HOUSING LOAN FROM THE BANKS
Those who are not eligible for an HDB housing loan, can take loans from licensed banks that provide loans to potential buyers. Banks generally provide loans as much as 90% of the purchase price or the market valuation of the proposed flat. Individuals may opt for a bank loan if:
They have already enjoyed two interest rate mortgage loans either for buying flats directly from HDB or from the open market.
They have already enjoyed one interest rate mortgage loan and a housing subsidy and are not planning to buy a flat that is bigger than their current one.
They have already enjoyed one interest rate mortgage loan and a housing subsidy and the property last disposed off is a private residential property.
They own two or more owner operated market/ hawker stalls inside or outside
They own one market/ hawker stall or any other industrial/ commercial property but not operating a business themselves.
The loan applicants can consult reputed banks on the amount of loan that they can get depending upon their income. They can take the help of the ‘Cash Flow Planner’ to calculate their monthly expenses and cash for paying loan installments. Apart from this, the other factors that should be considered for obtaining a loan from a bank are the CPF withdrawal limit, Cash down payment and Priority of Payment.