Consider other factors outside of the economic climate. Nobody can predict with absolute certainty whether interest rates will go up, or down.
- Are you willing to fork out any cash?
If no, HDB loan is more suitable for you as there is zero cash outlay.
If yes, bank loan is more attractive because of the lower interest rate, though part of the payment has to be paid in cash.
- Do you have a good amount of emergency funds in CPF/Cash to service your mortgage in the event of job loss / economic downturn / business failure?
If no, HDB loan is more suitable for you since chances of HDB confiscating your home due to default is lower as compared to the banks. The banks will seize your property despite your circumstances. HDB is said to be more understanding and forgiving considering they are a government entity and likely will give you leeway due to defaults.
If yes, bank loan is more suitable for you because you're more than capable to service the mortgage loans. You'll be in a less likely position to default your loans.
Consider other factors outside of the economic climate. Nobody can predict with absolute certainty whether interest rates will go up, or down.
If no, HDB loan is more suitable for you as there is zero cash outlay.
If yes, bank loan is more attractive because of the lower interest rate, though part of the payment has to be paid in cash.
If no, HDB loan is more suitable for you since chances of HDB confiscating your home due to default is lower as compared to the banks. The banks will seize your property despite your circumstances. HDB is said to be more understanding and forgiving considering they are a government entity and likely will give you leeway due to defaults.
If yes, bank loan is more suitable for you because you're more than capable to service the mortgage loans. You'll be in a less likely position to default your loans.