View Full Version : what the best home loan package now?
For property under construction, what the best package now.
SOR seem to be too volatile and tied to US$. Not too keen on that,
I think SIBOR would be better.
For SIBOR package, the best I found so far are HSBC (0.88 + SIBOR) and DBS (0.9+SIBOR) ? Is that the best choice ?
welcome any feedback
:confused:
DBS used to give best SIBOR & fixed rate packages. What are they offering now?
For property under construction, what the best package now.
SOR seem to be too volatile and tied to US$. Not too keen on that,
I think SIBOR would be better.
For SIBOR package, the best I found so far are HSBC (0.88 + SIBOR) and DBS (0.9+SIBOR) ? Is that the best choice ?
welcome any feedback
:confused:
For property under construction, what the best package now.
SOR seem to be too volatile and tied to US$. Not too keen on that,
I think SIBOR would be better.
For SIBOR package, the best I found so far are HSBC (0.88 + SIBOR) and DBS (0.9+SIBOR) ? Is that the best choice ?
welcome any feedback
:confused:
smartloans.sg
DBS: SIBOR +0.9
HSBC SIBOR +0.88
SOR is too volatile and pegged to US$ so I am avoiding it.
I probably take up DBS since they are the one who grant my in principle approval..:rolleyes:
So which development you going for?
DBS: SIBOR +0.9
HSBC SIBOR +0.88
SOR is too volatile and pegged to US$ so I am avoiding it.
I probably take up DBS since they are the one who grant my in principle approval..:rolleyes:
I actually got my with HSBC at SIBOR+0.75 for 1st 3 years, thereafter +1. Is yours +0.88 throughout?
I actually got my with HSBC at SIBOR+0.75 for 1st 3 years, thereafter +1. Is yours +0.88 throughout?
Mine is with DBS, SIBOR+0.8 throughout the loan period. This was 6 months ago.
DBS SIBOR + 0.5, 0.75 (2-yr lock-in, BUC)
Citibank... i think the only bank with 1mth sibor + 0.X
Std Chart loan package:
1st yr: 1.25% Fixed
2nd yr: 0.98% + 3 mth sibor
3rd yr 1.25 + 3 mth sibor
I yr lock-in.
Is it competitive?
SCB 1.25% package already revised up to 1.85%.
DBS 1.25 also revised up to 2.2%.
The rest will follow soon imo.
I HAVE JUST GOT IT APPROVED. SO! I AM LUCKY!
I HAVE JUST GOT IT APPROVED. SO! I AM LUCKY!
Wow congrats 1 yr fixed at 1.25% sounds great!
So which development you going for?
lilkely tembeling residence...:)
smartloans.sg
smartloan is great !!! instant result.
i was actually using housingloansg service (free) for comparison but smartloan is even faster.
Both arrive at same conclusion--DBS 0.9% +SIBOR, no lock in.
I already signed up and loan approved.:)
I think SIBOR would be better.
Though if you want to check out other options and finalize then visit PropertyGuru. You can find latest SIBOR rates, mortgage quotes there, plus you can try mortgage payment calculator and refinance calculator. Visit this for more details on mortgage rates http://www.propertyguru.com.sg/mortgage
Thanks, I am using SIBOR, from DBS. Loan approved alredi:)
All the home loan rates have gone up this month! Just checked with Stanchart and DBS
All the home loan rates have gone up this month! Just checked with Stanchart and DBS
So there is an error reported in yesterday papers?
http://i266.photobucket.com/albums/ii268/kcc0002/Today-1.jpg
Home loans market competition hots up
Desmond Wong
TODAY
Wednesday, 7 April 2010
The home loans market is hotting up in Singapore with big lenders aggressively lowering rates to fend off competition from each other and the smaller finance houses.
Finance companies had the lowest interest rates at the start of the year, but 3 months on, banks have also started dropping prices.
Competition is stiff among major local banks and financiers, but DBS Bank, OCBC Bank and United Overseas Bank (UOB) have been going on the offensive with not just lower prices but additional services as well.
SIAS Research lead analyst Moh Tse Yang said: "Some developers whom we have met have been approached by several banks to go hand-in-hand with them during their launches, to be able to set up booths there, offering special rates. So we're looking at the banks aggressively chasing the home loans."
At the end of last year, Hong Leong Finance was offering some of the lowest rates, with first year interest rate for its public housing loan at 1.3%. But within 3 months, the banks responded.
As at the end of last month, DBS' variable public housing home loan rate for the first year stood at 1.3%, while OCBC's rates came in at 1.26%.
Hong Leong's current rates have also come down, standing at 1.23%. UOB declined to give their rates for the period.
But despite the rapid lowering of rates, observers expect banks and financiers to stop short of a price war.
Ms Christine Kuo, senior analyst (financial institutions group) at Moody's Singapore, said: "After all, the banks understand that a price war does nobody any good. So, although they will try to stay competitive, they won't be making sufficient margins if they continue to undercut."
Lenders are currently in the process of revising their home loan interest rates for this month, analysts said.
The expectation is that rates will be revised upwards, in light of strong continued demand from home buyers as well as on the back of outlook that interest rates may be on the uptrend going forward.
Very strange. I also heard that many of the good packages are no longer available.
So there is an error reported in yesterday papers?
Very strange. I also heard that many of the good packages are no longer available.
