Maximum Loan

You can borrow 80% LTV, If you are purchasing an HDB flat, have no outstanding housing loan and if:

• the tenure does not exceed 25 years; and
• the sum of the loan tenure and the age of the borrower at the time of applying for the loan does not extend beyond retirement age of 65 years.

You can borrow 80% LTV, If you are purchasing a private property, have no outstanding housing loan and if:

• the tenure does not exceed 30 years; and
• the sum of the loan tenure and the age of the borrower at the time of applying for the loan does not extend beyond retirement age of 65 years.

You can borrow 60% LTV, If you are purchasing an HDB flat, have no outstanding housing loan and if:

• the tenure exceeds 25 years (up to a maximum of 30 years); or
• the sum of the loan tenure and the age of the borrower at the time of applying for the loan extends beyond retirement age of 65 years.

You can borrow 60% LTV, If you are purchasing a private property, have no outstanding housing loan and if:

• the tenure exceeds 30 years (up to a maximum of 35 years); or
• the sum of the loan tenure and the age of the borrower at the time of applying for the loan extends beyond retirement age of 65 years.

You can borrow 50% LTV, If you are purchasing an HDB flat, have 1 existing outstanding housing loan and if:

• the tenure does not exceed 25 years; and
• the sum of the loan tenure and the age of the borrower at the time of applying for the loan does not extend beyond retirement age of 65 years.

You can borrow 50% LTV, If you are purchasing a private property, have 1 existing outstanding housing loan and if:

• the tenure does not exceed 30 years; and
• the sum of the loan tenure and the age of the borrower at the time of applying for the loan does not extend beyond retirement age of 65 years.

You can borrow 30% LTV, If you are purchasing an HDB flat, have 1 existing outstanding housing loan and if:

• the tenure exceeds 25 years (up to a maximum of 30 years); or
• the sum of the loan tenure and the age of the borrower at the time of applying for the loan extends beyond retirement age of 65 years.

You can borrow 30% LTV, If you are purchasing a private property, have 1 existing outstanding housing loan and if:

• the tenure exceeds 30 years (up to a maximum of 35 years); or
• the sum of the loan tenure and the age of the borrower at the time of applying for the loan extends beyond retirement age of 65 years.

You can borrow 40% LTV, If you are purchasing an HDB flat, have 2 or more existing outstanding housing loans and if:

• the tenure does not exceed 25 years; and
• the sum of the loan tenure and the age of the borrower at the time of applying for the loan does not extend beyond retirement age of 65 years.

You can borrow 40% LTV, If you are purchasing a private property, have 2 or more existing outstanding housing loans and if:

• the tenure does not exceed 30 years; and
• the sum of the loan tenure and the age of the borrower at the time of applying for the loan does not extend beyond retirement age of 65 years.

You can borrow 20% LTV, If you are purchasing an HDB flat, have 2 or more existing outstanding housing loans and if:

• the tenure exceeds 25 years (up to a maximum of 30 years); or
• the sum of the loan tenure and the age of the borrower at the time of applying for the loan extends beyond retirement age of 65 years.

You can borrow 20% LTV, If you are purchasing a private property, have 2 or more existing outstanding housing loans and if:

• the tenure exceeds 30 years (up to a maximum of 35 years); or
• the sum of the loan tenure and the age of the borrower at the time of applying for the loan extends beyond retirement age of 65 years.

Where a borrower applying for a housing loan for the purchase of a HDB flat is able to produce a letter from the HDB, inviting him to select a HDB flat from a sales exercise launched before July 2013, the loan tenure rules for private property purchases can apply to him. 

The LTV limit takes into account credit facilities, if any, granted by other financial institutions and the property seller. Any discount, rebate or other benefit offered by any person to the borrower must be deducted from the purchase price before calculating the amount of the loan.

Factors that banks in Singapore use to determine the LTV to be granted:
• Existing loan(s)
• Tenure
• Monthly repayment instalment as a proportion of gross monthly income

You may be able to get a bridging loan if you have a residential property which you have agreed to sell, but will only receive the sales proceeds later.

Housing Loans from HDB

If you are taking a housing loan from HDB you may borrow up to 90% of the purchase price or the property’s valuation price depending on which is lower (for resale flats), subject to HDB’s credit assessment. The amount of housing loan that HDB can grant will depend on factors such as the buyers’ age, monthly income and financial standing. If you wish to get an HDB loan, you will need to first obtain an HDB Loan Eligibility (HLE) letter before you commit to any purchase. You may apply for an HLE letter online via the HDB website.

For more information on buying and financing HDB flats, please refer to the HDB website.

Source: MoneySENSE