OCBC Home Loan Review: Current Rates and Fees Explained
OCBC Bank offers competitive home loan packages for both HDB and private property purchases, with current rates ranging from 1.4% to 1.8% for fixed-rate loans depending on loan quantum[1]. As one of Singapore's leading financial institutions, OCBC provides flexible financing options designed to help homeowners manage their monthly repayments while building equity in their properties. This review breaks down OCBC's home loan offerings, current pricing, fees, and how they compare to market alternatives—helping you make an informed decision about your mortgage choice.
At Homejourney, we prioritize your financial safety and trust by verifying all rates and terms directly from banks. We understand that choosing a home loan is one of the most significant financial decisions you'll make, which is why we've created this transparent guide to help you evaluate OCBC's offerings against other major lenders.
Understanding OCBC's Home Loan Products
OCBC Bank offers both fixed-rate and floating-rate home loan packages for HDB and private property purchases[3]. Fixed-rate loans lock in your interest rate for a predetermined period (typically 2-5 years), providing payment stability and budgeting certainty. Floating-rate loans, typically priced off the 3-month Compounded SORA benchmark, fluctuate with market conditions but often start at lower rates.
In 2025, OCBC saw strong customer preference for fixed-rate packages, with four in five customers choosing fixed options over floating rates[1]. This reflects homeowners' desire for predictable monthly payments, especially in an environment where interest rate movements can significantly impact affordability.
OCBC also offers repricing options, allowing existing customers to switch their loan packages without penalty during rate increase exercises[2]. This flexibility is particularly valuable when market conditions shift, as demonstrated by the recent wave of refinancing activity across Singapore's banking sector.
Current OCBC Home Loan Rates (February 2026)
OCBC's current fixed-rate packages range from approximately 1.4% to 1.8% depending on your loan amount, with rates having declined significantly from the 3.1% levels seen at the start of 2025[1]. These rates represent some of the most competitive pricing available in Singapore's mortgage market, reflecting the broader downward trend in interest rates driven by expectations for lower US Federal Reserve rates.
The chart below shows recent interest rate trends in Singapore to help you understand how OCBC rates fit into the broader market context:
For borrowers considering a switch from HDB concessionary loans (currently at 2.6%), the savings can be substantial. OCBC reported that homeowners with a S$500,000 loan could save up to S$4,100 annually by switching to a five-year fixed rate package[1]. This represents a genuine opportunity for HDB owners to reduce their debt servicing costs.
OCBC also offers promotional packages periodically, particularly during competitive periods like the first quarter of each year. These may include legal subsidies, cash rebates, or bill payment incentives designed to attract new borrowers and refinancing customers.
OCBC Home Loan Fees and Charges
Understanding the full cost of your home loan requires looking beyond the interest rate to include associated fees and charges. OCBC's fee structure includes several key components:
- Prepayment Fees: If you repay your loan during the lock-in period, OCBC charges a prepayment fee of 1.50% of the loan amount being repaid[2]. However, this fee is waived during rate increase exercises, giving customers flexibility to reprice without penalty.
- Repricing Administrative Fees: When changing your pricing package, OCBC charges no administrative fee, making it straightforward to switch between fixed and floating rates or adjust your lock-in period[2].
- Legal and Valuation Fees: While not directly charged by OCBC, borrowers should budget for legal fees (typically S$1,000-S$1,500) and property valuation fees (S$300-S$600) when taking out a new loan or refinancing.
- Partial Repayment Minimum: The minimum partial repayment amount is S$5,000, with no fee for repayments outside the lock-in period[2].
When refinancing to OCBC from another bank, you'll also incur discharge fees from your current lender (typically S$50-S$100) and registration fees with the Land Titles Registry. Homejourney's mortgage brokers can help you understand the full cost of refinancing and determine whether the interest savings justify the switching costs.
Fixed vs. Floating Rate: Which OCBC Option Suits You?
OCBC's fixed-rate packages provide payment certainty—your monthly instalment remains unchanged throughout the lock-in period, making budgeting predictable. This appeals to homeowners who prefer stability and want to protect themselves against potential rate increases. With current fixed rates at 1.4-1.8%, you're locking in historically low rates.
Floating-rate packages, typically priced off 3-month Compounded SORA, start lower but adjust as the benchmark changes. SORA has fallen from 3% in early January 2025 to 1.2% by December, though experts suggest it may have found a floor[1]. Floating rates suit borrowers with higher risk tolerance who believe rates will remain stable or fall further, or those planning to sell or refinance within a few years.
Most OCBC customers (80%) choose fixed rates, reflecting the preference for budgeting certainty over potential short-term savings[1]. If you're a first-time buyer or plan to stay in your property for 5+ years, OCBC's fixed packages offer compelling value at current rates.
OCBC's Market Position and Competitive Advantages
OCBC has established itself as a major player in Singapore's home loan market, particularly among HDB upgraders. The bank saw a sevenfold increase in customers switching from HDB loans to OCBC bank financing in the first 11 months of 2025[1], demonstrating strong market traction and customer confidence.
Key advantages of OCBC home loans include:
- Competitive fixed rates among Singapore's major banks
- Flexible repricing options with no administrative fees
- Strong demand for fixed packages, indicating stable product offerings
- Significant savings potential for HDB upgraders (up to S$4,100 annually)
- Responsive customer service with dedicated home loan specialists
However, OCBC is not the only competitive option. DBS, UOB, HSBC, and Standard Chartered also offer attractive rates and packages. To ensure you're getting the best deal, compare OCBC's offerings with other major banks using Bank Rates on Homejourney, where you can see real-time rates from all major lenders in one place.
How Much Can You Borrow from OCBC?
