same bank, the new/amended contract will start before 3 months due. So do not wait, nego with same bank once you reach the last 3 months before out of lock in period. Hence, conclude asap for your best interest.

- Assume u finally decide to refinance with a different bank, your refinance lawyer will immediately write to your current bank giving 3 months notice. Meaning, once you are out of lock in period, in Jan-2014, you are immediately switched to the new bank (no need to wait for another 3 months). Again, conclude asap for your best interest.

Then again, for refinance, the actual cross over date may be affected by your current bank contract. Bec, your current bank contract may have a clause that need you to redeem the loan on certain interest expiry date (eg. end of 3month sibor period), else extra penalty fee...
For this, you can ask your refinance lawyer to go through your current bank contract and advice the actual redemption date in your best interest.

Good info! Thank u!

[Arcachon]

So got refinance before CSC ?

[MortgageGuru]

So got refinance before CSC ?

Refinance after CSC is the best time.
Unless you're holding a good rate if not its not advisable to do so.