SINGAPORE BUYER STAMP DUTY
LOAN TO VALUE RATIO GUIDE
BASIC COMPONENTS OF A MORTGAGE
There are three basic components of a mortgage. They are the loan amount, interest rate, and loan tenure.
1. The loan amount is the principal amount that you want to borrow for the financing of your property. While most loans can be up to 80%, factors like age and commitments plays a integral part.
2. Banks in Singapore uses mainly 2 types of loans, Fixed or pegged to SIBOR . SIBOR refers to Singapore Interbank Offered Rate ,This a floating rate that changes on a monthly basis. Current rates are about 1.5%.
3. The maximum loan tenure is up to 30 years . However it depends on your age or the average combined age to determined the number of years we would be able to loan.
The repayment comprises two portions. One portion is for the repayment of the principal amount. The other portion is for the repayment of the interest.
These are the basic details you need to calculate your monthly mortgage payment.