hdb bridging loan 170 28

An HDB bridging financial loan is a short-expression financing possibility intended to help homeowners in Singapore deal with the monetary hole concerning promoting their current HDB flat and purchasing a whole new assets. This mortgage delivers temporary money, commonly for a period of approximately 6 months, to cover the downpayment and also other Original costs of the new house prior to the sale proceeds within the old flat are obtained. Bridging loans are commonly made available from banks and therefore are secured in opposition to the present assets. They usually include increased fascination fees get more info than standard house loans, usually ranging from 3% to 5% per annum or possibly a amount pegged to SORA. The applying system requires evidence of sale for The existing assets, such as an Option to Purchase, and documentation for the new property. Repayment of the loan is expected once the sale of the prevailing flat is done and the proceeds are received. Some banks, like UOB and Standard Chartered, offer bridging loan options, sometimes with preferential fees for patrons also getting a different household bank loan with them. It is important to note that a bridging loan differs with the HDB's Improved Contra Facility, which can be a scheme especially for All those obtaining and marketing HDB flats simultaneously.