Take A Housing Loan To Finance Your EC Purchase
When it comes to buying an Executive Condo in Singapore, be it New Launch EC, Resale EC or TOP EC, in most instances, EC buyers will have to take a housing loan to finance their EC purchase. And the only option that EC buyers have is to apply for a bank loan.
We have prepared the following housing loan table (w.e.f. 6th July 2018), to show you at a glance, the key information like the loan tenure, loan-to-value %, minimum cash outlay, etc. Please take note that, Mortgage Servicing Ratio (MSR) only applicable to EC during the new launch. For Resale EC, it is the Total Debt Servicing Ratio (TDSR) that determine how much you can borrow from the bank.
For most people, this could be the most significant financial commitment of their lives. It is important to engage us to do proper financial planning, to ensure that you have the safety net in place, you have the means to service the mortgage loan for at least six months, even if you have no income. Please do not hesitate to call us at 9004 6396 to arrange for a casual meetup to discuss further.
| Housing Loan | 1st Home Loan | 2nd Home Loan | 3rd Home Loan | |||||||
| Loan Tenure | Up To 30 Years | 31-35 Years | Up To 30 Years | 31-35 Years | Up To 30 Years | 31-35 Years | ||||
| Sum of Tenure & Age of Borrower | Up To 65 | Above 65 | Up To 65 | Above 65 | Up To 65 | Above 65 | ||||
| LTV Limit (Individual) |
75% | 55% | 55% | 45% | 25% | 25% | 35% | 15% | 15% | |
| Cash Outlay | 5% | 10% | 10% | 25% | 25% | 25% | 25% | 25% | 25% | |
| LTV Limit (Non-Individual) |
15% | 15% | 15% | |||||||
| Mortgage Servicing Ratio (MSR) | 30% | |||||||||
| Total Debt Servicing Ratio (TDSR) | 60% | |||||||||
| Stress Test Interest Rate | 3.50% | |||||||||
To take a housing loan:
- The banker will access your income and age.
- You must have sufficient income to qualify for a bank loan.
- You must have a steady income to service the monthly housing loan repayments over 20 to 30 years.
When it comes to the selection of housing loan package, you should explore different packages offered by various banks. You also need to read through the terms and conditions and keep in mind that interest rate may increase and fluctuate over the years.
