LTV Ratio Singapore: Limits, Down Payments & Bank Rates Guide | Homejourney
The Loan-to-Value (LTV) ratio in Singapore is the percentage of a property's value or purchase price that banks or HDB can lend you, capping how much you can borrow to prevent over-leveraging.
Homejourney prioritizes your safety by verifying LTV rules from MAS and helping you compare real-time bank rates securely.
What is Loan-to-Value (LTV) Ratio?
LTV ratio calculates as (Loan Amount / Property Value or Purchase Price, whichever is lower) x 100. For example, on a S$500,000 condo valued at S$480,000, max LTV of 75% means a S$360,000 loan, requiring S$120,000 downpayment (5% cash minimum).
As of August 2024 cooling measures, both HDB and bank loans cap at 75% LTV for first-time buyers with no outstanding loans. This aligns HDB loans (down from 80%) with banks, per MAS guidelines.
A lower LTV means higher down payment requirements: 25% total for first properties (5% cash, 20% CPF/cash), rising to 55% for second properties.
LTV Limits MAS: Singapore-Specific Rules
MAS sets LTV limits based on outstanding loans, age, tenure, and property type:
- No outstanding loans: 75% LTV (5% cash downpayment) or 55% (10% cash).
- One outstanding loan: 45% or 25% LTV.
- Two or more: 35% or 15% LTV.
- Age + tenure >65 years or tenure >30/35 years: Further reduced LTV.
- Lease decay (e.g., <60 years left): Down to 60% or lower for collateral risk.
For HDB flats, bank loans offer higher LTV than HDB in some cases but face stricter MSR (30% income cap) vs TDSR (55% total debt) for private properties.
Homejourney's eligibility calculator at https://www.homejourney.sg/bank-rates#calculator factors these instantly.
Why LTV Ratio Matters for Singapore Buyers
High LTV increases down payment requirements minimally but raises MSR/TDSR, mortgage insurance needs, and potential rate surcharges. Lower LTV protects lenders but demands more upfront cash/CPF, impacting affordability.
For a S$1M resale HDB in Tampines, 75% LTV = S$750K loan; at 55% LTV = S$550K loan, S$200K more downpayment. Investors eyeing Sentosa Cove condos face tighter limits due to multiple properties.
Connects to our pillar: 新加坡房贷如何运作完整指南：Homejourney权威手册2026 ">Singapore Home Loan How It Works Complete Guide.
Current Bank Rates Comparison: LTV Impact
Banks like DBS, OCBC, UOB adjust effective rates based on LTV. Higher LTV (>60%) may add 0.2-0.5% spreads on SORA loans. Compare via Homejourney at https://www.homejourney.sg/bank-rates for DBS (SORA +0.6%, 2-3yr lock-in), OCBC (fixed 3.2% initial), UOB (board -1.5%).
HSBC, Standard Chartered offer competitive 75% LTV for first-timers; Maybank/CIMB suit investors with flexible tenures.
The chart below shows recent interest rate trends in Singapore:
As seen, 3M SORA hovers ~3.0% (Feb 2026), favoring fixed-rate locks from Public Bank or Hong Leong for stability.
Quick Bank Comparison Table (Feb 2026 Rates)
Rates from Homejourney real-time tracker; apply multi-bank via Singpass for best offers.
Actionable Steps: Maximize Your LTV on Homejourney
- Check eligibility: Use Homejourney calculator with income/debts for LTV/TDSR preview.
- Compare rates: View DBS vs OCBC at bank-rates; let banks compete.
- Boost LTV: Pay down debts, shorten tenure; avoid if age >60.
- Apply safely: One-click Singpass app to multiple banks, verified by Homejourney.
- Search budgeted properties: Filter via https://www.homejourney.sg/search.
Insider tip: For BTO in Punggol, aim 75% LTV pre-MOP; upgraders to Toa Payoh condos often hit 45% cap.
FAQ: LTV Ratio Singapore
What is the current LTV limit for first-time buyers in Singapore?
75% for both HDB and bank loans (5% cash downpayment), per MAS Aug 2024 measures.
How does LTV affect down payment requirements?
75% LTV = 25% down (5% cash); 55% = 45% down (10% cash). Use CPF for balance.
Can I get over 75% LTV?
No, unless grants offset for eligible HDB buyers; check Homejourney for details.
Which bank has best rates for high LTV loans?
Compare live on Homejourney bank-rates; UOB often leads for 75% LTV.
Disclaimer: Rates fluctuate; Homejourney provides tools, not financial advice. Consult professionals.
Ready to secure your best loan? Start with Homejourney's safe, verified comparison at https://www.homejourney.sg/bank-rates. Building trust one transparent loan at a time.
