Loan package for BRAND NEW property...

[radha08]

Whats the best package to take if buying a BRAND new property...i noticed those type of variable package first 3 years interest average 1 plus % then 4 th year 2 plus and 5 year on 3% plus....

BUt since brand new property there is a staggered payment where 1st few years installment will be low then when 4th and 5th year hits your monthly is SUPER high...

Just wonder whats the best option for buying BRAND new property..any bro care to share...

[lifeline]

sounds like you are preparing to buy a property !

my friends are getting the variable rates cos it gives more flexibility with repayment anytime and free conversion; unlike sibor types which are fixed and allows free conversion only at top. also, get a few friends to combine the loans and submit together for better rates.

[radha08]

sounds like you are preparing to buy a property !

my friends are getting the variable rates cos it gives more flexibility with repayment anytime and free conversion; unlike sibor types which are fixed and allows free conversion only at top. also, get a few friends to combine the loans and submit together for better rates.

was looking at some of the new devts cos resale looks like no hope...then i realised about the finacing part....with the progressive payment thing for new properties...

[stiook]

Whats the best package to take if buying a BRAND new property...i noticed those type of variable package first 3 years interest average 1 plus % then 4 th year 2 plus and 5 year on 3% plus....

BUt since brand new property there is a staggered payment where 1st few years installment will be low then when 4th and 5th year hits your monthly is SUPER high...

Just wonder whats the best option for buying BRAND new property..any bro care to share...

Hope you have found what you are looking for...

I thought the repayment will only start after all the disbursement made? Did not do research on this.

[radha08]

sounds like you are preparing to buy a property !

my friends are getting the variable rates cos it gives more flexibility with repayment anytime and free conversion; unlike sibor types which are fixed and allows free conversion only at top. also, get a few friends to combine the loans and submit together for better rates.

ya i just did a print out using an online calculator....based on ocbc rate of 3.75% for 4th year onwards the mortgage is scaring if u buy a 1mil property...

[Sleepyhead]

I thought the repayment will only start after all the disbursement made? Did not do research on this.

Huh? Definitely not true! Which bank is willing to give you interest free loan like that? Please recommend?

Repayment begins the moment the bank disburses even the first dollar to the developer.

[radha08]

Hope you have found what you are looking for...

I thought the repayment will only start after all the disbursement made? Did not do research on this.

still looking....but find it a bit complicated for brand new property got this progressive payment thing need to pay small amount when foundation completed then followed by higher payment after that...

i just feel like first 3 years your interest is low but ur payment is small then when come 4th 5th year interest higher but you need to pay higher for your monthly installment...

[ikan bilis]

Whats the best package to take if buying a BRAND new property...i noticed those type of variable package first 3 years interest average 1 plus % then 4 th year 2 plus and 5 year on 3% plus....

BUt since brand new property there is a staggered payment where 1st few years installment will be low then when 4th and 5th year hits your monthly is SUPER high...

Just wonder whats the best option for buying BRAND new property..any bro care to share...

later another CMxx come and cannot switch loan then hor ??....

mine 1.5%+SOR 3rd year onwards me already complain expensive...

[radha08]

later another CMxx come and cannot switch loan then hor ??....

mine 1.5%+SOR 3rd year onwards me already complain expensive...

nowadays really must worry about new cm....sianzzz

[ikan bilis]

you still eligible for EC or not ??....

[radha08]

you still eligible for EC or not ??....

cannot havent 30mths.....since i sold my pc...

[CondoWE]

cannot havent 30mths.....since i sold my pc...

Why must wait till 30mths?

[buttercarp]

Why must wait till 30mths?

That is the rule.
Must wait 30 months after selling private property before can apply for new EC.

[buttercarp]

Hi bro radha, for OCBC fixed loan ....
yes first 3 years very low interest rate less than 1%, but later it shoots up to 3-4 % (exactly how much, i can't remember).
You have one free conversion later.
But if you have cash and apf and you opt to use it to pay first, then the bank won't charge you anything.
Payment to bank starts when they give out the money to the developer.
For new property, you can check whether they have deferred payment scheme, but the selling price is usually higher.

[ikan bilis]

sis, deferred payment scheme boh liow.... one of the very old CM removed it... only EC can have deferred payment scheme....

[buttercarp]

sis, deferred payment scheme boh liow.... one of the very old CM removed it... only EC can have deferred payment scheme....

Some development still got.
Have to ask the developer.

[DC33_2008]

Have not sought for new home finance or refinancing for a while. This kind of package is really an obstacle to invest in properties.

Whats the best package to take if buying a BRAND new property...i noticed those type of variable package first 3 years interest average 1 plus % then 4 th year 2 plus and 5 year on 3% plus....

BUt since brand new property there is a staggered payment where 1st few years installment will be low then when 4th and 5th year hits your monthly is SUPER high...

