How to Apply for a Home Loan Singapore Step by Step: Bank Rate Comparison Guide
To apply for a home loan in Singapore, start with an In-Principle Approval (IPA), compare bank rates like DBS, OCBC and UOB on Homejourney's bank rates page, gather documents, submit your formal application, and secure final approval before completion. This home loan application steps guide simplifies the mortgage application process for HDB or private property buyers, helping you apply for housing loan confidently while prioritizing safety and trust at Homejourney.
At Homejourney, we verify rates in real-time and let banks compete for your business, ensuring you get the best deals securely via Singpass. This cluster article focuses on actionable steps and bank comparisons, linking back to our pillar guide on How to Apply for Home Loan Singapore: Step-by-Step Guide | Homejourney ">How to Apply for Home Loan Singapore: Step-by-Step Guide for full coverage.
Step 1: Check Eligibility and Get In-Principle Approval (IPA)
Begin by assessing your borrowing power under TDSR (Total Debt Servicing Ratio) at 55% of gross income and MSR (Monthly Servicing Ratio) for HDB at 30%. Use Homejourney's free mortgage eligibility calculator to input your income, debts, and property price for instant results. Singapore citizens can borrow up to 90% LTV for first HDB flats; private properties cap at 75% for loans under S$1.5M.
Apply for IPA online via banks or Homejourney's multi-bank system. It takes 1-3 days and shows your max loan amount. Required: NRIC, latest payslips (3 months), IR8A, bank statements, and CPF history. Foreigners need passports and employment passes, facing 60% ABSD on private properties.[1][3]
Insider tip: Time your IPA before Option to Purchase (OTP) expiry; it strengthens negotiations. Homejourney auto-fills via Singpass for faster processing.
Step 2: Compare Bank Rates and Packages
Key to get mortgage Singapore is comparing SORA-based (Singapore Overnight Rate Average), fixed, or board rates. As of January 2026, 3M SORA hovers around 3.0-3.2%; banks add spreads of 0.5-1.0% for effective rates of 3.5-4.2%. Lock-in periods (2-3 years) offer stability but penalties up to 1.5% on prepayment.
The chart below shows recent interest rate trends in Singapore:
Rates have stabilized post-2025 peaks, per MAS data. Use Homejourney bank rates for live comparisons across DBS (strong digital tools), OCBC (flexible refinancing), UOB (HDB specialist, min S$450K loans[2]), HSBC (expat-friendly), and others like Maybank, CIMB.
| Bank | Key Package | Effective Rate (Jan 2026) | Best For |
|---|---|---|---|
| DBS | SORA + 0.65% | 3.85% | Digital users[6] |
| OCBC | Fixed 2-yr 3.8% | 3.80% | Refinancers[5] |
| UOB | SORA Pibor 3.75% | 3.75% | HDB buyers[2] |
| HSBC | SORA + 0.70% | 3.90% | Expats |
Submit one application on Homejourney to receive competing offers. Disclaimer: Rates fluctuate; verify on Homejourney. Not financial advice; consult professionals.
Step 3: Gather Documents and Submit Formal Application
After OTP and bank valuation (S$500-1,000 fee), submit full docs: OTP/Sale & Purchase Agreement, HDB info (if applicable[4]), 2-year tax assessments, CPF statements. Self-employed need NOA and business proofs. Processing: 2-4 weeks.[1][2][4]
- Login to bank portal or Homejourney: Use Singpass for auto-fill.
- Upload docs: Payslips, bank statements (3-12 months), credit report.
- Property details: Valuation report, insurance.
- Sign LO: Review rates, tenure (up to 30/35 years age-adjusted).
Homejourney connects you to DBS, OCBC, UOB, Standard Chartered, Maybank, CIMB, RHB, Public Bank, Hong Leong, Citibank—letting them bid for your loan.
Step 4: Legal Completion and Disbursement
Upon approval, pay stamp duties (BSD 1-6%), lawyer fees (S$2-3K). Funds disburse at key collection. Track via digibank apps (DBS excels here[6]). For refinancing, compare penalties; OCBC allows S$5K+ prepays with fees.[5]
Pro tip: Search budget-matched properties on Homejourney property search post-IPA. Maintain trust with verified data—Homejourney prioritizes your security.
Bank Comparison: Pros, Cons and Who Wins
- DBS: Pros: Seamless online, min S$100K[6]. Cons: Higher spreads. Best for tech-savvy first-timers.
- OCBC: Pros: Easy repricing[5]. Cons: S$500 fees. Ideal for upgraders.
- UOB: Pros: Promotions up to S$1,500K loans[2]. Cons: Higher mins. Great for private properties.
- Others (HSBC, Maybank etc.): Expat perks, competitive SORA; compare all on Homejourney.
See How to Apply for Home Loan Singapore Step by Step: Boost Approval Odds | Homejou... ">boost approval odds guide for tips.
FAQ: How to Apply Home Loan Singapore
Q: How long for home loan approval?
A: IPA: 1-3 days; full: 2-4 weeks.[1]
Q: What's better, fixed or SORA?
A: Fixed for stability (2-3 yrs); SORA for flexibility post-lock-in. Track on Homejourney.
Q: Can foreigners apply?
A: Yes, with income proof and good credit; higher ABSD.[1][3]
Q: How to refinance?
A: Compare rates on Homejourney bank-rates; apply multi-bank.
Q: Documents for HDB loan?
A: HDB flat info, CPF history, payslips.[4]
Ready to how to apply home loan? Visit Homejourney bank rates for comparisons, calculators, and Singpass applications. Connect with our mortgage brokers for personalized help in a trusted space. Explore properties at property search and link to our pillar guide for more.