Your borrowing capacity depends on several factors including your income, existing debts, and the property value. Singapore's banking regulator (Monetary Authority of Singapore) limits home loan amounts to 75% of the property value for owner-occupied properties, or 60% for investment properties. Additionally, your total debt servicing ratio (TDSR) cannot exceed 60% of your gross monthly income.
Use Homejourney's mortgage eligibility calculator to determine how much you can borrow from OCBC and other banks. This free tool factors in your income, existing obligations, and property value to give you an accurate borrowing range—helping you understand your financial position before applying.
OCBC Home Loan Application Process
OCBC's application process is straightforward, though processing times typically range from 2-4 weeks. Required documents include:
- Identity card and proof of residence
- Last 3 months of payslips and employment letter
- Last 2 years of income tax returns (for self-employed applicants)
- Bank statements (last 3 months)
- Property purchase agreement or valuation report
- CPF statements showing available funds
To streamline this process, Homejourney's application system uses Singpass/MyInfo integration to auto-fill your details across multiple banks simultaneously. Rather than submitting separate applications to OCBC, DBS, UOB, and others individually, you can submit one comprehensive application and let banks compete for your business—often resulting in better rates and terms.
Refinancing Your OCBC Home Loan
If you already have an OCBC home loan, refinancing to a lower rate can generate significant savings. For example, a borrower who repriced their DBS mortgage from 3% to 1.6% saved approximately S$500 monthly[1]—S$6,000 annually. Similar savings are available through OCBC refinancing.
OCBC allows repricing within their own portfolio with minimal friction—no administrative fees and waived prepayment fees during rate increase exercises. If you're considering switching to OCBC from another bank, factor in legal and valuation costs (typically S$1,500-S$2,000 total) against your projected interest savings to determine your break-even point.
Homejourney's refinancing calculator helps you model different scenarios and understand exactly how much you'll save by switching. Our mortgage brokers can also guide you through the repricing process and help negotiate better terms with OCBC or recommend superior alternatives.
Why Choose OCBC vs. Other Banks?
OCBC is best suited for borrowers who value stability, competitive rates, and straightforward product offerings. The bank's strong focus on fixed-rate packages aligns well with homeowners seeking payment certainty. Their significant HDB-to-bank refinancing volume demonstrates market confidence and experience with this specific customer segment.
However, OCBC may not be optimal if you're seeking the absolute lowest rates (which fluctuate between banks), specialized investment property financing, or unique loan structures. DBS, UOB, and Standard Chartered each offer distinct advantages depending on your specific circumstances.
Rather than choosing based on brand alone, compare OCBC's rates and terms directly with competing offers using Homejourney's bank rates comparison tool. You'll see current rates, lock-in periods, and promotional offers from all major lenders, enabling a truly informed decision.
OCBC Home Loan FAQs
What's the difference between OCBC's fixed and floating rate packages?
OCBC's fixed-rate packages lock your interest rate for 2-5 years, providing payment stability. Floating-rate packages adjust with market conditions (typically tied to 3-month SORA). Fixed rates suit borrowers prioritizing budgeting certainty; floating rates suit those comfortable with payment variability and believing rates will remain stable or decline.
Can I refinance from another bank to OCBC without penalty?
Yes, you can refinance from another bank to OCBC. Your current lender may charge a discharge fee (typically S$50-S$100), but there are no penalties from OCBC for refinancing in. However, budget for legal fees (S$1,000-S$1,500) and valuation fees (S$300-S$600) when calculating your net savings.
How much can I save by switching from an HDB loan to OCBC?
Savings depend on your loan amount and current HDB rate. OCBC reported that borrowers with S$500,000 loans could save up to S$4,100 annually by switching to a five-year fixed package[1]. Use Homejourney's refinancing calculator to model your specific situation and determine your break-even point.
What happens to my OCBC home loan if interest rates rise?
If you have a fixed-rate package, your rate remains unchanged during the lock-in period. After the lock-in period expires, you'll need to reprice or refinance. If you have a floating-rate package, your rate and monthly instalment will increase if the benchmark (SORA) rises. This is why most OCBC customers choose fixed rates for stability.
Can I repay my OCBC loan early without penalty?
Outside the lock-in period, you can repay your OCBC loan in full or partially (minimum S$5,000) with no penalties[2]. During the lock-in period, a 1.50% prepayment fee applies, though OCBC waives this fee during rate increase exercises when offering repricing options.
Making Your OCBC Home Loan Decision
OCBC offers solid home loan products with competitive rates, particularly for borrowers seeking fixed-rate stability and HDB upgraders. However, the best home loan for your situation depends on your specific circumstances—income, property type, timeline, and risk tolerance.
At Homejourney, we're committed to helping you make the safest, most informed decision. Our platform allows you to compare OCBC's rates and terms directly with DBS, UOB, HSBC, Standard Chartered, and other major lenders in real-time. Use our mortgage eligibility calculator to understand your borrowing capacity, then apply to multiple banks simultaneously using our streamlined Singpass-integrated application system.
Rather than accepting OCBC's initial offer, let banks compete for your business. You'll often receive better rates, higher approval amounts, or more favorable terms when lenders know you're considering alternatives. This competitive dynamic works in your favor—exactly how Homejourney's platform is designed to function.
Ready to explore your home loan options? Visit Bank Rates to compare current rates from all major Singapore banks, calculate your borrowing capacity, and submit your application. Our mortgage brokers are available to provide personalized guidance throughout your application journey, ensuring you secure the best possible terms for your property purchase or refinancing.
Disclaimer: This review is based on publicly available information as of February 2026. Interest rates, fees, and product offerings change regularly. Please verify current rates and terms directly with OCBC or contact Homejourney's mortgage brokers for the most up-to-date information before making your final decision. This content is educational and should not be considered financial advice; consult with a qualified financial advisor regarding your specific situation.
