Purchase your dream home with POSB

Check if you need a Bridging Loan

Thinking of buying a new home but haven’t sold your current one yet?

A bridging loan can help! It gives you short-term financing to cover the down payment on your new property. You can borrow up to 20% of the purchase price and repay the loan within 6 months.

This way, you can secure your dream home while waiting to sell your current one. See how it works:

bridging loan image

 

Down-payment (Cash)

5% of property price

S$50,000

Down-payment (Cash, CPF or both)

20% of property price

S$200,000

Loan amount

75% of property price, assuming you qualify for maximum Loan-to-Value

S$750,000

Assuming:

  1. You’ve already made the 5% downpayment on your new home.
  2. You’re still waiting for your existing HDB flat to be sold.
  3. You’re short on the remaining downpayment S$200,000.

Take our bridging loan to finance your new home s downpayment. This way, you can buy your new place while waiting to sell your current HDB flat. Pay off your loan amount of S$200,000 within 6 months.

More on fixed rate packages

Our fixed rate packages maintain the same interest rate over a fixed tenure. Enjoy a lock-in fixed rate for your loan package regardless of market conditions. Once the fixed period lapses, your fixed rate will become a floating rate.

Features

Minimum loan amount of S$100,000.

Choose between 2-5 year fixed POSB interest rate.

Contact us for our current rates, and we’ll get back to you within the next working day.

Switch to another pricing package at the end of your fixed rate period for free.

fixed rata graph info

For full list of associated costs, read our DBS Home Loan Fees and Charges.

More of floating rate packages

Features

Minimum loan amount of S$100,000.

The lock-in 3M SORA or FHR rate will be calculated from the day you take up the bank loan.

Contact us to find out more about 3M SORA or FHR, and we’ll get back to you within the next working day.

Switch to another pricing package at the end of your fixed rate period for free.

Only applicable for 3M SORA packages.

floating rate graph info

For full list of associated costs, read our DBS Home Loan Fees and Charges.

More on Two In-One Home Loan

Can’t decide between our fixed rate and floating rate packages?

Customise your loan package and enjoy the benefits of both packages in one loan, based on your needs.

two-in-one graph info

For full list of associated costs, read our DBS Home Loan Fees and Charges.

What are 3M SORA and FHR?
Definitions of pricing terms

3M SORA

The Singapore Overnight Rate Average (SORA) is an interest rate benchmark, and it reflects the actual transactions between banks, made between 8am and 6.15pm in Singapore.

3M SORA refers to 3M compounded SORA rate which is based on a compounding period of 3 months of the historical SORA rate.

SORA fluctuates on a daily basis, so if you re-taking a housing loan with your interest rate pegged to SORA, your loan repayments will change too.

Find out more on the prevailing 3M SORA Rate.

FHR

FHR6 refers to Fixed Deposit Home Rate 6, a reference rate unique to DBS. FHR6 is calculated based on the prevailing 6 months Singapore dollar fixed deposit interest rate of DBS Bank for amounts within S$1,000 to S$9,999.

Find out more on the prevailing FHR.

How long is a home loan In Principle Approval (IPA) valid for?

It is valid for 30 days from approval date. A home loan IPA is an approved loan amount based on the affordability of the borrower. However, it is not a binding document, and the final loan is subject to the property purchase price, valuation and other checks.

What is the minimum downpayment for a property purchase?

For your first property loan, the minimum downpayment is 25% of the purchase price, of which 5% must be paid in cash. The balance can be paid using your CPF savings.

How do I pay for the monthly instalment of my POSB home loan?

The monthly instalment amount will be debited from your POSB loan servicing account on each due date. If you plan to use CPF to service your monthly instalment, inform your lawyer to set up the arrangement.

Still need help?

We’re just a message away. Contact us for personalized assistance on your home loan journey.