The US consumer price index (CPI) remained high last month.  Inflation is not coming down. The market is expecting the Federal Reserve to hike interest rates by at least 0.75% (or 75 basis points). This move will affect us as interest rates in Singapore follow interest rates in the US closely. In other words, Singapore’s interest rate will increase again (but not our salaries ☹). This means that you will have to pay higher interest rates on your loans. Most of us will be required to take up a loan to finance our home purchase, and as responsible adults (coughs I mean I try to…), we should do some research on whether we should be taking an HDB loan or Bank loan. For the first-timers who have yet to pick a loan, I will use a little bit of economics to show you why you should be picking one over another....