Yes, I think ur rite. Checking now, look rite rate is up
shauntanzs
11-04-10, 23:22
At current market, is it better to lock in or no lock in?
Yes, I think ur rite. Checking now, look rite rate is up
Reports salah. Rates going up for sure.
I've locked in 3 years with DBS at fixed rates 1.99, 2.09, 2.19.
This is actually higher than the previous DBS offer of 3 years fixed rate (& locked in) at flat 1.99%. Rates offered has definitely gone up (at least for DBS)! Do they still have the 5 years fixed rate package and if so what is the rate now?
Reports salah. Rates going up for sure.
I've locked in 3 years with DBS at fixed rates 1.99, 2.09, 2.19.
This is actually higher than the previous DBS offer of 3 years fixed rate (& locked in) at flat 1.99%. Rates offered has definitely gone up (at least for DBS)! Do they still have the 5 years fixed rate package and if so what is the rate now?
Not sure about the 5-yr rates coz never plan that long. As to .10% interest rate growth YoY, that I can swallow - at least better than 1.99%, 2.99%, 3.99% (eg. only when SIBOR goes up) if floating rate packages...
DBS used to have the 5-years fixed rate package at 2.5% (but not highly publicized like their 3 years fixed rate of 1.99%) but it was removed quickly after. Not sure whether they introduce again.
Not sure about the 5-yr rates coz never plan that long. As to .10% interest rate growth YoY, that I can swallow - at least better than 1.99%, 2.99%, 3.99% (eg. only when SIBOR goes up) if floating rate packages...
Chamonique
14-04-10, 18:45
Hi,
It is true that for BUC the banks will not offer package with fixed interest rate til TOP?
Hi,
It is true that for BUC the banks will not offer package with fixed interest rate til TOP?
Yes for DBS
Chamonique
15-04-10, 14:03
HSBC is offering Sibor + 0.85% no lock in and UOB is offering SOR + 0.% with 3 years lock in. Still deciding. Anyone has any comment on these loan package? Currently 3 months Sirbor is 0.65% and SOR is 0.46%
HSBC is offering Sibor + 0.85% no lock in and UOB is offering SOR + 0.% with 3 years lock in. Still deciding. Anyone has any comment on these loan package? Currently 3 months Sirbor is 0.65% and SOR is 0.46%
You should compare SIBOR and SOR not just now but the trend since 2007. SOR is more erratic compared to SIBOR.
HSBC is offering Sibor + 0.85% no lock in and UOB is offering SOR + 0.% with 3 years lock in. Still deciding. Anyone has any comment on these loan package? Currently 3 months Sirbor is 0.65% and SOR is 0.46%
Are you kidding ? Of course the SOR + 0 lah! This is for Dakota UOL project right ? no other project can UOB do SOR + 0. This is really a cash rebate in disguise for you. If u dun take it, UOL will be laughing all the way.
today SOR fixing is 0.308. Yesterday after MAS S$ statement SOR tumbled to 0.38. Now US$ becomes a carry trade ccy. :cool:
Are you kidding ? Of course the SOR + 0 lah! This is for Dakota UOL project right ? no other project can UOB do SOR + 0. This is really a cash rebate in disguise for you. If u dun take it, UOL will be laughing all the way.
today SOR fixing is 0.308. Yesterday after MAS S$ statement SOR tumbled to 0.38. Now US$ becomes a carry trade ccy. :cool:
Yes, no bank has topped SOR + 0% deal. It's almost like IAS.
Chamonique
16-04-10, 17:34
But UOB package needs to lock in for 3 year. Isn't it too long and given SOR is more volatile?
But UOB package needs to lock in for 3 year. Isn't it too long and given SOR is more volatile?
I am not sure if you can go for HSBC. It is quite attractive:
SIBOR package ( No lock-in )
1st year : 3-month SIBOR + 0.90%
2nd year : 3-month SIBOR + 0.80%
Throughout the loan tenure : 3-month SIBOR + 0.70%
maybe you guys like to check out this site...
independent review, which is what i like... :)
http://www.askdrmoney.com/Home-Loan%20Rankings.htm
It is good but unfortunately it is not up to date. Not very useful.
maybe you guys like to check out this site...
independent review, which is what i like... :)
http://www.askdrmoney.com/Home-Loan%20Rankings.htm
looks like HSBC offers the best rate! I recently took up DBS at SIBOR+0.9%.:banghead:
looks like HSBC offers the best rate! I recently took up DBS at SIBOR+0.9%.:banghead:
u should have used a mortgage broker (eg sghousigloan or equivalent) , it FOC and they check all the rates for u:)
anyway, it not too bad..... I think HSBC is 0.88 + sibor vs DBS 0.9 + sibor
if u used DBS mortgage insurance from aviva, still has 0.1% reduction...and aviva is the most competitive (refer to another thread on home mortgage)..
