A housing loan singapore is a type of loan or credit product, where the collateral is the property being purchased. Housing loans are typically used to buy residential properties including homes, apartments, building and land.
How to apply for a housing loan?
Buying a house is the largest single investment that most people make. In order to purchase a house, a housing loan singapore is required. A house loan is also referred to as a housing loan or mortgage.
Before getting into the details of how to apply for a home loan, you need to know a few things. Firstly, you need to ask yourself if you are eligible to get a housing loan. If you haven’t had your existing home or property evaluated, then it is time that you do so now.
- Before you apply, make sure you:
- Have a good credit history
- Can afford the monthly repayments
- Want to borrow for a loan term of at least five years
- Are borrowing less than four and a half times your annual income, or 90% of the value of your property.
- To apply for a housing loan:
- fill out an application form with the mortgage lender (you can usually do this online)
- provide proof of your income, such as payslips and bank statements
- The mortgage lender will carry out a credit check on you. This will look at your credit history and current financial situation to decide whether they think you’ll be able to keep up with your mortgage repayments.
If you have an existing home or property, it can be used as collateral so that the bank will lend you money against that collateral. The amount of money you are allowed to borrow is based on the value of your existing property.