Home loans more accessible with sliding interest rates
The Business Times, 21 Nov 2019, Thu
By Siow Li Sen
HOMEBUYERS are being enticed by cheaper home loans as interest rates slide in line with softer economic conditions.
Banks are offering longer fixed rate loans such as fixing the interest rate for five years, as well as lower floating rate packages starting at 1.82 per cent per year to attract homebuyers, and those looking to refinance.
Those refinancing now can expect to pay an average 1.82 per cent to 1.83 per cent, said Darren Goh of mortgage broker MortgageWise.sg.
That’s quite a fall from the average 2.3 per cent to 2.4 per cent charged by banks earlier this year when the key 3-month Sibor or Singapore interbank offered rate surged to a high of 2 per cent in May.
Since then the benchmark rate has fallen, it was 1.76 per cent on Nov 18, a level last seen 12 months ago.