If you need financing to buy or take over ownership of a flat, you may apply for a housing loan from HDB or one from the financial institutions. Understand the key terms and considerations for the different loan options before making a decision. Show
Find out the eligibility conditions, credit assessment criteria and important information on the HDB housing loan below. Eligibility conditionsCheck if you and all persons listed in the application meet the eligibility conditions. Arrow down iconYou may also complete the questionnaire for a preliminary assessment of your eligibility for the purchase of a new or resale flat, housing grant(s), and an HDB housing loan.
Conditions when taking a second HDB housing loanIn addition to meeting the above eligibility conditions, your second HDB housing loan amount will be reduced by the full CPF refund and part of the cash proceeds from the disposal* of the existing or last-owned HDB flat. This promotes financial prudence and prevents over-borrowing. * The manner of disposal of a flat includes the sale, transfer or surrender of a flat, or by any other method under the Housing and Development Act or any other written law. To apply for a second HDB housing loan, you have to meet the following requirements:
+ The three local FIs are DBS Bank Limited, Overseas-Chinese Banking Corporation Limited, and United Overseas Bank Limited. Additional information on cash proceeds:
Use the sale proceeds calculator to work out how much cash proceeds you need to use for your flat purchase. Be sure to secure sufficient financing before committing to sell your current flat or buy another one. What happens if I do not meet the eligibility conditions?You have to take a housing loan from an FI if you need mortgage financing and one of the following applies to you:
Credit assessment criteriaFind out if you meet our assessment criteria. Arrow down iconBesides meeting the eligibility conditions, flat buyers have to fulfil our credit assessment criteria to apply for an HDB housing loan. You may apply for an HDB Loan Eligibility (HLE) letter to check your loan eligibility. Do take some time to build up your finances and work records if you do not meet the credit assessment criteria for an HDB housing loan. Application for an HDB housing loanWhat you need to know about the HDB Loan Eligibility (HLE) letter and when to apply for one. Arrow down iconIf you wish to take an HDB housing loan to buy or take over ownership of a flat, you have to first apply for an HLE letter before committing to the flat purchase. Find out more about the HLE letter, when and where to apply. Details on the HDB housing loanUnderstand the considerations that determine your housing loan amount. Arrow down iconThe HDB housing loan amount that you may take and repay over the loan period is based on the following:
Use of CPF savingsFind out the requirements on the use of CPF savings for your flat purchase and for servicing the monthly instalments. Arrow down iconBuyers/ transferees have the option to:
The remaining balance in your CPF OA must be used to pay for the flat purchase or take over ownership of an existing flat, before the HDB housing loan can be granted. The total amount of CPF savings that can be used to buy or take over the flat and pay the monthly mortgage instalments will depend on:
When the allowed CPF amount is used up, you have to pay for the balance purchase price and/ or the monthly mortgage instalments in cash. For more information on the use of CPF savings, you may use CPF Board’s calculator. Servicing the HDB housing loanFind out more about the monthly repayment and how to save on interest payments. Arrow down iconMonthly repaymentUpon disbursement of the HDB housing loan, your first monthly instalment payment will start on the first day of the second month. Thereafter, your monthly instalments are due and payable on the first day of every month, until the housing loan is redeemed. You can use your cash and/ or CPF savings to pay the monthly instalments, subject to the prevailing rules of CPF Board. If you choose to use cash instead of CPF savings, you can grow your retirement fund steadily with CPF interest rates. Find out more on the monthly repayment. Save on interest payments
A smaller housing loan and paying it off early will give you greater financial flexibility for your other goals (e.g. building up retirement funds, investments, etc.). To reduce your financial commitments and save on interest payments, you can also make regular partial payments or early repayment of your housing loan, or shorten your repayment period. Your monthly instalment will be adjusted accordingly. Find out more on servicing your HDB housing loan. Insurance for HDB housing loanThe insurance policies will protect you and your loved ones in the event of any unforeseen circumstances. Arrow down iconIf you take an HDB housing loan to buy or take over ownership of a flat, you will have to buy these insurance policies:
The HDB fire insurance covers the cost of reinstating damaged internal structures, fixtures and areas built and provided by HDB. As it does not include home contents such as furniture, renovations and personal belongings, you are encouraged to buy additional home insurance from any insurer if you wish to go further to extend protection over your home contents. Find out more about the HDB Fire Insurance Policy. For those who are not taking a housing loan, you are also encouraged to buy a fire and home insurance for your flat. You can do so from any insurer. The Home Protection Scheme is a mortgage-reducing insurance scheme administered by the CPF Board. It insures CPF members and their families against losing their home, should the policy holder become permanently incapacitated or pass away before the housing loan is paid up. NEXT STEPS
How much money can I loan from bank for House?If you take a bank loan, the maximum amount you can borrow is 75% of your property's price. Conversely, an HDB loan can cover up to 90% of that price.
What's the biggest house loan I can get?Conventional Conforming Loans
Fannie Mae and Freddie Mac purchase loans lenders originate up to $417,000 in most markets — other than Alaska, Hawaii and Guam and the U.S. Virgin Islands. $417,000 is also the loan limit traditionally set for non-government loans (FHA, USDA, VA) with a less than 10% down payment.
How much HDB loan can I get?If you are buying an HDB flat, you may qualify for a loan from the HDB. With an HDB loan, you may borrow up to 85% of the purchase price or the property's valuation price. This depends on which is lower, subject to HDB's credit assessment.
How much loan can I take in Singapore?The maximum you can borrow is 10 times the amount of your monthly salary, though this cap is often raised if you have high credit scores or are considered financially irresponsible. The Monetary Authority of Singapore (MAS) sets the maximum loan-to-income ratio in Singapore at 12 times your monthly income.
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