Lowest Housing Loan Rate In Singapore

 In Home Loan

Do you wish to acquire a home in Singapore but lack the financial means to do so? If that’s the case, you should apply for one of Singapore’s top home loans today to get one step closer to owning your own home.

When it comes to purchasing a home, it goes without saying that you want (and should) save as much as possible and secure the lowest housing loan rate in Singapore. After all, we’re talking about something that will take 2-3 decades to pay off! It’s quite probably the most significant purchase you will ever make. This guide will show you the current best housing loan rates whether you’re refinancing or taking out a new loan.

We’ve compiled and analyzed over 100 mortgage loan packages from 16 different banks in Singapore to help you pick the best one for you.

This article only has one aim: to equip you with the information you need to make an informed decision as a savvy consumer. If you would like to clarify your doubts with a professional mortgage advisor at any point, feel free to connect with experts at Home Loan Whiz.

Our team of experts is ready to assist you in finding the best home loan package for your needs.

When comparing house loans, keep the following things in mind:

  • The choice between “fixed” and “floating” interest rates.
  • If you choose variable rates, make sure you know how they compare to 1 month/3 month SIBOR, fixed deposit rates, or specific bank board rates.
  • The “lock-in” period.
  • If you sell your home within the lock-in term, you will be responsible for any redemption waivers.
  • Free conversion within/at the end of the lock-in period.

Find Out More About Fixed-Rate home loans in Singapore

When market interest rates are likely to rise, fixed-rate housing loans are normally profitable because they protect borrowers against higher mortgage payments. You should be aware of the loan’s flexibility in terms of refinancing, in addition to the required monthly payment and total interest cost. Some housing loans, for example, allow you to refinance after just one year, while others include a “lock-in” period during which you cannot renegotiate your conditions or refinance with another bank. In Singapore, most fixed-rate home loans have fixed interest rates for 3 to 5 years, after which the rates become “floating.”

Find Out More About Floating Rate home loans in Singapore

You can finance your flat with a floating-rate home loan rather than a fixed-rate credit. Floating rates are linked to constantly changing reference rates (such as SIBOR, SOR, and a bank’s board rate). When market rates are high and predicted to fall in the coming years, floating-rate mortgages can be favorable.

Each month, the floating rates change.

When evaluating these home loans, keep in mind the monthly payment affordability and overall interest cost, as well as the lock-in period, which determines how quickly you can refinance your loan.


Banks and financial institutions set interest rates based on the market economy. You must be aware that after a fixed term of 2 to 5 years, the loan interest rate may fluctuate dramatically.

According to data, refinancing saves borrowers between 1% and 3.5% on their loan interest. Contact one of our helpful experts to review your current loan package and take advantage of the best available housing loan rates in Singapore.

Our consultants use the TDSR (Total Debt Servicing Ratio) calculation, which is mandated by MAS (Monetary Authority of Singapore), to determine your loan repayment ability.

Mortgage Rates for HDB Flats at the Lowest Prices

While HDB flats have helped to maintain housing affordability in Singapore, they still cost hundreds of thousands of dollars, necessitating the need for a home loan for the majority of individuals. We go over numerous loan alternatives for buying an HDB property below, depending on whether you choose fixed or floating interest rates.

Best Fixed Mortgage Rates for HDB Homes

The banks indicated in the chart below offer the lowest fixed-rate housing loans, with interest rates that are around 15-20% cheaper than the average for fixed-rate home loans.

BankMonthly Installment1st Yr. InterestLock-In Period
SBI FixedS$1,9161.14%2 Years
CITI FixedS$1,9531.30%3 Years
CITI FixedS$1,9411.25%2 Years
HSBC FixedS$1,9301.23%3 Years
HSBC FixedS$1,9191.15%2 Years

Assuming a S$500,000 loan with a tenure of 25 years (sorted by total interest root)

Although looking at the rates listed below you may wonder what difference really can a difference of 0.05% make. Actually, by opting from one of the more competitive options from the list below, you may save up to S$30,000 over the course of a 25-year, S$500,000 loan. 

Best Floating Mortgage Rates for HDB Homes

According to our research, the lowest floating rate loans for HDB apartments are supplied by the lenders listed below, who typically charge 20-30% lower interest rates than the average home loan lenders.

Bank Monthly Installment 1st Yr InterestLock-In Period
DBS SORAS$1,8700.93%2 years
DBS BOARDS$1,8841.00%3 years
DBS BOARDS$1,8841.00%2 years
DBS BOARDS$1,8841.00%5 years
DBS BOARDS$1,9071.00%2 years

Assuming a S$500,000 loan with a tenure of 25 years (sorted by total interest root)

Home Mortgage Loans for Private Properties at the Lowest Rates

In Singapore, private residences make up around 20% of the total housing stock. Condos and landed properties both fall into this category, and they can easily cost millions of dollars. Foreigners and permanent citizens alike are drawn to these private properties. The lowest mortgage housing loan rate alternatives available in Singapore for these residences are discussed below.

Best Fixed Mortgage Rates for Private Homes and Condominiums

Our research team discovered that the banks listed below are now offering the best fixed-rate home loan interest rates for private properties. These rates are roughly 20% less expensive than the market average. Over the course of a 25-year, S$500,000 mortgage, the average homeowner can save roughly S$30,000.

