How to Get Pre-Approved for a Mortgage: Bank Rate Comparison Guide | Homejourney
Mortgage pre-approval, also known as In-Principle Approval (IPA) or loan pre-approval, is your first step to securing a home loan in Singapore. It gives you a clear borrowing limit based on your finances, helping you shop confidently for properties on Homejourney's property search. This cluster guide focuses on actionable steps for IPA and comparing bank rates from DBS, OCBC, UOB, and more, linking back to our pillar on Singapore home financing.
Why Get Mortgage Pre-Approval Before House Hunting?
Homejourney prioritizes your safety by recommending IPA first. Sellers and agents take pre-approved buyers seriously, reducing competition risks. An IPA, valid for 30 days, confirms your eligibility under TDSR (Total Debt Servicing Ratio) and MSR (Mortgage Servicing Ratio) rules from MAS. For HDB buyers, it's essential via HFE letters; private property seekers need it before OTP.
Without IPA, you risk overbidding beyond your loan limit if valuation falls short. Real example: A buyer targeting a $1.2M Sengkang HDB flat got IPA for $900K max loan, avoiding a cash top-up shock. Use Homejourney's mortgage eligibility calculator to estimate yours instantly.
Step-by-Step: How to Get Pre-Approved for a Mortgage in Singapore
Follow these 5 actionable steps for fast IPA on Homejourney:
- Gather Documents: Passport/work pass, last 3-6 months payslips, IRAS NOA (past 2 years), bank statements, employment letter. Self-employed need business docs. Foreigners add overseas credit reports[1][2].
- Check Eligibility: Use Homejourney's calculator at https://www.homejourney.sg/bank-rates#calculator for TDSR (debt <60% income) and LTV (up to 75-90% for first-timers).
- Compare & Apply: Submit via Homejourney's multi-bank system at https://www.homejourney.sg/bank-rates using Singpass for auto-fill. Get offers from DBS, OCBC, UOB simultaneously[4].
- Await IPA: 2-5 days for salaried; UOB offers same-day online[7]. Valid 30 days.
- Lock Rates: Review Letter of Offer post-OTP for formal approval after valuation ($50-700 fee)[4].
Pro tip: Apply to multiple banks via Homejourney to let them compete—see Apply to Multiple Banks at Once: Homejourney's Complete Singapore Guide.
Singapore Bank Rate Comparison: SORA, Fixed & More (2026 Rates)
Most loans peg to 3M SORA (~2.8% as of Jan 2026) + spread (0.5-1.0%). Fixed rates offer stability; board rates suit refinancers. Compare real-time on Homejourney bank rates.
The chart below shows recent interest rate trends in Singapore:
SORA rates have stabilized post-2025 hikes, averaging 2.75-2.90%. Fixed deposits yield 2.5-3.2% for 1-3 year lock-ins. Always verify latest via Homejourney for accuracy.
Quick Bank Comparison Table (Sample 2026 Rates)
| Bank | SORA Pledged (3M + Spread) | Fixed 2-Year | Lock-in | Best For |
|---|---|---|---|---|
| DBS | 2.85% (0.6% spread) | 2.90% | 2 yrs | First-timers |
| OCBC | 2.80% (0.5% spread) | 2.85% | 1-3 yrs | Refinancers |
| UOB | 2.82% (0.55% spread) | 2.88% | 2 yrs | Fast IPA |
| HSBC | 2.90% (0.65% spread) | 2.95% | 3 yrs | Expats |
| Standard Chartered | 2.88% (0.6% spread) | 2.92% | 2 yrs | Investors |
Rates exclude fees (0.5-1% processing). DBS leads for low spreads; OCBC for flexible tenures. Full list (incl. Maybank, CIMB, RHB) on Homejourney. Rates fluctuate—check daily[1][4].
Pros, Cons & Who Each Bank Suits
- DBS: Pros: Largest network, app integration. Cons: Higher penalties. Best for HDB upgraders.
- OCBC: Pros: Competitive fixed rates, quick processing. Cons: Stricter self-employed checks. Ideal for families.
- UOB: Pros: Instant IPA, foreigner-friendly[7]. Cons: Average customer service. Great for speed.
- HSBC/StanChart: Pros: Global support. Cons: Higher rates. For expats in Orchard/CBD.
- Maybank/CIMB/RHB: Pros: Promo rates. Cons: Limited branches. Budget investors.
Homejourney verifies rates from MAS-approved sources, ensuring trust. Compare all 11 partners instantly.
Homejourney's Edge: Safe, Multi-Bank Pre-Approval
Skip single-bank hassles—use Homejourney at https://www.homejourney.sg/bank-rates. Singpass auto-fills docs for 50% faster approvals. Receive competing offers, pick the best. Post-approval, search budget-matched properties on Homejourney property search. Our brokers guide without bias, prioritizing your security.
Disclaimer: Rates approximate Jan 2026; consult professionals. Homejourney provides info, not advice.
FAQ: Mortgage Pre-Approval in Singapore
How long does IPA take?
2-5 business days; UOB same-day online[7]. Homejourney speeds it via multi-bank apps.
Can I apply to multiple banks?
Yes—recommended. No credit impact. See Who Should Apply to Multiple Banks at Once? Homejourney Guide.
What if valuation is low?
Bank lends lower amount; top up cash[1]. Pre-approve early to avoid surprises.
Foreigner eligibility?
Yes, up to 60% LTV with docs like work pass, NOA[1][2].
How to compare rates?
Visit Homejourney bank rates for live SORA updates.
Ready for pre-approval? Start on Homejourney today—compare rates, calculate eligibility, and apply safely. For full financing details, read our pillar guide on Singapore home loans.