I am not from DBS bank, ...just that I have done the comparison and I opt for DBS as it is easier to approve than HSBC.
when sibor goes to 3.5% ...the diff between DBS and HSBC is marginal...
looks like HSBC offers the best rate! I recently took up DBS at SIBOR+0.9%.:banghead:
How about 2nd and 3rd year? Lock-in?
new2mondrian
27-04-10, 10:54
I am not sure if you can go for HSBC. It is quite attractive:
SIBOR package ( No lock-in )
1st year : 3-month SIBOR + 0.90%
2nd year : 3-month SIBOR + 0.80%
Throughout the loan tenure : 3-month SIBOR + 0.70%
that's attractive... looks like they have gone back to the old rates.... throughout 2007-08 HSBC was offering SIBOR+0.7% from day 1 of loan, with no lock-in. The lowest it went to was SIBOR+0.6% for HSBC. Hopefully it will be coming round again.
It is good but unfortunately it is not up to date. Not very useful.
hi DC33_2008,
thanks for pointing out that it is outdated...oops... pai seh sollie sollie... I thought the rates are updated every week, on Mon, Wed & Fri...as per claim on website...
sorry for misleading the rest of the forumers...
rgds,
fc
But UOB package needs to lock in for 3 year. Isn't it too long and given SOR is more volatile?
well sibor or sor is an interesting academic discussion. for me, I would take advantage of the S$ policy AND Bernake's fed rate promise. Unless US gets a quick turnaround, I dun see how US rates can go up that much higher and quicker. Plus MAS's appreciating policy. It would be good to profit from this unique environment. :)
Plus, for BUC projects, really you dun refinance before TOP. You need to pay cancellation charges, that's worse than penalty!
btw DC33, the HSBC deal is only for completed projects, not BUC right ?
well sibor or sor is an interesting academic discussion. for me, I would take advantage of the S$ policy AND Bernake's fed rate promise. Unless US gets a quick turnaround, I dun see how US rates can go up that much higher and quicker. Plus MAS's appreciating policy. It would be good to profit from this unique environment. :)
Plus, for BUC projects, really you dun refinance before TOP. You need to pay cancellation charges, that's worse than penalty!
btw DC33, the HSBC deal is only for completed projects, not BUC right ?
Yup! You are right! It is a not a BUC.
How about 2nd and 3rd year? Lock-in?
No lock-in. Same rate from 1st year onwards.
Chamonique
05-05-10, 16:17
Does anyone know whether some Bank has a clause on Preset Date? Was told by a friend to look out for this clause in the Letter of Offer. If there is this clause about the Preset date and when you decide to sell your house and it does not coincides with the Preset date stated in the LO, the bank will charge some penalty. Does anyone know what is this?
Does anyone know whether some Bank has a clause on Preset Date? Was told by a friend to look out for this clause in the Letter of Offer. If there is this clause about the Preset date and when you decide to sell your house and it does not coincides with the Preset date stated in the LO, the bank will charge some penalty. Does anyone know what is this?
Preset Date = Lock In Period?
As long as you redeem your loan (aka sell your house or fully pay) within the lock-in period, you need to pay the bank penalty. Typically 1.5% of the outstanding loan before full redemption + legal fee subsidies.
Preset Date = Lock In Period?
As long as you redeem your loan (aka sell your house or fully pay) within the lock-in period, you need to pay the bank penalty. Typically 1.5% of the outstanding loan before full redemption + legal fee subsidies.
The SIBOR/SOR of the Preset Date is used by the bank to fix the interest rate for the next 3 month (for 3-month SIBOR linked loan). However, the trap is: You need pay penalty, (such as 3 month interest) to the bank if you redeem the mortgage not on the Preset Date. It means you must redeem or partially repay your mortgage on the preset date only. It is more stringent than lock in period. Be careful when you want to redeem or refinance your mortgage because most of lawyers and their assistants are not aware of this or do not read your Letter of Offer. I had learned a lessionlast year. I had to pay 3-month interest to the bank because the lawyer put the date of redemption only one day later than the Preset Date.
Thanks to all for contributions to this thread, I have learnt much from this discussion..:)
anyone take up Maybank home loan package? Is it really 1.18% for 2 years?
anyone take up Maybank home loan package? Is it really 1.18% for 2 years?
Variable or fixed? If fixed, mai tu liao!
Variable or fixed? If fixed, mai tu liao!
I did not really check in details...but seems like fixed 2 years...dun bash me if I am wrong.. :scared-2:
ya, this is a huge clause silently slid in.
if your package is 3 month floating sibor, there will be an exact review date every 3 months. if you complete ur sale and redeem not on the exact review date, you will be charged a sibor/sor breakage fee.
it's almost next to impossible for sellers to time sales so that they complete on the exact date, so most will kenna this breakage penalty.
on top of this you have to serve 3 month notice period for full loan redemption, so if your sibor review date is less than 3 months, you have to pay early notice penalty.
i am very very fortunate that my rate review date is very close to my completion date. if i am not wrong, there is only 2 review dates per year for 6 month floating sor/sibor. :beats-me-man:
The SIBOR/SOR of the Preset Date is used by the bank to fix the interest rate for the next 3 month (for 3-month SIBOR linked loan). However, the trap is: You need pay penalty, (such as 3 month interest) to the bank if you redeem the mortgage not on the Preset Date. It means you must redeem or partially repay your mortgage on the preset date only. It is more stringent than lock in period. Be careful when you want to redeem or refinance your mortgage because most of lawyers and their assistants are not aware of this or do not read your Letter of Offer. I had learned a lessionlast year. I had to pay 3-month interest to the bank because the lawyer put the date of redemption only one day later than the Preset Date.
