Best Refinancing | Loan Rates For Your Needs

Hints for Emigrants Going For a Housing Loan

There are two types of housing loan packages in Singapore: fixed rates or floating (variable) rates.

Fixed rates are sometimes offered for up to 3 years. Still, other lenders can extend up to 5 years or 10 years. This is different from many Western countries where rates can be fixed throughout the loan tenure.

Floating rates can be classified into published rates or board rates. Published rates are mainly rates that are published daily, case being the Singapore Interbank Offered Rate (SIBOR) or Singapore Swap Offer Rate (SOR), while board rates are decided by the individual bank or financial institution. Many of the lenders placed their board rates to a certain financial bench marks, yet the exact elements are sometimes not clear and variations in board rates become indefinite.

There are no limitations for emigrants applying for housing loans. Still, the following constituents should be dealt.

Loan to Value

The maximum loan to value (LTV) in Singapore is 90% of the purchase price or valuation, whichever is lower. Some loaners do not give maximum LTV to emigrants, thus, housing loan packages for 90% financing are restricted. Loan approval for 90% funding is also stricter than for LTV 80% and below.

Income Proof

A letter of appointment from your local employer or your latest income tax assessment is required for housing loan. Tax assessments from some countries may not be respected by the local mortgage lenders.

Landed Property

The approval from Singapore Land Authority is necessary before emigrants can buy bounded properties such as vacant estate or landed properties such as bungalows, semi-detached, and terrace houses.

In-principle Approval

Try to apply for an in-principle approval before moving with a purchase, since loan applications are more intricate for emigrants. Consider of hiring a respectable and professional housing loan consultant. This may help you spare time and money with your loan approval.

Find out more about a premier housing loan advisory firm, providing housing loans with free mortgage broking. Get a totally unique version of this article from our article submission service

categories: business,marketing,investment,financing,mortgage refinance,housing loans,home loan,mortgage,myhousingloan,myhousingloans,my housing loan

Related Blogs

« Previous PageNext Page »

Best Refinancing | Loan Rates For Your Needs