Best Bank Refinancing Rates Comparison 2026

As of February 2026, Singapore's refinancing landscape offers unprecedented opportunities for homeowners seeking to reduce their mortgage costs. Floating-rate packages linked to SORA (Singapore Overnight Rate Average) are now available from as low as 1.14%, while fixed-rate options start from 1.30%—representing three-year lows that make refinancing financially compelling for many borrowers.[2] Whether you're holding an HDB loan at 2.6% or a bank mortgage locked at higher rates, understanding current refinancing rates and comparing offers across major banks is essential to maximizing your savings.

At Homejourney, we prioritize your financial safety and success by providing transparent, verified information to help you make confident refinancing decisions. This guide walks you through the current rate environment, shows you how to compare offers from Singapore's top banks, and explains the strategic timing that can save you thousands of dollars.

Understanding Current Refinancing Rates in Singapore

Refinancing means switching your mortgage from your current bank to another lender to secure better terms—typically a lower interest rate that reduces your monthly payments and total interest paid over the loan's remaining term.[1] This differs from repricing, where you negotiate a better rate with your existing bank without switching institutions.

The current rate environment favors borrowers. The most popular refinancing packages available in early 2026 include two-year fixed-rate loans at 1.48% with free conversion after the first year, and three-year fixed-rate options at 1.50%.[3] For those preferring floating rates, SORA-linked packages offer even lower starting points, with three-month SORA rates at 1.34%—the lowest in three years.[3]

The chart below shows recent SORA trends to help you understand how interest rates have moved and what this means for your refinancing decision:

This rate decline has triggered a refinancing wave, particularly among HDB flat owners. Since early 2025, more borrowers have switched from HDB's concessionary rate of 2.6% to bank loans, recognizing the substantial savings opportunity.[3] For example, refinancing a $400,000 HDB loan to a bank loan through POSB could generate approximately $3,600 in first-year savings alone.[3]

Top Banks Offering Refinancing Rates in 2026

Singapore's major banks are actively competing for refinancing customers, offering attractive rates and cash rebates to make the switch worthwhile. Here's what the leading institutions are providing:

DBS Bank – Offering competitive fixed-rate packages with flexible conversion options and cash rebates up to $2,800 for refinancing customers.[2]
OCBC Bank – Experiencing strong refinancing activity in 2025-2026, with popular two-year fixed packages and generous cash rebates.[3]
UOB (United Overseas Bank) – Providing competitive floating-rate and fixed-rate options with cash subsidies covering transaction costs.[2]
HSBC – Offering cash rebates of $2,300 for refinancing loans above $500,000.[2]
Standard Chartered – Providing $2,300 cash rebates and flexible loan features.[2]
Maybank, CIMB, RHB Bank, and others – Also competing with attractive rates and rebates to capture refinancing customers.[2]

Banks are offering cash rebates ranging from $2,000 to $2,800 for standard refinancing, with some providing up to $3,000 in additional rewards for loans exceeding $1 million.[2] These rebates are specifically designed to offset the legal fees, valuation costs, and other transaction expenses associated with switching banks, making refinancing more accessible.

How to Compare Refinancing Rates Effectively

Comparing refinancing offers requires looking beyond headline interest rates. Here's what you should evaluate when assessing banks:

Interest Rate Type – Decide between fixed-rate stability (protecting against future rate increases) and floating-rate potential savings (benefiting from current low SORA rates). Fixed rates lock in certainty; floating rates offer flexibility and lower initial costs.
Lock-in Period – Shorter lock-in periods (1-2 years) provide earlier flexibility to reprice or refinance again if rates improve further. Longer periods (3 years) offer more stability but less flexibility.
Free Conversion Options – Many banks now offer free conversion after 12, 24, or 36 months, allowing you to switch from fixed to floating rates without penalties if market conditions change.[2]
Cash Rebates and Subsidies – Compare the total cash benefits offered. For HDB properties with outstanding mortgages exceeding $250,000, many banks provide full subsidies for all refinancing fees, eliminating upfront costs.[1]
Monthly Payment Savings – Calculate your actual monthly payment reduction. A borrower who repriced with DBS from 3% to 1.6% saved approximately $500 monthly—a significant recurring benefit.[4]
Additional Features – Evaluate flexibility features like the ability to make additional payments, loan tenure adjustments, or access to credit lines.

Rather than visiting multiple bank branches, you can now compare refinancing rates from DBS, OCBC, UOB, HSBC, Standard Chartered, and other major banks in one place on Bank Rates . This streamlined approach saves time and ensures you're evaluating all available options simultaneously.

Fixed vs. Floating Rates: Which Refinancing Option Suits You?

Fixed-Rate Refinancing locks in a specific interest rate for a predetermined period (typically 2-3 years). Current fixed-rate packages start from 1.48% for two years and 1.50% for three years.[3] Fixed rates provide payment certainty and protect you if SORA rises unexpectedly. However, if rates fall further, you remain locked in at the higher rate.

Floating-Rate Refinancing ties your interest rate to SORA plus a bank spread. With three-month SORA currently at 1.34%, floating packages offer the lowest immediate costs.[3] If SORA continues declining, your payments decrease automatically. However, if rates rise, your monthly payments increase accordingly. Floating rates suit borrowers comfortable with payment variability and those planning to refinance again within 2-3 years.

