Bridging Loan for Property Purchase Explained: Bank Rate Comparison Guide
A bridging loan Singapore is a short-term bridge loan property financing option that covers the gap when buying a new home before selling your current one, typically lasting up to 6 months with rates around 4-6% p.a.[1][2]
Homejourney prioritizes your safety by verifying rates from major banks like DBS, OCBC, and UOB, helping you compare bridging finance options transparently. This cluster article dives into bank-specific rates and steps, linking back to our comprehensive Singapore bridging loans pillar guide for full coverage.
What is a Bridging Loan in Singapore?
Bridging loan Singapore funds your new property purchase—often the downpayment—while awaiting sale proceeds from your old home. It's ideal for HDB upgraders or private property investors facing timing gaps.[1][2]
Banks cap loans at 75% LTV for private properties (85% for HDB), with the rest covered by your sale proceeds. Interest is typically pegged to Prime Rate, 3M SORA + spread, or 4-6% p.a., and you pay only interest monthly or capitalize it until repayment.[1][3]
At Homejourney, use our bank rates page to see real-time short term property loan comparisons across DBS, OCBC, UOB, HSBC, and more—ensuring you get the best deal safely.
Key Factors Before Applying for Property Bridge Loans
Assess your old property's market value realistically to avoid shortfalls—overestimation risks default. Check loan tenure (up to 6-12 months) and ensure monthly interest fits your budget if sale delays.[1][2][4]
Eligibility requires Singapore Citizens/PRs/foreigners selling a property, good credit, Option to Purchase (OTP), CPF statements, and outstanding loan details. Foreigners get up to 75% LTV for first loans.[2][5]
Two types exist: Capitalised Interest (no repayments until sale, interest accrues) vs. Simultaneous Repayment (pay both new home loan and bridge).[2] Homejourney's eligibility calculator at https://www.homejourney.sg/bank-rates#calculator helps you test scenarios instantly.
Current Bridging Loan Rates: Major Singapore Banks (2026)
Rates fluctuate with SORA trends; expect 4-6% p.a. for most. Homejourney tracks live updates—compare DBS vs. OCBC vs. UOB below for property bridge options.
- DBS Bank: Prime Rate pegged (est. 5-5.5% p.a.), up to 6 months, all properties. Strong for HDB resale.[1]
- OCBC Bank: 4-5% p.a., 6 months, principal repaid via cash/CPF post-sale. Fast approval for upgraders.
- UOB: 4-5% p.a., up to 6 months, all types. Min. S$450k for private loans; quick disbursement (1-3 weeks).[1][5]
- HSBC: Competitive SORA + spread (est. 4.5-5.5%), suits investors.
- Standard Chartered: 3M SORA +2.50% p.a. for HDB (no processing fees, no instalments).[3]
- Maybank/CIMB/RHB/Public/Hong Leong/Citibank: 5-6% p.a., 6 months, HDB/private focus. Best for foreigners via collateral.[6]
The chart below shows recent interest rate trends in Singapore:
As seen in the chart, SORA stability favors locking rates now. Visit https://www.homejourney.sg/bank-rates for precise, verified 2026 rates—let banks compete for your business.
Bank Rate Comparison Table
| Bank | Rate (p.a.) | Tenure | Fees | Best For |
|---|---|---|---|---|
| DBS | Prime (~5%) | 6 months | Low | HDB |
| OCBC | 4-5% | 6 months | Standard | Upgraders |
| UOB | 4-5% | 6 months | Low | Private |
| Standard Chartered | 3M SORA +2.5% | 6 months | None | HDB |
*Rates as of 2026; verify on Homejourney. Pros: SC's no-fee model saves costs. Cons: Higher rates than standard loans. Always calculate via our tool.
Actionable Steps to Secure Bridging Finance
- Verify Eligibility: Use Homejourney's calculator at https://www.homejourney.sg/bank-rates#calculator with income, property values.
- Compare Rates: Check https://www.homejourney.sg/bank-rates for multi-bank views.
- Gather Docs: OTP, CPF statements, sale listing. Apply via Singpass on Homejourney for auto-fill.
- Submit Multi-Bank App: One form gets offers from DBS, UOB, etc.—banks compete.
- Monitor Sale: List on https://www.homejourney.sg/search for trusted buyers.
Insider tip: Time applications post-OTP exercise; approvals take 1-3 weeks. For boosts, read our Bridging Loan Singapore: Boost Approval Odds for Property Buys | Homejourney . Disclaimer: Rates change; consult Homejourney brokers. Not financial advice.
Homejourney: Your Safe Path to Bridging Loans
Homejourney builds trust with verified data, Singpass integration, and multi-bank submissions—reducing paperwork and risks. Post-purchase, explore Aircon Services for maintenance or Projects for investments.
FAQ: Bridging Loan Singapore
How much can I borrow for a bridging loan?
Up to 25% of new property price (beyond LTV), covered by old property proceeds.[2]
What are typical bridging loan rates in 2026?
4-6% p.a., e.g., 3M SORA +2.5% at SC. Compare on Homejourney.[1][3]
Is bridging loan safe for HDB upgrades?
Yes, if sale is realistic. Use our pillar guide and calculator for confidence.
Can foreigners get property bridge loans?
Yes, up to 75% LTV with collateral.[5][6]
How to apply via Homejourney?
Visit https://www.homejourney.sg/bank-rates, use Singpass, get multi-bank offers.
Ready for secure bridging loan for property purchase explained: bank rate comparison guide? Start at Homejourney's bank rates page today. Link back to our pillar for full insights.
