hdb bridging loan 170 28

An HDB bridging bank loan is a short-phrase financing solution meant to help homeowners in Singapore manage the economic gap among marketing their current HDB flat and getting a different assets. This personal loan presents non permanent resources, ordinarily for just a duration of nearly six months, to cover the downpayment along with other Preliminary expenses of the new property ahead of the sale proceeds from your previous flat are obtained. Bridging loans are usually offered by banks and are secured against the prevailing residence. They commonly feature larger interest rates than standard dwelling financial loans, typically starting from three% to five% per more info annum or perhaps a rate pegged to SORA. The applying course of action involves proof of sale for The present home, such as a possibility to invest in, and documentation for The brand new home. Repayment of the personal loan is anticipated after the sale of the prevailing flat is concluded as well as the proceeds are obtained. Some banking companies, like UOB and Typical Chartered, supply bridging loan solutions, from time to time with preferential charges for customers also getting a fresh house personal loan with them. It is important to note that a bridging financial loan is different from the HDB's Improved Contra Facility, which can be a plan specifically for those shopping for and marketing HDB flats simultaneously.