The most popular strategy in 2026 combines both approaches: borrowers select a two-year fixed rate with free conversion after 12 months, allowing them to lock in current low rates while retaining the option to switch to floating rates if SORA drops further.[3]

Strategic Timing: When to Refinance in 2026

Timing significantly impacts refinancing benefits. Consider these factors:

Lock-in Period Expiration – The optimal refinancing window typically opens four months before your existing loan's renewal date.[1] This timing allows you to negotiate with your current bank or prepare documentation for switching to another lender without incurring early repayment penalties.

Loan Age – Financial advisors recommend considering refinancing once you reach the fourth year of your existing loan.[1] Many mortgage packages feature lower bank spreads for the first three years, then increase from year four onward. By refinancing at this inflection point, you avoid the rate jump and lock in better terms.

Interest Rate Environment – While SORA rates have already declined significantly to three-year lows, experts suggest further declines are likely modest given current macroeconomic conditions.[3] This means the bulk of rate benefits have materialized, but refinancing remains worthwhile for borrowers at higher rates. Refinancing activity is expected to remain healthy through mid-2026, then potentially moderate as borrowers who locked in at 3-4% in 2023-2024 complete their switches.[3]

HDB Loan Considerations – If you're currently paying HDB's 2.6% concessionary rate, the savings potential is substantial. However, once you refinance to a bank loan, you cannot switch back to an HDB loan in the future—making this a permanent decision worth careful consideration.[3]

Costs to Factor Into Your Refinancing Decision

While refinancing offers rate savings, several costs require evaluation to determine your break-even point:

Legal Fees – Typically $800-$1,500 depending on loan amount and complexity
Valuation Fees – Usually $300-$600 for property valuation
Clawback Charges – Some banks charge if you refinance before completing their promotional period
Administrative Fees – Processing and documentation costs

The good news: most banks now offer cash rebates ($2,000-$2,800) specifically designed to cover these costs, and many provide full subsidies for HDB refinancing.[1][2] This means you can refinance with zero upfront costs while capturing the interest savings.

To determine if refinancing makes financial sense for your specific situation, use How to Calculate If Refinancing is Worth It: Homejourney Guide which walks through the break-even calculation methodology with real examples.

Refinancing vs. Repricing: Making the Right Choice

Before refinancing to another bank, check if your current lender offers free repricing options.[1] Repricing allows you to switch to a different interest rate package within the same bank without switching institutions, avoiding legal and valuation fees entirely.

If your current bank offers competitive rates and free repricing, this route may deliver greater net savings despite a potentially slightly higher interest rate. However, if your bank's refinancing rates lag significantly behind competitors, switching banks becomes worthwhile despite the transaction costs.

For a detailed comparison of when each option makes sense, see Refinancing vs Repricing: Which is Better for Singapore Homeowners? Homejourney .

The Homejourney Advantage: Simplifying Your Refinancing

Refinancing traditionally required visiting multiple bank branches, collecting rate quotes, and comparing offers manually—a time-consuming process. Homejourney transforms this experience through technology designed with your safety and convenience in mind.

On our Bank Rates page, you can:

Compare refinancing rates from all major banks – View current offers from DBS, OCBC, UOB, HSBC, Standard Chartered, Maybank, CIMB, RHB Bank, and others in one transparent comparison
Calculate your refinancing savings instantly – Our refinancing calculator shows exactly how much you'll save monthly and over your loan's remaining term
Submit one application to multiple banks simultaneously – Instead of visiting each bank individually, submit your refinancing application once and receive competing offers from all major lenders
Use Singpass for instant verification – Auto-fill your application in seconds using Singpass/MyInfo integration, accelerating approval timelines
Track real-time SORA rates – Monitor live 3-month and 6-month SORA rates to time your refinancing decision perfectly
Connect with Homejourney Mortgage Brokers – Our mortgage specialists provide personalized guidance throughout the refinancing process, ensuring you understand every step and secure the best possible terms

This multi-bank comparison approach lets banks compete for your business, often resulting in better rates and terms than you'd negotiate individually. By centralizing the refinancing process, Homejourney prioritizes your safety through verified information, transparent comparisons, and expert guidance at every stage.

Step-by-Step Refinancing Process

Month 1-2: Preparation – Review your current loan documents, note your outstanding balance and remaining tenure, and gather recent payslips and tax returns. Check if your current bank offers free repricing as an alternative.

Month 2-3: Comparison – Compare refinancing rates across banks using Homejourney's Bank Rates platform. Calculate potential savings and identify your preferred options based on interest rates, lock-in periods, and conversion features.

Month 3-4: Application – Submit your refinancing application through Homejourney, leveraging Singpass for instant data verification. Receive competing offers from multiple banks and review terms carefully.

Month 4-5: Documentation – Provide required documents (recent payslips, tax returns, property documents, insurance details). Most banks complete valuation and legal reviews within 2-3 weeks.

Month 5-6: Completion – Review final loan documents, sign agreements, and complete the transfer. Most refinancing completes within 4-6 weeks from application to fund disbursement.

Frequently Asked Questions About Refinancing Rates

Q: Is refinancing worth it if I'm only saving $100-200 monthly?
A: Yes, if the break-even point (when accumulated savings exceed refinancing costs) occurs within 12-18 months. A $150 monthly saving equals $1,800 annually—enough to offset most refinancing costs. Calculate your specific break-even using How to Calculate If Refinancing is Worth It: Homejourney Guide .

Q: Can I refinance if I have an outstanding HDB loan?