Types of Home Loans in Singapore Complete Comparison: Bank Rate Comparison Guide
Types of home loans in Singapore primarily include HDB loans at a fixed 2.6% rate and bank loans offering fixed or floating options pegged to SORA, with current bank rates as low as 1.35%-1.55% for fixed packages.
This cluster article dives deep into bank mortgage types, fixed vs floating rates, and a side-by-side comparison of top banks like DBS, OCBC, and UOB. As part of Homejourney's comprehensive pillar on Types of Home Loans in Singapore, it equips you with actionable steps to secure the best deal while prioritizing safety and transparency.
Understanding Key Types of Home Loans in Singapore
Homejourney prioritizes your financial safety by verifying real-time rates from trusted partners. The main types of home loans Singapore buyers consider are HDB loans and bank loans. HDB loans offer stability at 2.6% p.a. with up to 80% LTV, but bank loans often provide lower initial rates like 1.35% for loans over S$500k.[1][2]
Bank mortgage types split into fixed-rate (stable payments for 2-3 years) and floating-rate (SORA-pegged, adjustable monthly). Fixed suits first-time buyers budgeting for HDB upgrades in areas like Punggol; floating appeals to investors with strong credit for potential savings.[3][5]
Pro tip from Homejourney: Use our mortgage eligibility calculator to check borrowing power before committing—input your income and CPF for instant results, ensuring confident decisions.
Fixed Rate vs Floating: Which Mortgage Type Wins?
Fixed rate vs floating is the top debate. Fixed rates lock in at 1.4%-1.8% for 2-3 years (e.g., DBS 3Y Fixed at 1.55%), ideal amid rate volatility.[2][5] Floating SORA loans start lower at 1.36% (1M SORA + 0.25%) but fluctuate with the Singapore Overnight Rate Average.[1]
In 2025, four in five OCBC customers chose fixed for repayment certainty, per bank data. Floating offers free conversion after lock-in, suiting those planning to reprice every 2 years.[4][5]
Insider tip: For resale HDB in mature estates like Toa Payoh, fixed provides peace; track SORA on Homejourney's real-time dashboard at bank rates page to time floating switches.
The chart below shows recent interest rate trends in Singapore:
As seen in the chart, SORA has hit 3-year lows, making now ideal for locking fixed rates before potential rises. Compare via Homejourney to let banks compete for your business.[5]
Bank-by-Bank Home Loan Comparison: Rates, Pros & Cons
Homejourney aggregates rates from 11+ partners for transparent home loan comparison. Here's a 2025 snapshot for S$500k+ loans (conditions apply; verify on our platform).[2]
| Bank | Best Fixed Rate | Best Floating (SORA) | Lock-in | Rebate (Refi) |
|---|---|---|---|---|
| DBS/POSB | 1.55% (3Y) | 1.41% | 2-3Y | S$2,000-2,800 |
| OCBC | 1.35% (2Y) | 1.41% | 2Y | S$2,000-2,800 |
| UOB | 1.40% (2Y) | 1.46% | 2Y | S$2,300 |
| HSBC | 1.35% (1+1Y) | 1.41% | 2Y | S$2,300 |
| Standard Chartered | 1.40% | 1.41% | 2Y | Up to S$2,500 |
DBS dominates with 80% market share, offering competitive fixed via vast SGD funds; best for HDB buyers.[2] OCBC excels in fixed popularity (80% uptake), with S$88 utilities rebates.[4] UOB suits investors with sale penalty waivers.
- Pros of DBS: No early repayment penalty on POSB HDB (3Y fixed); FC36 feature.
- Cons: Higher min loan S$500k.
- OCBC: Fast online apps; popular for stability.
- Foreign banks like HSBC: Low rates for high-value private properties (e.g., Orchard resale).
Maybank, CIMB, RHB, Public, Hong Leong, Citibank offer similar SORA +0.25%-0.5% spreads; compare all on Homejourney for real-time updates. For full fixed vs floating details, see our pillar Fixed vs Floating Home Loans Guide.[2][5]
Actionable Steps to Choose & Apply for Your Home Loan
Follow Homejourney's trusted process for safety:
- Calculate eligibility: Use our calculator—e.g., S$10k monthly income yields ~S$800k loan (75% LTV).[3]
- Compare rates: Visit Homejourney bank rates for DBS vs OCBC side-by-side.
- Apply multi-bank: One form via Singpass auto-fill—get offers from all partners fast, less paperwork.
- Refinance smartly: If current rate >1.5%, switch; expect 1-2 week processing.
- Match property: Pair with property search for budgets, e.g., S$600k Tampines HDB.
Disclaimer: Rates fluctuate; Homejourney verifies data but consult advisors. We're not financial advisors—use for education only. Track SORA live on our platform for timing.[1][2]
Why Choose Homejourney for Your Mortgage Journey
Homejourney builds trust through verified rates, Singpass integration, and user feedback-driven tools. Submit one app, watch banks bid—save thousands like our users refinancing from 3.1% to 1.55%.[5] For post-purchase, check aircon services.
FAQ: Types of Home Loans in Singapore
What are the main types of home loans in Singapore?
HDB (2.6% fixed, 80% LTV) vs bank (SORA floating 1.4%+ or fixed 1.35%+). Banks offer flexibility; HDB stability.[1][3]
Fixed rate vs floating—which is better?
Fixed for certainty (e.g., first-time buyers); floating for savings if rates fall. 80% choose fixed per OCBC.[4][5]
How to compare bank rates?
Use Homejourney's tool for real-time DBS, OCBC, UOB comparison—includes rebates up to S$2,800.[2]
Can I switch from HDB to bank loan?
Yes, but no reverse; ideal now with bank rates at lows.[5]
What's the min downpayment for bank loans?
5% cash + 20% CPF/cash (25% total).[3]
Ready for the best types of home loans Singapore deal? Start your safe journey at Homejourney bank rates—compare, calculate, apply today. Link back to our pillar for full coverage.
