HDB Home loan rates

[City100a]

I always though that HDB loans awere heavily subsized that it is almost like lelong but then how come HLF can offer heartlanders cheaper loans

 

I think we need an explanation from HBD as to why

 

 

 

 

HLF stirs waters, cuts HDB home loan rates

 

By SIOW LI SEN

 

Hong Leong Finance (HLF) has slashed its HDB home loan rates in a bid to undercut the competition amid a low interest rate environment, but it seems some banks might have been even quicker on the draw.

 

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[Noobcar]

U forget that they only give u the figure of first 3 years loan. HDB long is a long term one at least 10-20years, the bank feed u sugar for the first 3 years and get it back after that..

[City100a]

very good point indeed

 

thanks now i understand better

 

 

[Hiphiphoray]

U forget that they only give u the figure of first 3 years loan. HDB long is a long term one at least 10-20years, the bank feed u sugar for the first 3 years and get it back after that..

 

Can do re-financing after 3 years right ?

 

And enjoy the 1st 3 years promotional rates again ?

 

Keep jumping banks until the outstanding loan is gone. Possible this way ?

[Code01]

Hdb loan is peg to CPF so very safe. Difference is always 0.1%. Very safe. Banks operate for the purpose of making money. Give u sugar first la. In 2004 I think, when Hdb first allow bank to offer loan to Hdb owners all make the jump from Hdb loan. After a yr or so, rates went up and all wanted to go back to Hdb but was rejected..

[Anakin]

3 yrs later dun know what is the finance market liao. can be up can be down.

may be 2012 world end liao so no need to repay!

[Espire]

Can do re-financing after 3 years right ?

 

And enjoy the 1st 3 years promotional rates again ?

 

Keep jumping banks until the outstanding loan is gone. Possible this way ?

 

once the sibor is up... u can sayonara... and most likely hdb would not loan you dat time...

Edited November 12, 2009 by Espire

[Noobcar]

3 yrs later dun know what is the finance market liao. can be up can be down.

may be 2012 world end liao so no need to repay!

 

I can offer u a safe place to put all ur money........IN MY BANK ACCOUNT since u wont need it after another 3 years must well do more charity

[Hamburger]

Can do re-financing after 3 years right ?

 

And enjoy the 1st 3 years promotional rates again ?

 

Keep jumping banks until the outstanding loan is gone. Possible this way ?

tis is wat everybody is doing.......repricing every 2-3yrs, depending on contract u signed

[Hiphiphoray]

tis is wat everybody is doing.......repricing every 2-3yrs, depending on contract u signed

 

My current bank loan(the shape of a ship one) is as follows. Duno rates good bor ?

 

1) 2.52% per annum below prevailing HDB value rate (currenty at 4.5% per annum) for first 12 mths.

 

2) 1.62% per annum below prevailing HDB value rate (currenty at 4.5% per annum) for next 12 mths.

 

3) 0.75% per annum below prevailing HDB value rate (currenty at 4.5% per annum) or such other rates as the bank stipulate from time to time.

 

Lock-in period is 1 year. I guess have to re-finance after 2 years ?

[Mummypenguin]

My current bank loan(the shape of a ship one) is as follows. Duno rates good bor ?

 

1) 2.52% per annum below prevailing HDB value rate (currenty at 4.5% per annum) for first 12 mths.

 

2) 1.62% per annum below prevailing HDB value rate (currenty at 4.5% per annum) for next 12 mths.

 

3) 0.75% per annum below prevailing HDB value rate (currenty at 4.5% per annum) or such other rates as the bank stipulate from time to time.

 

Lock-in period is 1 year. I guess have to re-finance after 2 years ?

The lock-in period may be 1 year but you might need to pay the legal subsidy back if you do full redemption within 3 years. This was my case when I took up bank loan.

 

Bank loan if you default for 3~4 months, bank will do a mortgagee sale. HDB, theoratically 3 months, but they will give you many chances before they really take back the house.

[Hamburger]

true....lock in is 1 thing, but clawback(legal subsidy) is another.

[Inlinefour]

dear DaiGors

 

may I ask is it advisable to pay back the cpf OA amount used for hdb flat?

 

noticed that the compound interest very high

 

not selling my pigeon hole

 

kam sia very much