Property
4 Factors Affecting Your Property Loan-To-Value (LTV) Limit
By Singapore Property Blog  •  April 21, 2020
By Darren Ong (guest contributor) In Singapore, before you apply for a housing loan from banks or any financial institution (FI), you have to first determine the maximum housing loan amount you can borrow, which in turn determines how much upfront cash or CPF fund you need to set aside before you commit to any purchase of Singapore property. On the 5th of July 2018, MND, MAS and MOF jointly announced that the LTV limits will be tightened by 5% for all housing loans granted by financial institutions (FI), as part of a package of measures to cool the property market in Singapore and keep housing price increases in line with economic fundamentals. In simple terms, the LTV limit simply means the loan amount as a percentage of the property’s value. For example, if your LTV limit is 60%, this means you can only borrow $600,000 from the bank for a property valued at $1,000,000....
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By Singapore Property Blog
Propwise.sg is a Singapore property blog dedicated to helping you understand the real estate market and make better buying, selling, renting and investing decisions – minus all the hype and misinformation ...
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