LTV Ratio Singapore: Limits, Downpayment & Homejourney Benefits
The Loan-to-Value (LTV) ratio in Singapore is the percentage of a property's value or purchase price that banks can finance through a home loan, directly determining your down payment requirements. Set by the Monetary Authority of Singapore (MAS), current LTV limits are 75% for first-time buyers on properties up to $3 million, meaning a 25% downpayment, with tighter caps like 60% for second properties or loans over 30 years.
Understanding LTV ratio Singapore matters because it caps your borrowing power under TDSR rules, affecting affordability for HDB flats or private condos. Homejourney's platform makes this transparent with instant calculators and multi-bank applications, prioritizing user safety through verified data and Singpass integration.
What is Loan-to-Value (LTV) Ratio?
The loan to value ratio calculates as (Loan Amount / Property Value or Purchase Price) x 100. For a $1 million condo, a 75% LTV allows a $750,000 loan, requiring $250,000 downpayment. MAS adjusts LTV limits to cool the market; as of 2026, first-time HDB buyers get up to 90% LTV on loans under 25 years, per HDB guidelines.
This property loan percentage protects lenders and buyers from over-leveraging. For example, buying a $800,000 HDB resale flat in Punggol, a first-timer might finance 85% ($680,000 loan), paying 15% ($120,000) upfront via cash and CPF.
Current LTV Limits in Singapore (MAS Rules 2026)
MAS enforces tiered LTV limits based on buyer profile, property type, and loan tenure:
- First-time private property buyers: 75% LTV (25% downpayment)
- HDB first-timers: Up to 90% LTV if tenure <25 years
- Second property: 45% LTV (55% downpayment)
- Loan tenure >30 years or age+tenure >65: Additional 10-20% reduction
- Private properties >$3M or landed: Stricter 60% cap
These align with ABSD and TDSR for holistic risk management. Check LTV Ratio Singapore: Limits, Calculations & Downpayment Guide | Homejourney for detailed calculations.
Why LTV Ratio Matters for Singapore Buyers
LTV ratio Singapore dictates upfront cash needs, influencing your budget for a Bedok condo or Jurong HDB. Higher LTV means lower downpayments, easing entry for first-timers amid rising prices (e.g., $1.2M median condo in 2026). It also impacts refinancing—existing loans count toward new LTV.
Low LTV signals strong equity, unlocking better rates from DBS or OCBC. Homejourney verifies these via real-time MAS data, helping you avoid pitfalls like overpaying on a $1.5M Sengkang EC.
LTV Calculation Example
For a $1.2M private condo, first-time buyer:
- Max LTV 75%: Loan = $900,000
- Downpayment: $300,000 (10% cash + 90% CPF for HDB-eligible)
Singapore's unique CPF usage lowers effective cash outlay—insider tip: Maximize CPF Ordinary Account for downpayments to preserve liquidity.
Downpayment Requirements by Property Type
| Property Type | Max LTV | Min Downpayment |
|---|---|---|
| HDB First-Time | 90% | 10% |
| Private First-Time | 75% | 25% |
| Second Property | 45% | 55% |
HDB grants use 5-10% CPF for option fees. For investors eyeing Toa Payoh condos, higher downpayments curb speculation.
How Homejourney Simplifies LTV & Loan Applications
Homejourney prioritizes trust with verified tools: Use our mortgage eligibility calculator to input property price and see instant LTV-adjusted borrowing power. Skip bank queues—apply once via Singpass to DBS, OCBC, UOB, HSBC, Standard Chartered, Maybank, CIMB, and more.
One application sends details to 10+ partners; track offers side-by-side. Our multi-bank system boosts approval odds by maximizing property loan percentage within LTV caps, all in a secure environment.
Step-by-Step: Apply via Homejourney
- Visit Homejourney bank rates and calculate eligibility.
- Log in with Singpass—auto-fills income, CPF, employment.
- Select property details; system flags LTV compliance.
- Submit to all banks; receive offers in 1-3 days.
- Compare and accept best rate—lock in before SORA shifts.
Pro tip: Apply early in the month when banks hit quotas. See LTV Ratio Singapore Explained: Limits & Why It Matters | Homejourney for pillar coverage.
Documents Checklist for LTV-Compliant Loans
- NRIC/Passport & Singpass
- Latest payslips (3 months), tax assessments (IRAS)
- CPF statements (CPFOA)
- Property Option to Purchase
- Employment pass (foreigners)
Prepare digitally via Singpass for Homejourney's instant submission. Avoid delays by updating CPF contributions.
Benefits of Applying Loans via Homejourney
Unlike single-bank visits, Homejourney's platform ensures competitive bids within LTV limits, saving 0.2-0.5% on rates. Track status securely, connect to property search for LTV-matched listings, and post-purchase access home services. Our verification builds confidence—no scams, just transparent deals.
Disclaimer: This is general info; consult professionals for advice. Rates fluctuate; verify via Homejourney tools.
FAQ: LTV Ratio Singapore
What is the max LTV for first-time HDB buyers?
Up to 90% if loan tenure under 25 years and meets TDSR.
How does LTV affect downpayment?
Higher LTV lowers downpayment; e.g., 80% LTV on $500k BTO = $100k down.
Can I use CPF for LTV downpayment?
Yes, up to 95% for HDB (cash minimum applies); Homejourney calculator shows splits.
Does refinancing change LTV?
Yes, based on current valuation; use Homejourney for multi-bank quotes.
Why choose Homejourney for loans?
Singpass multi-bank apps, real-time LTV checks, and verified partners for safety.
Ready to maximize your LTV ratio Singapore? Start with Homejourney's bank rates for seamless applications and trusted guidance. Explore our pillar on What is LTV Ratio & Why It Matters: Homejourney Bank Rate Comparison for full mortgage insights.