Any idea on the latest rates? DBS website says SIBOR + 1.25%
Any idea on the latest rates? DBS website says SIBOR + 1.25%
Wow, that's high!:eek:
current market scenario is high price high interest rate. still market can go strong?
bargain hunter
28-06-10, 22:32
huh, interest rate still low lah. still less than 2% no matter how high rite?
current market scenario is high price high interest rate. still market can go strong?
huh, interest rate still low lah. still less than 2% no matter how high rite?
In just a space of 3 mths, the add-on interest rate margain had increased by at least 0.25%. What will be increase in just another 6 mths? This coupled with 10-20% increase in property price is really blowing up the required budget. This could be one of the reasons why buying is slowing down.
proud owner
28-06-10, 23:12
In just a space of 3 mths, the add-on interest rate margain had increased by at least 0.25%. What will be increase in just another 6 mths? This coupled with 10-20% increase in property price is really blowing up the required budget. This could be one of the reasons why buying is slowing down.
11.10 pm spore time ...
lets see how long it takes after your input before i see a BULL member start to say otehrwise to your post
i suspect they will say ..fundamental still strong .. sporeans very rich ... interest rates still low ... china chinese still buying .. etc
bargain hunter
29-06-10, 01:23
bulls are on leave/away/not subscribed to this thread (think at least one of them said interest rates don't matter so why should they bother with this thread?). anyway the reasons u listed "chao seng" already. must take time off to think of new reasons. :)
11.10 pm spore time ...
lets see how long it takes after your input before i see a BULL member start to say otehrwise to your post
i suspect they will say ..fundamental still strong .. sporeans very rich ... interest rates still low ... china chinese still buying .. etc
proud owner
29-06-10, 01:25
bulls are on leave/away/not subscribed to this thread (think at least one of them said interest rates don't matter so why should they bother with this thread?). anyway the reasons u listed "chao seng" already. must take time off to think of new reasons. :)
cant help but feel ...when the evidents do present themselves of a 'slow down' or 'stagnation in price' or even 'correction' ...
they are on holiday
bargain hunter
29-06-10, 01:44
surely they would come back soon? surely july should see a good sales number since developers would be rushing to launch after a quiet june and ahead of chinese seventh month?
cant help but feel ...when the evidents do present themselves of a 'slow down' or 'stagnation in price' or even 'correction' ...
they are on holiday
Any idea on the latest rates? DBS website says SIBOR + 1.25% HSBC is still offering their 3M SIBOR + .85%, plus quite a number of other freebies. Only thing is, I don't think that they have a fixed rate package should you want to stick to the same bank but change the package.
Anyway, DBS will match HSBC, or even go lower, as far as interest rates goes, but not the rest of the package ie fire insurance, legal etc.
HSBC is still offering their 3M SIBOR + .85%, plus quite a number of other freebies. Only thing is, I don't think that they have a fixed rate package should you want to stick to the same bank but change the package.
Anyway, DBS will match HSBC, or even go lower, as far as interest rates goes, but not the rest of the package ie fire insurance, legal etc.
Is this package of 3M + 0.88% launched recently?
Been there for many months at least. btw it's .85%.
I thought the best package to take now is fixed sibor+ as interest rate will most probably continue to trend upward from here.
proud owner
29-06-10, 21:20
Been there for many months at least. btw it's .85%.
is it true that to have that HSBC package, one has to open a bank account with them ? or at least have a HSBC credit card to start with ?
is it true that to have that HSBC package, one has to open a bank account with them ? or at least have a HSBC credit card to start with ?Not that I'm aware of. I spoke at length with their loan specialist/VP and not once did having to open a bank acct or having a hsbc credit card come up. And I'm not a customer. But maybe they wanted to reel me in hook, line and sinker first.
Just to share a little more on the standard package, now that I have a little more time. It includes
1) 5 yr free fire insurance. The most any other bank i know would offer, without bargaining, is CIMB and that's only 2 years.
2) Legal is SOP, up to 2.5k subject to 3 yr clawback. I know CIMB can reduce the 3 yrs, while hsbc will prob offer more than 2.5k.
3) Some kind of home assistance thing. Basically they have a list of home "emergencies", and if something on that list happens to your home, e.g. A/C compressor spoils, you can call their 24hr hotline and they will send someone over to fix it. And, they will cover the 1st $100 (or $80 can't remember). Can claim up to 5 times in a year.
Some other more minor stuff which I can't remember at the moment.
I thought HSBC package is first yr (0.9 + 3mth sibor); 2nd yr (0.8 + 3mth sibor) and 3rd onwards (0.7 + 3mths sibor)?
about to secure a 1st yr :SIBOR +0.5%, 2nd yr: 0.6%, with two year lock in. Trying to negotiate legal subsidy now before signing.
about to secure a 1st yr :SIBOR +0.5%, 2nd yr: 0.6%, with two year lock in. Trying to negotiate legal subsidy now before signing.
Is this citibank?
I thought HSBC package is first yr (0.9 + 3mth sibor); 2nd yr (0.8 + 3mth sibor) and 3rd onwards (0.7 + 3mths sibor)?Ya that's another one of their packages. But can't take that package if uncompleted project.
about to secure a 1st yr :SIBOR +0.5%, 2nd yr: 0.6%, with two year lock in. Trying to negotiate legal subsidy now before signing.After the 2nd year?
