Quick answer
Repricing means switching to a new package with your existing bank; refinancing means moving your mortgage to another bank. Repricing costs $500-$800, with no legal or valuation fees and no clawback. Refinancing opens up the whole market but brings legal and valuation costs and a 3-year subsidy clawback.
Once your lock-in ends, either route beats staying put. On a $1.5M loan that has reset to 2.24%, both save around $21,000 in interest over two years. The gap between them is about $1,000.
The question that matters
Which option leaves you paying less after interest, fees, penalties and clawbacks over the period you expect to keep the loan? That is the comparison we make for homeowners at Home Loan Whiz.
Repricing vs refinancing at a glance
| Repricing | Refinancing | |
|---|---|---|
| Lender | Existing bank | New bank |
| Application | Conversion with your bank | New loan application |
| Legal work | None | $2,000-$2,500 before subsidy |
| Valuation | None | $500-$1,000 before subsidy |
| Switching cost | $500-$800 conversion fee | Legal + valuation, partly offset by bank subsidy |
| New lock-in | Yes – fresh lock-in of the new package | Yes – 2-3 years |
| Subsidy clawback | None | 3 years |
| Notice to current bank | – | 2 months |
| Rates available | Existing bank only | Whole market – lowest 2-year fixed 1.40%* |
*Package rates apply to loans of $1.5M and above, available through Home Loan Whiz as at 21 September 2026. The 1.40% package also requires signing up for priority banking with that bank and placing $200,000 in deposits. SORA: Monetary Authority of Singapore, published 21 September 2026. Rates change monthly.
What is home loan repricing?
Repricing – sometimes called conversion – means changing your mortgage package while remaining with your current bank. For example, your fixed period has ended and your rate has reset higher; your bank offers you a new fixed or floating package and you convert your loan to it.
Because the mortgage stays with the same lender, there is no legal work and no valuation. What you should expect:
- A conversion fee of around $500-$800. Some packages give one free conversion after lock-in – check yours first.
- A fresh lock-in period on the new package.
- No clawback of your original subsidies – clawback applies only when you refinance out.
- Partial-prepayment or sale conditions may change with the new package.
What is refinancing?
Refinancing means replacing your existing home loan with a new mortgage from another bank. The main advantage is competition: instead of being limited to your bank’s offer, you compare packages across lenders.
Refinancing involves a new credit assessment, legal work ($2,000-$2,500) and valuation ($500-$1,000). New banks usually offset part of this with a legal and valuation subsidy or a cash rebate – but that subsidy carries a 3-year clawback, and you need to give your current bank 2 months’ notice.
Worked example: Is a lower refinancing rate actually better?
Consider a homeowner with $1,500,000 outstanding and 25 years remaining. The lock-in and clawback on the current loan have both ended, and the rate has reset to 1-month SORA + 1.00% = 2.2380%*. The bank offers repricing at 1.50% fixed for 2 years; another bank offers refinancing at 1.45% fixed, with a legal subsidy of $1,800 and valuation subsidy of $500*. Costs use the top of each range.
| Over the next 2 years | Stay | Reprice at 1.50% | Refinance at 1.45% |
|---|---|---|---|
| Monthly instalment | $6,533 | $5,999 | $5,964 |
| Interest paid | $65,191 | $43,564 | $42,103 |
| Switching fee | – | $800 | – |
| Legal + valuation | – | – | $3,500 |
| Less bank subsidies | – | – | -$2,300 |
| Total cost | $65,191 | $44,364 | $43,303 |
| vs staying | – | -$20,827 | -$21,887 |
*Illustration using Home Loan Whiz package data as at 21 September 2026, $1,500,000 outstanding, 25 years remaining. Not a client case. Instalments and interest recomputed month by month.
Refinancing comes out $1,061 ahead of repricing. Staying put costs about $21,000 more than either. The expensive mistake is not choosing the wrong option – it is doing nothing once the lock-in ends.
