Self-Employed Mortgage Eligibility: Bank Rates Comparison Guide
Self-employed individuals in Singapore can secure mortgages from major banks like DBS, OCBC, UOB, HSBC, and Standard Chartered by meeting strict NOA requirements and demonstrating income stability over at least two years, though banks apply a 30% haircut to variable income for TDSR calculations.[1][2][3]
Homejourney simplifies this process with its bank rates page, where you can compare rates instantly, calculate eligibility, and submit one Singpass-enabled application to multiple banks for the best offers.
Understanding Self-Employed Mortgage Eligibility in Singapore
As a freelancer or business owner, banks view your income as variable, requiring proof of stability via IRAS Notice of Assessment (NOA) for the last two years, CPF statements, and bank records.[1][2]
The Monetary Authority of Singapore (MAS) mandates a Total Debt Servicing Ratio (TDSR) cap of 55%, meaning total debt repayments cannot exceed 55% of your gross income (after 30% haircut for self-employed).[2][3][4]
For HDB flats or ECs, the Mortgage Servicing Ratio (MSR) limits repayments to 30% of income. Homejourney's eligibility calculator at https://www.homejourney.sg/bank-rates#calculator factors in these rules automatically.
Key NOA Requirements for Self-Employed
NOA is critical: banks average your taxable income from the latest 1-2 NOAs, applying a 30% reduction for variability. For example, a S$5,000 monthly income becomes S$3,500 for TDSR.[1][2][3]
Business must operate at least two years; newer ventures face rejection. Maintain a strong credit score via Credit Bureau Singapore reports.
TDSR and MSR Calculations for Variable Income
TDSR assesses all debts against income; self-employed get the 30% haircut. Example: S$10,000 gross monthly income = S$7,000 assessed. Max debt: S$3,850 (55%).[2][3][6]
MSR for HDB: 30% of gross (no employer CPF). S$10,000 income limits mortgage payments to S$3,000 monthly.[4]
| Gross Income | Assessed Income (Self-Employed) | Max TDSR Debt (55%) | Max MSR (30% HDB) |
|---|---|---|---|
| S$5,000 | S$3,500 | S$1,925 | S$1,500 |
| S$10,000 | S$7,000 | S$3,850 | S$3,000 |
| S$15,000 | S$10,500 | S$5,775 | S$4,500 |
Use Homejourney's tools to run your numbers accurately before applying.
Singapore Bank Rate Comparison for Self-Employed
Banks like DBS, OCBC, UOB offer competitive SORA-based rates (typically 3-4% in 2026), but self-employed face stricter scrutiny. Fixed rates start at 3.5%, floating at SORA+0.5-1%.[2]
Homejourney's bank-rates page compares DBS (SORA+0.6%), OCBC (SORA+0.5%), UOB (SORA+0.7%), HSBC, Standard Chartered, Maybank, CIMB, RHB, Public Bank, Hong Leong, and Citibank side-by-side.
The chart below shows recent interest rate trends in Singapore:
Rates have stabilized around 3M SORA at 3.0-3.2%, favoring lock-in decisions for variable income borrowers.
Bank-Specific Tips for Freelancers
- DBS/OCBC: Flexible with 2-year NOAs; prefer consistent CPF contributions.[1]
- UOB/HSBC: Require 6-month bank statements showing cash flow.[1]
- Maybank/CIMB: Good for gig workers with platform invoices (e.g., Grab, Upwork).
Submit via Homejourney for multi-bank quotes in one go, using Singpass for auto-filled docs.
Steps to Apply and Improve Approval Odds
- Gather Docs: 2x NOAs, business registration, 6-12 month statements, invoices.[1]
- Calculate Eligibility: Use Homejourney calculator for TDSR/MSR.
- Compare Rates: Check https://www.homejourney.sg/bank-rates.
- Apply Multi-Bank: One form reaches DBS, OCBC, etc., via Singpass.
- Boost Income: Show growth in latest NOA; reduce debts pre-application.[1][3]
Insider tip: Time applications post-financial year-end when NOAs reflect peak earnings.
Homejourney: Your Trusted Partner for Gig Economy Mortgages
Homejourney prioritizes your safety with verified bank partnerships and transparent comparisons, ensuring confident decisions. Link your budget to properties via property search.
For full coverage, see our pillar: Self-Employed Mortgage Singapore: Complete Eligibility Guide | Homejourney ">Self-Employed Mortgage Singapore: Complete Eligibility Guide.
FAQ: Self-Employed Mortgage Singapore
What NOA is needed for self-employed home loans?
Latest 2 years' IRAS NOAs, averaged with 30% haircut for variable income.[1][2]
Can gig workers get mortgages?
Yes, with invoices and platform statements proving 2-year stability.[1][3]
How does TDSR affect freelancers?
Banks use 70% of declared income; e.g., S$8,000 becomes S$5,600, max debt S$3,080.[2][3][6]
Which bank is best for self-employed?
Compare on Homejourney: OCBC/DBS often most flexible; apply multi-bank for best rates.
Disclaimer: This is general info; consult Homejourney brokers for personalized advice. Rates as of 2026; subject to change.
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