HSBC package has no lock in.
HSBC package has no lock in.
That is untrue. Yes, HSBC is offering one of the most competitive rates for SB3. SB3 as at July 2010 is 0.55958%. So do your math :) The most competitive rates i'll say it'll be the smart mortgage (SMR) package. Basicly your monthly installment will be repaying 100% to principle amount, provided if you have enough cash.
Hi all, I'm currently in a 2 years lock in period with OCBC. However, I was given a 1 time free home package conversion. The 2 options given for this free conversion are:
Variable
Year 1 -- OCBC reference rate (4.5%) - 3.22% = 1.28%
Year 2 -- OCBC reference rate (4.5%) - 2.82% = 1.68%
Year 3 -- OCBC reference rate (4.5%) - 1.82% = 2.68%
SOR
Year 1 -- 3Months SOR (Current 3M SOR is 0.41%) + 0.75% = 1.16%
Year 2 -- 3Months SOR + 1.00%
Year 3 -- 3Months SOR + 1.25%
All others terms and conditions are the same for both packages.
1.5% Penalty for full repayment within lock in period.
0% Penalty for partial repayment provided loan amounts reminds >50%.
Either 1 of the package will bring down my interest rate from 3.1%.
But I'm not sure if I should go for SOR which is lower than the variable package knowing that SOR is very volatile.
Anyone with some advice would be appricated =)
Hi all, I'm currently in a 2 years lock in period with OCBC. However, I was given a 1 time free home package conversion. The 2 options given for this free conversion are:
Variable
Year 1 -- OCBC reference rate (4.5%) - 3.22% = 1.28%
Year 2 -- OCBC reference rate (4.5%) - 2.82% = 1.68%
Year 3 -- OCBC reference rate (4.5%) - 1.82% = 2.68%
SOR
Year 1 -- 3Months SOR (Current 3M SOR is 0.41%) + 0.75% = 1.16%
Year 2 -- 3Months SOR + 1.00%
Year 3 -- 3Months SOR + 1.25%
All others terms and conditions are the same for both packages.
1.5% Penalty for full repayment within lock in period.
0% Penalty for partial repayment provided loan amounts reminds >50%.
Either 1 of the package will bring down my interest rate from 3.1%.
But I'm not sure if I should go for SOR which is lower than the variable package knowing that SOR is very volatile.
Anyone with some advice would be appricated =)
If you don't mind lock in, can go to DBS. They are having a 3 yrs lock in package very attractive.
But, lock in is a big NO for me. I love freedom and the process of switching bank.
If you don't mind lock in, can go to DBS. They are having a 3 yrs lock in package very attractive.
But, lock in is a big NO for me. I love freedom and the process of switching bank.
Oh I cant go to another bank. I'm already in a 2 years lock in with OCBC. 7 months more to go. Converting to another plan with OCBC would bring down my interest rate now.
Oh I cant go to another bank. I'm already in a 2 years lock in with OCBC. 7 months more to go. Converting to another plan with OCBC would bring down my interest rate now.
That mean you have stay in "the trap" for more than 1 yr. Are you sure you still entitle the one time free conversion?
or is it an offer form OCBC to convert without any charge?
Usually, when you take a loan you have to first ask yourself these questions
1. Do you have any intention to sell the unit within the lock in period?
2. Is this for investment not for own stay?
If there is a yes, then you should not take lock in package.
The one I got from UOB for minton is SOR + 0.65% for year 1 to 4. SOR + 1% thereafter.
The one I got from UOB for minton is SOR + 0.65% for year 1 to 4. SOR + 1% thereafter.
Was being told that is project specific rate... They can't offer to ready unit.
Is anyone manage to get this package for their ready unit, please do let's me know...
That mean you have stay in "the trap" for more than 1 yr. Are you sure you still entitle the one time free conversion?
or is it an offer form OCBC to convert without any charge?
Usually, when you take a loan you have to first ask yourself these questions
1. Do you have any intention to sell the unit within the lock in period?
2. Is this for investment not for own stay?
If there is a yes, then you should not take lock in package.
Hi Isaac, yeah it is a 1 time free conversion given after my property has TOP. Both plan are lock in. Just feels that if I continue with my current mortgage plan I'm paying much more. To answer the question, I dont think i have the intention to sell within 2 years and the property is for both own stay and investment(for rent later) =)
Hi Isaac, yeah it is a 1 time free conversion given after my property has TOP. Both plan are lock in. Just feels that if I continue with my current mortgage plan I'm paying much more. To answer the question, I dont think i have the intention to sell within 2 years and the property is for both own stay and investment(for rent later) =)
If i am making a choice, I will go for SOR or SIBOR package - more transparency. But will not consider if spread is more than 1%.
I don't have clear view of your situation, so can't really comment. Just a point to note. Due to the volatility of SOR/SIBOR, NO LOCK IN pls...
Getting a SOR/SIBOR with lock in = SUICIDING!
But if my banker offer me those packages you being offered... I sure :tsk-tsk: him!
If i am making a choice, I will go for SOR or SIBOR package - more transparency. But will not consider if spread is more than 1%.
I don't have clear view of your situation, so can't really comment. Just a point to note. Due to the volatility of SOR/SIBOR, NO LOCK IN pls...
Getting a SOR/SIBOR with lock in = SUICIDING!
