Housing Loan from Financial Institutions

You may finance your flat purchase with a housing loan from a financial institution (FI) that is regulated by the Monetary Authority of Singapore (MAS).

Find out the key considerations and important information when taking a housing loan from an FI below.

Financing considerations

Understand the terms and considerations when taking an FI housing loan.

Interest rate

Varies among FIs and may change with market conditions.

View and compare housing loan packages offered by the participating FIs.

Repayment period Up to 30 years
Loan-to-Value (LTV) Limit

Refers to the maximum amount of housing loan a flat buyer can take up, expressed as a percentage of the lower of the purchase price or flat value.

New Flats Resale Flats
LTV Limit Up to 75% of the flat purchase price Up to 75% of the resale price or value of the flat, whichever is lower
Conditions FIs may have additional restrictions for purchase of flats with shorter remaining leases and/ or if you have additional housing loan(s)
Minimum cash payment

At least 5% of the flat price or value (whichever is lower) has to be paid in cash. The remaining balance can be paid in cash, CPF savings in your Ordinary Account (OA), and/ or housing loan.

The minimum cash payment will depend on the flat buyers’ age, loan period, and whether there are any outstanding housing loans.

CPF utilisation

You may use any amount in your CPF OA for flat purchase, up to the applicable limits as follows:

  • The total amount of CPF savings that can be used to buy or take over the flat and pay the monthly mortgage instalments will depend on the extent the remaining lease of the flat can cover the youngest buyer or transferee up to the age of 95; and
  • Applicable CPF usage limits for the purchase of:

When the allowed CPF amount is used up, you need to pay for the balance purchase price and/ or the monthly mortgage instalments in cash.

For more information on the use of CPF savings, you may use CPF Board’s calculator.


You may refinance the FI housing loan with one from another FI or a different interest rate package. Do check with the FI on the terms and conditions (e.g., lock-in period).

You cannot refinance to an HDB housing loan.

Priority of payment

If you sell an HDB flat with an outstanding housing loan from an FI, the sales proceeds will be applied in the following order:

1. Discharge the outstanding housing loan with the FI.
2. Refund the CPF monies (with interest) that was used to finance the property.
3. Pay the interest on the housing loan (from the date of default in payment, if applicable), and the interest on the CPF monies that was used.

The FIs offer a variety of housing loan packages with different features and benefits. Evaluate your options and understand the terms and conditions of your housing loan before making a decision and committing to a flat purchase.

Application for an FI housing loan

Find out when and where to apply.

When to apply

Apply early for an In-Principle Approval (IPA) from the FI for a preliminary assessment of your housing loan eligibility.

You will need to obtain a valid Letter of Offer to confirm the loan offer from an FI before you can:

  • Sign the Agreement for Lease for a new flat
  • Exercise the OTP for a resale flat

Do plan ahead and give yourself enough time to:

  • Evaluate the different housing loan options available
    • You may use our calculator to obtain housing loan estimates from HDB and the FIs, and check if you have sufficient budget for your intended flat.
  • Submit applications for the IPA or LO from your preferred housing loan provider
  • Obtain and accept the Letter of Offer
Where to apply

Approach any FIs regulated by the Monetary Authority of Singapore to check your loan eligibility.

You may view the list of FIs from the Financial Institutions Directory. Do request a Customer Information Sheet from the FIs for your reference. 

Must I take a housing loan from an FI?

You do not need a housing loan if you have sufficient cash and/ or CPF savings to pay for the flat purchase in full. If you require a housing loan, you may take it from HDB or the FI, subject to meeting the eligibility criteria and credit assessment guidelines.

You have to take a housing from an FI if you are buying a unit from a property developer under the Executive Condominium Housing Scheme.

Financing guides

Learn more about taking a housing loan from FIs and debt management.

Plan your finances and make an informed decision with the following guides:

These articles were produced by the Association of Banks in Singapore (ABS) in close collaboration with major FIs, the Consumers Association of Singapore, and MoneySENSE.

Legal services

Find out the conveyancing and legal services for your flat purchase.

The purchase of HDB flats require the services of solicitors for the conveyancing and mortgage (if you are taking a housing loan). We provide these legal services for those who are taking a housing loan from HDB to buy a new or resale flat.

If you are taking a housing loan from an FI, do take note of the following requirements, depending on your arrangement with the FI:

Arrangement Requirements
If engaging the services of private solicitors You have to submit a letter from your solicitors to us.
If engaging HDB’s legal services

HDB can act for you in the purchase and/ or mortgage of the flat.

However, if a personal guarantee is required by the FI to secure the housing loan, HDB cannot act for you in the mortgage.

To engage our legal services, you will need to submit a signed Warrant to Act which will be provided by HDB.