Rates are up - it may be time to review the home loan

Here are some options home owners can consider to manage their mortgage commitments

Housing Board flats in Ang Mo Kio. Banks have hiked interest rates for both fixed and floating home loan packages recently by 10 to 30 basis points. S T PHOTO: LIM YAOHUI
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Rising interest rates are raising the spectre of higher monthly mortgage payments for many home owners, especially those with floating home loan packages.

No one needs reminding that home loan repayments form a large part of our monthly expenses, so it is important to look at cash flow and set aside more funds to prepare for higher rates, says Ms Tok Geok Peng, executive director of secured lending at DBS Bank.

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A version of this article appeared in the print edition of The Sunday Times on February 25, 2018, with the headline Rates are up - it may be time to review the home loan. Subscribe