But if my banker offer me those packages you being offered... I sure :tsk-tsk: him!
Haha.. thats what I thought so too when she offered me the packages. But since it is like a promo thingy she can only offer this 2. Alternatively I can just continue with my 3.5% for 7 more months and then look to refinance with other bank. Even a variable package based on the bank's reference rate is not good. The bank can up their reference rate anytime.
Appreciate your input, issac.
Hi,
anyone can advise on the best loan package or promotion for now? TIA!
Is it Maybank? But got to ready carefully the terms of condition.
Is it Maybank? But got to ready carefully the terms of condition.
Thanks for your response. I got the following quote from one of the local bank. Is this rate good?
Hope some experts can provide some advice.
No lock in 3-months SOR
Year 1: SOR + 0.85%
Year 2: SOR + 0.85%
Year 3: SOR + 0.85%
Thereafter: SOR + 1%
- No full redemption penalty as long as full redemption occurs on rate review date, else 1.5% penalty on amount fully redeemed
- No partial prepayment penalty as long as partial redemption occurs on rate review date, else 1.5% penalty on amount prepaid
- 0.75% cancellation fee if loan is cancelled
- Legal subsidy of 0.5% of loan amount capped at $2500 subjected to 3 years clawback
- Valuation subsidy of $750 subjected to 3 years clawback
- Free 1 year fire insurance for private housing
Hi to all the financial experts and gurus here. Appreciate if you could provide some advice or pointers.
Which package is better?
No lock in 3-months SOR
Year 1: 3M SOR + 0.75%
Year 2: 3M SOR + 0.75%
Year 3: 3M SOR + 0.75%
Thereafter: 3M SOR + 1%
- Valuation subsidy of $750 subjected to 3 years clawback
- Free 1 year fire insurance for private housing
No lock in 1-month SIBOR
Year 1: 1M SIBOR + 0.65%
Year 2: 1M SIBOR + 0.75%
Year 3: 1M SIBOR + 0.8%
Thereafter: 1M/3M/6M/12M SIBOR + 0.9%
- No free fire insurance and valuation subsidy
BTW, still torn between taking SIBOR & SOR. Project expected TOP 2014. No construction work as yet. So I'd expect 1st disbursement to be 1 year later.
TIA !
Hi
I understand standchart to have good variable rates as they have also an interest offset scheme
good for cash rich buyers
im looking at fixed rates as im more conservative and long term view to holding this property >3-5 yrs
1. Citibank 1.2 1.6 1.9
2. Maybank pegged to their board rate
works out similarly to option 1
anyone knows of any banks with better rates than Citibank for 3 years?
signing with them soon
Did you check HSBC?
HSBC for floating SIBOR?
HSBC for floating SIBOR?
It is quite competitive too.
I am buying a place soon too...there are different rates for uncompleted and completed properties. CIMB and Maybank appear to have better rates for uncompleted properties whilst Citibank and HSBC are next with relatively similar rates. My first choice has always been Citibank, unless their rates are significantly worse off. My previous few loans have been with Citibank and I don't mind paying a bit more to ensure better customer service, which i do get from Citibank. They appear to be very customer service oriented, whether at their branch at Paragon, Orchard MRT or their credit card call centre or their home loan service.
oh yes...u got to do some quick research with smartloans.sg to find out who gives the better rates.
No lock in 1-month SIBOR
Year 1: 1M SIBOR + 0.65%
Year 2: 1M SIBOR + 0.75%
Year 3: 1M SIBOR + 0.8%
Thereafter: 1M/3M/6M/12M SIBOR + 0.9%
- No free fire insurance and valuation subsidy
may i know is this citibank package ?
I am buying a place soon too...there are different rates for uncompleted and completed properties. CIMB and Maybank appear to have better rates for uncompleted properties whilst Citibank and HSBC are next with relatively similar rates. My first choice has always been Citibank, unless their rates are significantly worse off. My previous few loans have been with Citibank and I don't mind paying a bit more to ensure better customer service, which i do get from Citibank. They appear to be very customer service oriented, whether at their branch at Paragon, Orchard MRT or their credit card call centre or their home loan service.
oh yes...u got to do some quick research with smartloans.sg to find out who gives the better rates.
Hi spikey, in your opinion, do you think it is "negligible" difference between
A)
3M SIBOR + 0.75% throughout
and
B)
Year 1: 1M SIBOR + 0.65%
Year 2: 1M SIBOR + 0.75%
Year 3: 1M SIBOR + 0.8%
Thereafter: 1M/3M/6M/12M SIBOR + 0.9%
Thanks.
Hi spikey, in your opinion, do you think it is "negligible" difference between
A)
3M SIBOR + 0.75% throughout
and
B)
Year 1: 1M SIBOR + 0.65%
Year 2: 1M SIBOR + 0.75%
Year 3: 1M SIBOR + 0.8%
Thereafter: 1M/3M/6M/12M SIBOR + 0.9%
Thanks.
that looks like comparing citibank and hsbc...in the end, when the rates appear to be equal, then other considerations like customer service, freebie vouchers, responsiveness to queries, ease of internet banking etc.