Home Loan Whiz Adviser Insight
From the mortgage desk
One mistake we frequently see is homeowners focusing heavily on a 0.10% or 0.20% rate difference without considering the size of their outstanding mortgage. A 0.20 percentage-point difference is roughly $1,000 a year on $500,000, $2,000 on $1,000,000 and $4,000 on $2,000,000 before amortisation. The same refinancing offer can make sense for one homeowner and not another.
Before you pay a repricing fee, check whether your package gives you one free conversion after lock-in.
5 things to compare before deciding
1. Total borrowing cost – not just the advertised rate
Compare what you will pay over the period you expect to keep the package, including what the rate becomes after the fixed period. On the packages we track, that later rate is SORA plus a spread of up to 1.00%.
2. Your existing lock-in
Refinancing before your lock-in expires triggers a 1.50% early redemption penalty on the packages we track. Check your Letter of Offer rather than assuming your fixed-rate period and lock-in end on the same date.
If your loan is still locked in, read: Can You Refinance a Home Loan During the Lock-In Period in Singapore?
3. Legal fees, valuation fees and subsidies
Moving banks costs $2,500-$3,500 in legal and valuation work before subsidies. Subsidies reduce this, but carry a 3-year clawback – often a year longer than the 2-year lock-in.
4. Flexibility
Partial prepayment, sale waivers, free conversion and other package features can matter as much as a small rate difference.
5. What you intend to do with the property
Your plans to sell, pay down a large amount, hold for many years or refinance again all change the answer – especially because of the clawback.
So, should you reprice or refinance?
Refinancing wins only when its lower rate recovers its extra upfront cost. In the example above, the extra cost is $400 ($1,200 net against $800), so a rate advantage of 0.013 percentage points over 2 years covers it. But if you plan to move again when the new 2-year lock-in ends, you would repay the $2,300 subsidy – and the rate advantage needed rises to 0.09 points.
| Your plan after the new lock-in | Extra cost of refinancing | Rate advantage needed |
|---|---|---|
| Stay at least 3 years | $400 | 0.013 points |
| Move again at year 2 | $2,700 | 0.09 points |
In the example, refinancing’s advantage is 0.05 points: it comes out ahead if you stay 3 years, and repricing comes out ahead if you plan to move again at year 2.
If you are comparing the structure of your next package, see: Fixed Rate vs SORA Home Loan in Singapore: Which Should You Choose?
Simple framework
Interest savings – switching costs – penalties/clawbacks + value of relevant features = the comparison that matters.
Frequently Asked Questions
Is repricing cheaper than refinancing in Singapore?
Upfront, yes: repricing costs $500-$800 with no legal or valuation fees and no clawback. Refinancing can still come out ahead overall if another bank’s rate is low enough to recover its higher upfront cost.
Does repricing reset my lock-in?
Yes. The new package comes with its own lock-in, starting from the date you reprice.
Can I ask my existing bank to match another bank’s rate?
You can ask your bank for its latest repricing options before deciding. Whether it matches a competing offer depends on the bank and your loan.
When should I start looking at refinancing?
About 3 months before your lock-in ends: refinancing needs 2 months’ notice to your current bank, plus time to compare offers.
Is refinancing worthwhile for a small outstanding loan?
Switching costs matter more as the balance gets smaller. A $1,000 cost difference takes twice as long to recover on $750,000 as on $1.5M, so run the break-even calculation first.
Not sure whether to reprice or refinance?
Send Home Loan Whiz your outstanding loan, current interest rate, remaining tenure, bank, and your bank’s repricing offer or lock-in expiry date. We’ll compare your bank’s repricing option against suitable refinancing packages and show you which leaves you better off.
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Related guides
Sources: MoneySense – How Home Loans Work; Association of Banks in Singapore – Consumer Guides; MAS – Domestic Interest Rates (compounded SORA); package rates, fees and terms: packages available through Home Loan Whiz as at 21 September 2026.
Last reviewed: [date of approval]. Reviewed by Wayne Quek, Founder, Home Loan Whiz.
Reviewed by Wayne Quek, Founder, Home Loan Whiz
Home Loan Whiz helps Singapore homeowners compare mortgage packages across banks, including purchases, refinancing, repricing and more complex fi