Two days ago, there was an article on Channel News Asia that reported: “Home owners should prepare for higher mortgage rates: Analysts”. In the article, it reported that analysts have said home owners should brace themselves for further increases in mortgage rates. Singapore has one of the highest percentage of home owners which means most of us also have mortgage loans. It is impossible to buy a house without a mortgage loan nowadays.

How increase in mortgage rates affect home owners? 

Those of us who have mortgage loans from the bank would already have felt the increase in the monthly instalments we pay for our housing loans if we did not refinance it to a fixed rate package. Some of us have small increases below $100 per month while others who have larger mortgage loans have bigger increases of a few hundred dollars per month. This increase is not …