But i note that you have not considered the lock in period/ no lock in period or flexibility to change between packages? For HSBC, they have this unique option where u can switch packages (under a no lock in package) anytime...whereas for citibank, u have to do it on a specific date (depending on 1/3/6/12 SIBOR).
that looks like comparing citibank and hsbc...in the end, when the rates appear to be equal, then other considerations like customer service, freebie vouchers, responsiveness to queries, ease of internet banking etc.
But i note that you have not considered the lock in period/ no lock in period or flexibility to change between packages? For HSBC, they have this unique option where u can switch packages (under a no lock in package) anytime...whereas for citibank, u have to do it on a specific date (depending on 1/3/6/12 SIBOR).
just to add that smartloans.sg is not updated
for example they are still quoting dbs to be 1.99 1.99 1.99 fixed 3 years
Obtained a loan recently at the following rates (completed project; 2 yr lock-in):
Year 1: 1M SIBOR + 0.65%
Year 2: 1M SIBOR + 0.70%
Year 3: 1M SIBOR + 0.70%
devilplate
15-02-11, 22:50
Obtained a loan recently at the following rates (completed project; 2 yr lock-in):
Year 1: 1M SIBOR + 0.65%
Year 2: 1M SIBOR + 0.70%
Year 3: 1M SIBOR + 0.70%
ooo....nvr take 1M sibor b4 even though is the lowest...interesting
Obtained a loan recently at the following rates (completed project; 2 yr lock-in):
Year 1: 1M SIBOR + 0.65%
Year 2: 1M SIBOR + 0.70%
Year 3: 1M SIBOR + 0.70%
can i know which bank is that?
rattydrama
16-02-11, 20:21
Obtained a loan recently at the following rates (completed project; 2 yr lock-in):
Year 1: 1M SIBOR + 0.65%
Year 2: 1M SIBOR + 0.70%
Year 3: 1M SIBOR + 0.70%
sounds good. which bank?
will foreign banks like Citibank more likely to ask you to top up during bad times?
if yes, the local banks is safer even though if slightly higher rates.
bargain hunter
18-02-11, 17:16
historically that is true.
will foreign banks like Citibank more likely to ask you to top up during bad times?
if yes, the local banks is safer even though if slightly higher rates.
Has anyone done a recent comparison on which is the best home loan package for BUC project? any comments on OCBC internal board rate?
rattydrama
22-05-11, 20:55
citi bank still the most competitive.
anything below 1.5% should be good bah.
citi bank still the most competitive.
anything below 1.5% should be good bah.
citibank got 1 disadvantage (maybe not important),
if u want to do cash out, they will only do it at 70% of valuation. ocbc and dbs provide up to 80%. (3 months ago was like this, i dun noe now :p )
rattydrama
22-05-11, 21:06
citibank got 1 disadvantage (maybe not important),
if u want to do cash out, they will only do it at 70% of valuation. ocbc and dbs provide up to 80%. (3 months ago was like this, i dun noe now :p )
cash out and re-invest, you guys very smart leh. good point. learn something today.
usually for this kind, how they go about valuating the property? last transacted price of the same project?
Has anyone done a recent comparison on which is the best home loan package for BUC project? any comments on OCBC internal board rate?
depend on which bcu proj la. some banks hv promo
Has anyone done a recent comparison on which is the best home loan package for BUC project? any comments on OCBC internal board rate?Not sure if this package by UOB is still available but I know I got one for BUC and it was pegged with the internal board rate which was slightly lower than all other packages with SIBOR or SOR for the 1st year. My BUC will be completed within the next 1 year and I was guaranteed a free change to the loan package upon TOP. So I got the lowest rate for 1st year and then choose again upon TOP. I suspect interest rates will remain low for the next 1 to 2 years looking at US market... just my 2 cents worth...
fooblackie
24-05-11, 09:21
Not sure if this package by UOB is still available but I know I got one for BUC and it was pegged with the internal board rate which was slightly lower than all other packages with SIBOR or SOR for the 1st year. My BUC will be completed within the next 1 year and I was guaranteed a free change to the loan package upon TOP. So I got the lowest rate for 1st year and then choose again upon TOP. I suspect interest rates will remain low for the next 1 to 2 years looking at US market... just my 2 cents worth...
internal board rates are pretty risky. the "internal board" can decide to change the rates at its sole discretion..
dun be lured by the lower rate. think any more transparent rates pegged to sibor or sor are safer..
internal board rates are pretty risky. the "internal board" can decide to change the rates at its sole discretion..
dun be lured by the lower rate. think any more transparent rates pegged to sibor or sor are safer..Thanks for the reminder... i'm aware and since my BUC will TOP within next 9 months and judging from the current low interest rates everywhere, it should be pretty safe... Will certainly change package by then and maybe it'll hit a new low by then and I'll just scoop up the remains... :D
fooblackie
24-05-11, 09:45
Thanks for the reminder... i'm aware and since my BUC will TOP within next 9 months and judging from the current low interest rates everywhere, it should be pretty safe... Will certainly change package by then and maybe it'll hit a new low by then and I'll just scoop up the remains... :D
gd gd just dun be locked-up with no room to move. can always re-finance so keep a look out for gd deals.
i had super bad exp with UOB. even wrote in to complain until they offered me a fixed rate package. this was back in 2007. they increased the board rate when global int rate envir was gg down.
reason given to me was to cover their own expenses! :banghead:
gd gd just dun be locked-up with no room to move. can always re-finance so keep a look out for gd deals.
i had super bad exp with UOB. even wrote in to complain until they offered me a fixed rate package. this was back in 2007. they increased the board rate when global int rate envir was gg down.
reason given to me was to cover their own expenses! :banghead:Hahaha.... maybe because of people like you they now scared so people like me will benefit... :D
citibank got 1 disadvantage (maybe not important),
if u want to do cash out, they will only do it at 70% of valuation. ocbc and dbs provide up to 80%. (3 months ago was like this, i dun noe now :p )
Cash out = 2nd mortgage? or early redemption?
