Singapore home loan rates hit new high

Home loan rates in Singapore have surged to a new high, with UOB increasing its rate on its three-year fixed rate package from 2.8% to 3.08%. The rate on its two-year fixed rate package was also raised from 2.65% to 2.98%.

UOB’s floating rate package, tied to the Singapore Overnight Rate Average (SORA), remained the same.

DBS Bank had bumped up the rates for its two and three-year fixed rate packages to 2.75%. The bank also removed a five-year fixed rate package which offered a 2.05% interest rate for HDB homeowners.

The hike in home loan rates since the fourth quarter of 2021, gained further momentum following the incline in the United States Federal Reserve’s interest rate— its steepest in over two decades.

What would this mean for your property mortgage loan?

Refinancing might be a viable option in the face of surging interest rates. The requirements, features, and benefits would differ with each bank loan. You might also want to consider the HDB loan, of which fixed rate currently stands at 2.60%.

Looking to purchase a property but daunted by the rising interest rates? Contact us to find out how you can go about furthering your property journey.