Refinancing vs Repricing: Which is Better for Singapore Homeowners? Homejourney
Repricing is better if you're within the same bank, want quick savings, and face low fees under $1,000 with a 1-month timeline. Refinancing suits switching banks for maximum savings, better features like cash rebates, despite higher costs over $2,000 and 3-month process.
Homejourney prioritizes your financial safety by verifying rates from DBS, OCBC, UOB, HSBC, Standard Chartered, and more. This cluster article dives into Refinancing vs Repricing: Which is Better for You, linking back to our pillar guide on Singapore home loans. Use our Bank Rates to compare options securely.
What is Repricing vs Refinancing?
Repricing means switching to a different interest rate package with your current bank after the lock-in period, often free or low-cost at $300-$1,000. It's fast, taking about 1 month, ideal for quick adjustments like moving from 3% to 1.6% SORA-linked rates.[3][5]
Refinancing involves taking a new loan from another bank, releasing your property title deed, and incurring legal fees ($1,500-$2,000 for HDB, $1,800-$2,000 private) plus valuation ($150-$700). Banks like OCBC and DBS often subsidize these for loans over $200,000 on HDB flats.[1][2]
HDB loan holders at 2.6% can't reprice—only refinance to banks now offering 1.48%-1.8% packages, saving $3,600 yearly on a $400,000 loan.[1] Homejourney's platform lets you Bank Rates rates across all major banks instantly.
Key Differences: Costs, Savings, and Timelines
Repricing maximizes convenience with limited options, while refinancing unlocks better rates and features like interest offset accounts or free conversions.[2]
| Factor | Repricing | Refinancing |
|---|---|---|
| Cost | $300-$1,000 admin fee | $2,000+ (often subsidized) |
| Timeline | 1 month | 3 months |
| Savings Potential | Limited to bank packages | Higher via bank switch |
| Features | Bank-specific | Cash rebates, flexibility |
As of 2026, SORA rates at 3-year lows (1.34% 3M) drive refinancing waves, especially HDB to banks.[1][5] Check our bank rates page for live comparisons.
Current SORA Trends and Rate Environment
SORA (Singapore Overnight Rate Average) is the key benchmark for floating loans. Recent drops to 1.34%-1.55% make switching attractive versus HDB's fixed 2.6%.[1]
The chart below shows recent interest rate trends in Singapore:
Rates may moderate mid-2026 as 2023-2024 lock-ins expire, but promotions persist.[1] Track real-time SORA on Homejourney to time your move.
Financial Analysis: Break-Even and Real Savings
Calculate break-even: (Refinancing costs) / (Monthly savings). Example: $3,000 fees, $500/month savings = 6-month break-even. On $500,000 loan at 1.6% vs 3%, save $10,000/year post-break-even.[5]
Real example: HDB owner in Tampines refinances $400,000 to DBS 1.48% 2-year fixed—saves $500/month like Ms. Denise Chan's DBS reprice.[1][5] Factor clawback if within 3 years, legal subsidies from banks like UOB.[2]
Use Homejourney's mortgage calculator for personalized math. See our How to Calculate If Refinancing is Worth It: Homejourney Guide for details.
Refinancing Steps: How to Refinance in Singapore
Refinancing steps for a seamless refinance process:
- Check eligibility: Loan-to-Value (LTV) up to 75% for <10-year properties; use Homejourney calculator.
- Compare rates: Via Homejourney bank-rates—DBS, OCBC, HSBC, etc.
- Submit application: One form to multiple banks with Singpass; track offers.
- Valuation & legal: Bank handles; 1-2 months.
- Switch & save: New loan activates; old discharged.
Timeline: 3 months. For HDB, no revert to HDB loans post-switch.[1] Full guide: Step-by-Step Guide to Refinancing Your Mortgage in Singapore | Homejourney .
When to Choose Repricing Over Refinancing
Opt for repricing if lock-in ends soon, your bank's promo beats others (e.g., DBS 1.6% fixed), or you avoid hassle.[3] Insider tip: Negotiate waivers—banks subsidize for loyal HDB customers in areas like Jurong.[2]
Refinance to switch mortgage bank for rebates up to 0.35% or offset accounts. Compare 2026 rates: Best Bank Refinancing Rates Comparison 2026: Homejourney . Hidden costs guide: Hidden Costs in Refinancing Mortgage Guide: Homejourney .
Money-Saving Tips and Homejourney Advantages
- Negotiate: Pit DBS vs OCBC offers via Homejourney's multi-bank submission.
- Timing: Act post-lock-in; monitor SORA peaks.
- Safety first: Homejourney verifies data, ensures Singpass-secured apps.
Submit one refinance application on Homejourney—banks compete, you win. Pair with Property Search for upgrades.
FAQ: Refinancing vs Repricing in Singapore
Q: How to refinance HDB loan to bank?
A: Compare on Homejourney, apply via Singpass; expect subsidies over $200k outstanding. Saves vs 2.6% HDB rate.[1]
Q: What's the refinance process timeline?
A: 3 months; start with Bank Rates .
Q: Is repricing free?
A: Often $800 fee, waivable; faster than refinancing.[3]
Q: Can I refinance multiple times?
A: Yes, but watch LTV and costs; use calculator.
Q: Best banks for refinancing 2026?
A: DBS, OCBC, UOB lead; compare live on Homejourney.
Disclaimer: Not financial advice. Consult professionals; rates change. Homejourney verifies for trust.
Decide with confidence—visit our pillar on Singapore mortgages and start at Homejourney bank-rates today. Your safe path to savings starts here.