Just wonder whats the best option for buying BRAND new property..any bro care to share...

[leftfield]

For new properties that are BUC, typically the first 3 years is SIBOR + 0.75%.

Fourth year thereafter, the spread starts to widen i.e. SIBOR + 1.25%

Then again, disbursement during the first 3 years is minimal, hence you don't really enjoy the savings even if you found one with a smaller spread.

So the package where the spread is the smallest for the 4th year onwards is key.

Other than that, the lock-in period, free changes of the interest rate package are considerations too.

[radha08]

Hi bro radha, for OCBC fixed loan ....
yes first 3 years very low interest rate less than 1%, but later it shoots up to 3-4 % (exactly how much, i can't remember).
You have one free conversion later.
But if you have cash and apf and you opt to use it to pay first, then the bank won't charge you anything.
Payment to bank starts when they give out the money to the developer.
For new property, you can check whether they have deferred payment scheme, but the selling price is usually higher.

tks will do that...

[carbuncle]

Bro bro, very simple for u case.

Just ignore the first 3 yrs rates. Focus on the one that gives u best 'thereafter' rate. I think now still got sibor+1.00 maybe?

[radha08]

Bro bro, very simple for u case.

Just ignore the first 3 yrs rates. Focus on the one that gives u best 'thereafter' rate. I think now still got sibor+1.00 maybe?

yup i know but seems like for variable rates package most of banks offer a package wherby the interest from 4th year onwards is 3% plus.....if you buy a 1 mil property with 800k loan monthly is $4k plus...that figure a bit scaring...really dont know if low interest enviroment can hold forever...some say yes some say no.....thats why so difficult for me to decide to buy...

[leftfield]

yup i know but seems like for variable rates package most of banks offer a package wherby the interest from 4th year onwards is 3% plus.....if you buy a 1 mil property with 800k loan monthly is $4k plus...that figure a bit scaring...really dont know if low interest enviroment can hold forever...some say yes some say no.....thats why so difficult for me to decide to buy...

Can't be lah. I just signed one a couple of weeks back. 4th year onwards is SIBOR + 1%. Monthly SIBOR now is about 0.3% so it's about 1%. Can't be 3 to 4 so high lah....

[newbie11]

For selected projects, For new properties that are BUC, the first 3 years is SIBOR + 0.75%. Fourth year thereafter, it is SIBOR + 1

OCBC provides conversion and repayments even durin lock in. No penalty if sell

[carbuncle]

Can't be lah. I just signed one a couple of weeks back. 4th year onwards is SIBOR + 1%. Monthly SIBOR now is about 0.3% so it's about 1%. Can't be 3 to 4 so high lah....

Ya lor. What kind of bank he go to??

Bank Of New Kingsland (BONK) issit...

[Emma]

yes, 3 to 4% seems quite high. for mine, from year 1 to 6, the interest is 1.1%plus to 1.6% plus, that is if sibor stays low.

Can't be lah. I just signed one a couple of weeks back. 4th year onwards is SIBOR + 1%. Monthly SIBOR now is about 0.3% so it's about 1%. Can't be 3 to 4 so high lah....

[radha08]

ocbc bank variable rate package based on 21 year loan for $800k for UNCOMPLETED new property 1 st year 1.08 2nd 1.18 3rd 1.38 fourth 2.65 and 5th year on 3.75 ...works out to $4k plus on 5th year onwards...

[buttercarp]

Ya lor. What kind of bank he go to??

OCBC variable rate housing loan is liddat one.

http://www.ocbc.com/personal-banking...iablerate.html

Actually I took it up .
So looks like have to convert on the 3rd year.

[Emma]

sometimes they have customised packages with better rates for selected new launches. so do check with any of the bankers from the main banks on available loan packages for their particular launch when you are at the showflat.

ocbc bank variable rate package based on 21 year loan for $800k for UNCOMPLETED new property 1 st year 1.08 2nd 1.18 3rd 1.38 fourth 2.65 and 5th year on 3.75 ...works out to $4k plus on 5th year onwards...

[carbuncle]

OCBC variable rate housing loan is liddat one.

http://www.ocbc.com/personal-banking...iablerate.html

Actually I took it up .
So looks like have to convert on the 3rd year.

Gee. The spreads have become quite shitty.

[lifeline]

ocbc bank variable rate package based on 21 year loan for $800k for UNCOMPLETED new property 1 st year 1.08 2nd 1.18 3rd 1.38 fourth 2.65 and 5th year on 3.75 ...works out to $4k plus on 5th year onwards...

friends' latest neg can go down to 1.05, 1.15, 1.30; still neg on the 3rd year with bundle loans going in together.

need to ensure that for all loans - best to make sure that loan kicks in from 1st disbursement and not from signing the loan package.