Thanks
Cash out = 2nd mortgage? or early redemption?
Thanks
er..yes, is like a 2nd mortgage loan on the property. Not early redemption.
see this: http://www.smartloans.sg/pages/cashoutrefinancing
1 mth SOR is 0.175 today.
er..yes, is like a 2nd mortgage loan on the property. Not early redemption.
see this: http://www.smartloans.sg/pages/cashoutrefinancing
CondoSearch
10-06-11, 22:58
financial experts,
please can i get advise which bank loan offer i shall go with. seems many people anticipated of up trend interest, will the unlimited conversion make any sense at all...
here is the offer i got:
1. HSBC - 1mnth SIBOR+0.75% throughout, no lockin, 5years Fire Insurance but only 1 time conversion withn 6mnths after TOP.
2. Citibank - 1mnth SIBOR+0.75% throughout, 2 years lockin but given unlimited conversion feature.
The rest of features more or less the same ie Legal subsidy or valuation etc...
This is a home loan for BUC(building under construction). the property expected to top in 2014 0r 2015..
advise would be greatly appreciated...
I think citibank does not provide any free fire insurance? I would pick hsbc.
If going for 1mth SIBOR (0.31). Why not 3mth SOR(0.22) if both have not lock-in period.
CondoSearch
11-06-11, 00:53
Thanks Fleur and DC33_2008, do you think Fire Insurance is better than unlimited free conversion, may i know your opinion on this please?
DC33_2008, I felt SOR very volatile compare to SIBOR hence prefer SIBOR(just my personal preference).
It is no point having free conversion if the package given by the bank is not attractive as compared to other banks at that point in time. Fire insurance premium is only a couple of hundred dollars. The saving from the package will be more than this.
Thanks Fleur and DC33_2008, do you think Fire Insurance is better than unlimited free conversion, may i know your opinion on this please?
DC33_2008, I felt SOR very volatile compare to SIBOR hence prefer SIBOR(just my personal preference).
linchong84
11-06-11, 10:13
For BUC projects, 5 year fire insurance is just a gimmick because it only starts upon TOP.. But upon TOP, ie 3-4 years into loan package, most likely you will re-finance to get better rates in other banks or that same bank.. So you might not even get to enjoy 1 year of insurance, let alone 5..
Just look at the rates and impt terms like whether you are allowed to make partial repayment, lock-in period, penalties for saying bye bye, etc.. The rest, eg fire insurance, 24hr home dunno what protection, are all gimmicks only..
What is the best sor package now? Actually the citibank package is good when rates are moving up, ie can change to 6 mth, 12 mth sibor.
0.75% + 3mth SOR no lock in.
What is the best sor package now? Actually the citibank package is good when rates are moving up, ie can change to 6 mth, 12 mth sibor.
Always go for no lock in and keep a look out for what other banks are offering since you have the option to change your loan package upon TOP. But if your TOP is expected within one year, then go for the cheapest available even with 1 yr lock in coz nothing much will change in next one year! Just change the package upon TOP. I strongly believe interest rates will remain low for at least another year. However, since your TOP is in 2013/4, then go for no lock in and always keep a look out at what other banks are offering! :)
kingkong1984
11-06-11, 12:55
since interest rate at record low.
Self stay = lock in the rates and also be lock in for as long as possible.
Investment buy = no lock in if going to sell anytime. Some lock in if going to sell after some time.
Investment cum self stay. Which ever is cheaper and better.
most package come with no committment fee? so can cash out or reduce loan any time after full disbursement?
kingkong1984
11-06-11, 13:36
most package come with no committment fee? so can cash out or reduce loan any time after full disbursement?
u can pick n choose and negotiate on each individual terms also.
Legal subsidy amount
Legal fee clawback
Cancellation fee
Admin fee
Interest Rate
Lock in period
Free Conversion
Re pricing
go to loanguru to check.
CondoSearch
11-06-11, 15:40
What is the best sor package now? Actually the citibank package is good when rates are moving up, ie can change to 6 mth, 12 mth sibor.
ANZ does provide 3mnth SOR+0.75% through out and very interesting package on (Average of 3mSIBOR + 3mSOR) + 0.75% throughout, both have no lockin.
back to my question "which bank to choose?", based from the answers from all experts here seem HSBC make more sense when take a deep look at prepayment term, no lockin period and come with a good gimick 5 years Fire Insurance that might not ustilise if re-finance after top.
As for Citibank, good point with unlimited conversion but come with 2 years lockin and can partial payment not more than S$50k a day for first 3years..and conversion only benefit for the year 3 and/or after top 6mths...once come to year 4 HSBC and Citibank are all the same where we can re-finance and even change bank (kindly advise if my analysis not righ please).
Thanks all fpr advise...anyway, opinions and comments are most welcome still...
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