Refinancing after your lock in period and clawback period is up, is essential to continously be paying the least interest for yoru mortgage. Using a Mortgage Broker like us, will allow you a one stop shop to get all the banks rates at one place, and also our service is free. There are certain factors to consider when refinancing your loan. 1) Is my current bank offering any good repricing rate 2) What is the best rate for "MY PROFILE" in the market - the lowest rates may not be the safest - there may be more factors to take into consideration like is there a possibility to get a waiver of penalty if you sell your house during the lock in period etcetera 3) The cost of refinancing and how much subsidies do you get to cover these costs 4) Taking savings from better interest rate vs cost of refinancing and make sure ultimately you save $$ I hope this helps!

What is the thereafter rate of the SBI mortgage? There thereafter rate after the first few years of low interest is more important than the initial rate. There are a few points to consider and any good mortgage broker would have brought you through these points. 1) As you already know your loan amount in the future will get lesser and lesser. Meaning you probably will not want to refinance again in the future. (The cost become more and more exorbitant as the subsidies become less) 2) This means you need to find a mortgage package that gives you stability over the WHOLE loan tenure and not just the first few years. If not you are just going to get "Tok" by the bank after the initial low few years of rates are completed. 3) I suggest that you go back to DBS and get something like 1.5% five years fixed. And then continue to reprice within DBS / POSB after that. Their hotline is 6333 0033 Side note : If SBI package is good for the first 3 years (Assuming) and you guarantee chop stamp going to sell your house after 3 years. Then ok can change to SBI.

DISCLAIMER: I work for Mortgage Master, a mortgage broker, so this will be a totally biased answer. It never hurts to go to a mortgage broker first. A mortgage broker's services are free and the best ones will advise you on the best option that will help you save money in the long run. This could mean finding the best bank home loan for you, or could even mean telling you not to refinance but instead to stick to the HDB loan because the amount you can save is not worth the effort of refinancing. For example, since your outstanding balance is about $110,000, and you only have 15 years left on your loan, it may not make sense to refinance now since you will incur upfront costs (such as legal fees and valuation fees) that a bank is unlikely to absorb due to your lower loan amount. A good mortgage broker will be able to present these calculations to you and help you make the right decision! Mortgage brokers will also know the best bankers to handle your specific needs and to ensure that the process of refinancing (should you choose it) is a seamless one. Once again, the mortgage broker's services are free, so it's best to consult one first before you make any decisions. But of course, as I said earlier, this is obviously a biased opinion haha When you go straight to a bank, you probably won't get to choose which banker handles your case, and you probably will be pushed a single home loan package, and not given the choice of several. Hope this helps!

Typically banks do not refinance outstanding loan amounts below $100,000. At that amount, it would not make sense to the homeowner either, since refinancing incurs legal fees and valuation fees and the amount you potentially save in the long-term barely covers these upfront costs. If you're on a bank loan with less than $100,000 and your interest rate is particularly high (e.g. 2.0% in 2020), then consider approaching your bank to reprice. Repricing incurs less upfront costs (because you're staying in the same bank so there's less paperwork involved). Hope this helps!

From my understanding, you can do HDB loan at 90%, then refinanced fully to bank loan. Some people do recommend waiting of few months before refinancing. I do know there is refinancing fee, inflexibility of bank loan repayment, unable to go back HDB loan etc to take account to.

Depends on your goals & objectives. When you pay off completely = lose capital to earn. So some might choose to have a low interest rate loan & put the excess capital they have into assets that earn them good interests/ interests higher than the home loans. Having debt is not a bad thing if you leverage well on it. Hope that helps!

From experience, there is usually no penalties in applying for refinancing from various banks/financial institutions. This is because the contract to refinance have not been signed at this stage. Stages: 1) Application to Bank/FI 2) Offer given by Bank/FI 3) Applicant will sign on offer letter and submit in to Bank/FI to formalise contract. Hope this clarifies!

With Fed sees interest rates staying near zero through 2022, I expect low interest rate to stay till then. We are not sure on the rates you have and what they are offering, but I will definitely take advantage of the low interest rate to refinance my loan. Preferably to opt for a fixed interest loan. https://www.cnbc.com/2020/06/10/fed-meeting-decision-interest-rates.html

Hi WL, Yup. Interest rates are dropping rapidly and you might want to consider refinancing. If you are able to maintain the same payment amount, you might be able to shorten the payment duration by a few years, which will help you save a fair bit. E.g., a $400K HDB loan @ 2.6% over 25 years is $1814/mth or $544K in total. Refinancing to a $400K bank loan at 1.6%, maintaining the ~$1814/mth repayment, will lead to a monthly payment of $1798/mth but a repayment period of 22 years, or $474K total. That's a pretty significant saving. The downside is that for fixed rate loans, they will eventually become floating rate loans down the road, and we won't know what the interest rates will be then. If you take floating rate loan, they fluctuate pretty regularly. HDB loans have been pretty much OA interest + 0.1% for the longest time now, which allows you a certain predictability in your monthly outflows. However, the cost savings now are significant. You won't be able to refinance back to a HDB loan once you go for a bank loan however.