BankMonthly Installment1st Yr InterestLock-In Period
SBI FixedS$1,9161.14%2 years
BOC FixedS$1,9411.25%3 years
BOC FixedS$1,9411.25%2 years
CITI FixedS$1,9531.30%3 years
CITI FixedS$1,9411.25%2 years

Assuming a S$500,000 loan with a tenure of 25 years (sorted by total interest root)

Best Floating Mortgage Rates for Private Homes and Condominiums

The lenders listed below offer the best floating rate housing loans for private properties, according to our research. Their interest rates were around a quarter of a percentage point below the market average. As a result, opting for one of the less expensive choices on our list can save the average homeowner at least S$30,000 (assuming a 25-year, S$500,000 loan) when compared to other options on the market.

BankMonthly Installment1st Yr InterestLock-In Period
DBS SORAS$1,8700.93%2 years
DBS BoardS$1,8841.00%3 years
DBS BoardS$1,8841.00%2 years
DBS BoardS$1,8841.00%5 years
DBS BoardS$1,9071.10%2 years

Assuming a S$500,000 loan with a tenure of 25 years (sorted by total interest root)

Refinancing Home Mortgage Loans at the Lowest Rates

Refinancing a house loan can be a beneficial tool for homeowners. In Singapore, most people renew their mortgage every two to four years. When refinancing your home loan, banks may frequently inquire about your existing interest rate and offer you a rate that is lower in order to gain or keep your business. As a result, refinancing can help you obtain lower interest rates and, as a result, lower your monthly payments.

Refinancing your home loan can save you a significant amount of money over the term of the loan. The banks listed below are presently offering the best refinancing deals, according to our research.

Their rates are on average roughly 15% cheaper than the market average, and refinancing with one of these loans can save a typical borrower approximately S$35,000 in interest payments alone over the duration of a 25-year, S$500,000 loan.

BankMonthly Installment1st Yr InterestLock-In Period
DBS BoardS$1,4961.00%3 years
DBS BoardS$1,4961.00%5 years
DBS BoardS$1,5071.10%2 years
SBI SORAS$1,4870.92%3 years
SBI SORAS$1,4981.01%3 years

  Assuming a S$500,000 loan with a tenure of 25 years (sorted by total interest root)

Home Mortgage Loans for Construction Properties at the Lowest Rates

Thankfully for people wishing to acquire brand new homes, there are a number of housing finance choices accessible. Some banks also offer mortgages for property under development with no lock-in periods, which comes in useful after your home is finished and you can get a better interest rate.

This is especially significant for this form of housing loan because, in comparison to traditional home loans, loans for properties under construction often have lower interest rates for the first 2-3 years and higher rates for the remaining years.

You can still get a housing loan if you want to buy a new HDB flat or a private property that is currently being built. We discovered that the lenders listed below provide the best loans, with interest rates that are 10-20% lower than the market average. As a result, opting for one of the less expensive options on our list can save the average homeowner up to S$50,000 over the course of a 30-year, S$500,000 loan.

BankMonthly Installment1st Yr InterestLock-In Period
DBS SORAS$1,6111.01%0
DBS SORAS$1,6281.08%0
DBS BoardS$1,6431.15%0
SCB BoardS$1,7021.40%0
MB SORAS$1,6861.33%0

Assuming a S$500,000 loan with a tenure of 25 years (sorted by total interest root)

How to Select the Most Appropriate Home Mortgage Loan

Consumers may find home loans to be quite confusing financial products. On the surface, they appear to be straightforward, but comparing these home loans is actually rather difficult. Not only do interest rates fluctuate, but the most advantageous sort of house loan also changes with the market.

When applying for a house loan, you will often be required to complete 10 to 20 pieces of paperwork. Because of these complexities, we strongly advise you to seek the advice of a mortgage broker when looking for a house loan. 


According to our study, the interest rate influences around 80% of house loan shopping decisions, which makes sense given that interest rates account for the majority of a home loan’s cost. Furthermore, the credit criteria used by banks to approve home loan applications are essentially identical, removing your credit score as a significant role in your decision to choose one bank over another.

Apart from interest rates, you may compare house loans based on their flexibility in terms of allowing you to refinance at your leisure.

If you refinance your loan during a lock-in or interest-resetting period, certain banks may charge you a fee. As a result, finding a bank that gives legal or valuation fee discounts is critical.

Your mortgage selection is solely based on your unique requirements. Are you looking for better security and less risk? Consider a fixed-rate loan. Because every scenario is unique, it may be beneficial to chat with one of our experts, who can quickly assess your position and provide you with specialized guidance at no cost to you.

With a large network of banks and financial institutions, Home Loan Whiz has access to the most up-to-date information and promotional rates available to achieve maximum cost savings.

wayne quek
Wayne is a Chartered Financial Analyst (CFA), and holds a Bachelor of Business Management (Finance) from Singapore Management University (SMU). A successful Relationship Manager during his time with DBS and HSBC, Wayne used his expertise in financial markets to help his clients build up comprehensive investment portfolios. The entrepreneur is also the founder of Home Loan Whiz, a mortgage consulting firm that assists clients with selecting ideal mortgages for their needs.
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