S’pore mortgage rates rise following Fed hike: What home owners should look out for
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At least four fixed-rate mortgages for a $500,000 loan on new private properties and HDB flats have crossed the 2% mark.
PHOTO: ST FILE
- Some fixed home loan rates in Singapore have risen above 2%, with banks adjusting rates following US interest rate hikes and higher wholesale borrowing costs.
- Floating-rate loans are also increasing due to expected further US rate hikes, but Singapore's managed currency policy and "flush liquidity" may limit sharp rises.
- Homeowners face a choice between fixed and floating rates, balancing cost, flexibility, and risk amid economic uncertainties and potential inflation pressures.
AI generated
SINGAPORE – Home loan rates in Singapore are heading back up, after the US Federal Reserve recently raised interest rates for the first time in three years.
Checks by The Straits Times show that both fixed- and floating-rate loan offerings are now higher across the major banks here.