HDB loan or bank loan?
    
 
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  1. #1
    Senior Member snowy is on a distinguished road
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    HDB loan or bank loan?

    Hi brides, my hubby and i are buying a resale flat, may i know should we take a bank loan of hdb loan? So far i've heard that hdb loan allow for more time if *touchwood* cannot pay the monthly payments

  2. #2
    Member Pinkpig is on a distinguished road
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    hdb loan is better, banks dont give chance if you cannot pay the installments

  3. #3
    Junior Member lovefood is on a distinguished road
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    Agreed with Pinkpig. HDB have the "heart" and usually will not press as hard as the banks if we are unable to pay the installments.

  4. #4
    Member Lindah is on a distinguished road
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    unless you are rejected for loan by HDB, i dont suggest you go for bank loan.

  5. #5
    Senior Member pinnpinn is on a distinguished road
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    Yup! bank loan can only loan up till 80%, meaning you have to fork out the extra cash (which can be alot!) when doing the downpayment and the remaining 15% that the bank loan dont cover. aND in situation whereby the valuation of your house decrease, YOU NEED TO FORK OUT THE DIFFERENCE IN CASH TO THE BANK! (meaning when u get bank loan, ur new house is valued at $400k, a year later, it dropped to $300k, you have to topup $100k!) But for HDB loan, you dont have to.

    but for what i know, hdb loan have an income capped at $8k though bto income ceiling revised to $10k. correct me if im wrong. but then again, can appeal.

  6. #6
    Member Lindah is on a distinguished road
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    Hm pinnpinn, if im not wrong now is only up to max 60% for bank loan? the remaining 40% have to fork out cash! Really crazy. But those combined income above 10k one really hard, have to go for bank loan although can appeal. and then bank interest rates always fluctuate, you have to keep refinancing if they raise the interest rates lol. My mum is facing that situation now haiz.

  7. #7
    Senior Member pinnpinn is on a distinguished road
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    what?!?!?!?!?! 60%? I think 60% is those that already have an existing bank loan? because the last time i check, its still 80%

  8. #8
    Senior Member snowy is on a distinguished road
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    first property is 80%, second property is 60%. but both have to be private property, because if you own a hdb you cannot own private.

  9. #9
    Junior Member unhcounhco is on a distinguished road
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    When he got the latest HDB 5 home toned, he was determined to lower his homes personal loan at the earliest opportunity in order to be free of debt. Droped straight uses all the money within his savings account to the. The fact is that, ... The vast majority of his earnings was adopted to services his car and truck loans, education loan, usecured bank loans and previous bank card financial products. Droped straight was required to end up with utilizing more costly a credit card to wave in .

  10. #10
    Senior Member Jiemin is on a distinguished road
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    Quote Originally Posted by snowy View Post
    first property is 80%, second property is 60%. but both have to be private property, because if you own a hdb you cannot own private.
    Ya right, 60% is only for second property, when you had another existing housing loan, this is usually for private.
    It can applied to 2nd timer EC buyer too(you need to sign agreement that you will sell your house upon getting the key, but you have to find a way to pay the developer 40% instead of 20%)

    Its not true that you cannot own HDB with a private.
    As long as your HDB is fully paid, you can loan 80% from bank for your private property.
    However, you are only able to use your CPF if only there are at least 60K in it.
    If 2 person(couple) loan together, it will be 120K untouchable amount in CPF before you can use them for your downpayment or repayment for loan.

  11. #11
    Senior Member melo is on a distinguished road
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    thanks for sharing jiemin, many of these things are quite confusing.

  12. #12
    Member butterscotch is infamous around these parts
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    HDB's for me too. They tend to be more considerate.

  13. #13
    Member ladygretel is infamous around these parts
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    HDB because they are less harsh.

  14. #14
    Member museatheart is infamous around these parts
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    HDB loans are much more lenient.

  15. #15
    Member goldengirl is infamous around these parts
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    We signed p for a bank loan for the house.

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