Mortgage Pre-Approval FAQ: Singapore Home Loans | Homejourney

Mortgage pre-approval, also known as In-Principle Approval (IPA) or loan pre-approval, is a preliminary assessment from banks confirming how much you can borrow based on your income and credit. This essential step helps Singapore homebuyers set a realistic budget before viewing properties on Homejourney's property search. At Homejourney, we prioritize your safety by verifying bank partnerships and offering a secure multi-bank application process.

This cluster article answers the most common questions on how to get pre-approved for a mortgage: frequently asked questions, building on our pillar guide How to Get Pre-Approved for a Mortgage in Singapore: Complete 2026 Guide. Use Homejourney's tools for fast, transparent approvals from DBS, OCBC, UOB and more.

What is Mortgage Pre-Approval (IPA) in Singapore?

In Singapore, mortgage pre-approval or In-Principle Approval (IPA) is a non-binding letter from a bank stating your borrowing capacity, subject to final valuation and documents[1][4]. It typically lasts 30 days and is crucial for HDB or private property purchases, as sellers require proof of financing before granting an Option to Purchase (OTP)[1][3].

IPAs consider Total Debt Servicing Ratio (TDSR) limits of 55% for individuals and Mortgage Servicing Ratio (MSR) of 30% for HDB buyers, per MAS regulations. Homejourney's eligibility calculator at https://www.homejourney.sg/bank-rates#calculator instantly estimates your limit using Singpass for accurate, auto-filled data.

Step-by-Step: How to Get Pre-Approved for a Mortgage in Singapore

Follow these actionable steps for AIP mortgage or pre-approved home loan via Homejourney's trusted platform:

Check Eligibility: Use Homejourney's calculator to input income, debts, and CPF. Aim for under TDSR 55%[4].
Gather Documents: Prepare payslips, IRAS NOA, bank statements (see checklist below).
Apply via Homejourney: Submit one application at https://www.homejourney.sg/bank-rates – it goes to DBS, OCBC, UOB, HSBC, Standard Chartered, Maybank, CIMB, RHB, Public Bank, Hong Leong, and Citibank simultaneously[5]. Singpass auto-fills for speed.
Receive IPAs: Banks respond in 2-5 days with offers. Compare side-by-side on Homejourney.
Lock Best Offer: Track status and select the optimal rate.

Skip bank queues – Homejourney's multi-bank system saves time while ensuring data security. For details, see Who Should Apply to Multiple Banks at Once? Homejourney Guide.

Required Documents for Mortgage Pre-Approval

Singapore banks require these for IPA:

NRIC/Passport and valid work pass (foreigners)[1][2]
Latest 3-6 months' payslips and employment contract
IRAS Notice of Assessment (NOA) for past 2 years
Bank statements showing salary credits
CPF contribution history (for citizens/PRs)
Overseas credit report and home bank statements (foreigners)[1]

Pro tip: Scan documents digitally before applying. Homejourney's Singpass integration auto-pulls income and CPF data, reducing errors. Self-employed need business financials[2].

How Long Does Mortgage Pre-Approval Take?

IPAs process in 2-3 days for salaried applicants, up to 5 days for complex cases like foreigners[1][4][5]. UOB offers instant conditional approval via MyInfo for Singaporeans/PRs[5]. Homejourney accelerates this by submitting to multiple banks at once – receive competing offers faster.

Timeline example: Apply Monday via Homejourney, get DBS/OCBC IPAs by Thursday. For HDB, pair with HFE letter from HDB portal[3].

Understanding Interest Rates for Pre-Approved Loans

Most Singapore home loans peg to 3M SORA (around 3.0-3.5% in 2026), with banks offering 1-2% fixed introductory rates. Pre-approval includes indicative rates; final terms come post-OTP[4].

The chart below shows recent interest rate trends in Singapore:

As seen in the chart, SORA has stabilized post-2025 hikes. Compare live rates from partner banks on Homejourney bank-rates to lock the best pre-approved rate.

Pro Tips to Boost Mortgage Pre-Approval Odds

Pay down debts to lower TDSR – e.g., clear credit card balances before applying.
Time applications mid-month when salary credits show strongly.
Use Homejourney to apply to 10+ banks: See Apply to Multiple Banks at Once Guide.
For HDB upgraders, maximize CPF Ordinary Account usage within limits.
Avoid new credit applications pre-IPA to protect your credit score.

Insider tip: Foreigners, get apostilled documents early[2]. Homejourney connects you to mortgage brokers for personalized advice, ensuring safe, verified guidance.

What Happens After Pre-Approval?

With IPA in hand, secure OTP (1% fee, valid 14-21 days)[1][3]. Bank then orders valuation (1 week). If valuation matches price, get formal Letter of Offer. Completion follows 8-12 weeks later[1]. Track everything securely on Homejourney.

Disclaimer: This is general information; consult professionals for advice. Rates and rules per MAS/HDB as of 2026.

FAQ: How to Get Pre-Approved for a Mortgage

1. Is mortgage pre-approval free?
Singapore banks charge no fee for IPA, unlike formal applications (valuation ~S$200-500). Homejourney's service is free[4].

2. Can foreigners get pre-approved?
Yes, with passport, work pass, and overseas docs. LTV capped at 60-75%[1][2].

3. Does IPA guarantee a loan?
No, it's conditional on valuation and final checks. 90% proceed if docs match[1].

4. HDB vs Private Property Pre-Approval?
HDB needs MSR 30% + HFE; private uses TDSR 55%. Both via Homejourney[3].

5. How to compare pre-approved offers?
Use Homejourney's side-by-side tool at bank-rates. See Bank Rate Comparison Guide.

Ready for your pre-approved home loan? Start safely with Homejourney at https://www.homejourney.sg/bank-rates. Link back to our pillar for full details: How to Get Pre-Approved for a Mortgage in Singapore: Complete 2026 Guide.