How much mortgage can you get?

[3.5k a month]

We are just about to seek professional advice but just wondered if anyone knew how much of a mortgage we could get, to buy a property here in Singapore, over 20 years, for a repayment of 3.5k a month

thank you

[MCalc]

Most of the local banks have an online mortgage calculator on their website. I think HSBC has a calculator on it's site too, while Citi has a form where you can fill up your numbers, and they will call you back.

Since you are seeking professional advice anyway, I would suggest that you save yourself the online trouble, and go directly to the professionals. As the market has gone south, the exact percentages on offer (loan to value, etc.) would depend on the discretion of the "professional" instead of pre-loaded formulae in the online calculators.

[Kubes.SG]

You will find that the banks will lend you up to 70% to 80% of what they value the property to be, not the selling price.  You have to cough the difference between that and the final selling price+++.  So the amount you can borrow is more related to the size of the down payment or deposit you have.  Assuming the you have say $250K deposit the mortgage you may be able to borrow may be around $750K.   Don't have a deposit - forget it.

But the biggest question you must ask yourself is "Why on earth should I buy a property in Singapore when there is an 80% likelihood it's value will decline between 20% and 50% over the next 2-3 years". 

Go ask your financial adviser that question.  If s/he does not think this will happen, walk out the door.

My advice is to rent as these will be declining very fast so you will be able stay well for a smaller cost.  Consider buying in 2-3 years time.

[koi]

There are many cash rich investors( locals as well as expats) waiting on the sidelines. It will interesting to see when they will make the move.

[boo hoo]

There are many cash rich investors( locals as well as expats) waiting on the sidelines. It will interesting to see when they will make the move.

yes.. waiting to "snap-up" the units, and causing everyone else to "miss out" on the action and having to "live in a HDB flat the rest of their lives"....

[Same old thing]

There are many cash rich investors( locals as well as expats) waiting on the sidelines. It will interesting to see when they will make the move.

They will make the move after the boat has long left and they will all rush in at the same time to drive prices wildly higher overnight. What happened in 2007 will be repeated. Human beings never learn. That is why not all can become rich. Some like Kubes will have no more than 1/3 of a home for the rest of their lives because they will be busy advising people to wait for 2-3 years while missing the boat over and over again.

[BookerPrizeWinner]

Just as I was going to say that it's been a while since the Troll visited these parts of town.

You know, right as we speak, there are tons of people having brunches in all the five star hotels of Singapore, just thinking about the right time to 'snoop in' and 'snap up' properties. Just wait for a week or two, then it will all be back to normal, coffee shop uncles and taxi drivers will again be queuing up to buy multi-million dollar condos that have no correlation, whatsoever, with their earning power, and real demand.

The exalted Singapore government will just sit by, nay, even cheer, the stunning revival, and subsequent, meteoric rise of property prices.

Everyone will go "wow, it makes so much sense that private housing costs one hundred and ten times that of average household income" and "you guys just don't get it, this time it is different, and Singapore is extra special".

Just give me a ring when the balloon starts inflating again, I just can't wait to get on to with the party.

There are many cash rich investors( locals as well as expats) waiting on the sidelines. It will interesting to see when they will make the move.

They will make the move after the boat has long left and they will all rush in at the same time to drive prices wildly higher overnight. What happened in 2007 will be repeated. Human beings never learn. That is why not all can become rich. Some like Kubes will have no more than 1/3 of a home for the rest of their lives because they will be busy advising people to wait for 2-3 years while missing the boat over and over again.

[Just Bought]

I just bought a 1600 sq ft 99 years LH private apartment last Sunday for S$315 per sq ft. If seller is willing to sell 20% to 50% cheaper in the next 2-3 years, I Will buy another one or two more in the same estate for long term investment.

[SGD Bear]

To PP:  you're right, if you bought a property at that low of a price, it probably would not go down another 50%...BUT, are you sure you want to live there?  Is it in Malaysia or the swamplands of Singapore?  How about the condition of the building?  does it have a moldy smell to it?

The large price declines will come in districts 9, 10 and 11.  where expat would like to live if they can afford it.

I find it funny that people are buying properties now when BANKS ARE SAYING THE PRICE IS TOO MUCH.  Yes, they may be conservative, but they are providing the financing, and will set the market along with supply and demand.  I agree they are doing a dis-service to Singapore, but that's reality.

[SGD Bear]

There are many cash rich investors( locals as well as expats) waiting on the sidelines. It will interesting to see when they will make the move.

You must be joking.  Even though some people have money, they are worrying about their JOBS.  and Yes, even if there are a boatload of rich investors on the sidelines, how are they going to rent out the apartment when expats are leaving Singapore? 

When i say you need to look at supply and demand, i mean to look at ACTUAL demand, i.e., owner-occupied or rental demand.  Investor demand will be speculative, and they will get burned if they don't pay attention to the underlying REAL demand.  or else have their condos sit idle collecting dusty and gekko sh*t streaks for the next two years.

[chaos theory]

They will make the move after the boat has long left and they will all rush in at the same time to drive prices wildly higher overnight. What happened in 2007 will be repeated. Human beings never learn. That is why not all can become rich. Some like Kubes will have no more than 1/3 of a home for the rest of their lives because they will be busy advising people to wait for 2-3 years while missing the boat over and over again.

This is crap. The Singapore boom bust property cycle is busted for good. Think about it. The 10 year spikes are all fueled by speculation and unrestained liquidity.

The days of free market financing are over as Governments regulate and nationalise the banking industry. No Government including Singapore will allow what happened here in 06/07 to happen again.

Parties over trolls.

[Another just bought]

I just bought a 2 brm apart in district 1.

Bank valuation was higher than asking price.

I got 90%.

[koi]

Let's look at the mindset of a cash rich individual. He is likely to be risk averse. Forget about shares or foreign currencies. The bank pays less than 1% for FD. He buys a $1 million property. If other LL are asking for 3K he can easily rent out for 2K. The returns are much better than putting the money in the bank. He may need to consult a valuer but definitely not a bank officer before making the purchase.

[90%]

Its all down to value.

If the property in question is bought at fire sale price. Bank valuation could be higher.

But to get 90% loan perhaps you are the few that are in an excellent financial position?

I just bought a 2 brm apart in district 1.

Bank valuation was higher than asking price.

I got 90%.

[SGD Bear]

I just bought a 2 brm apart in district 1.

Bank valuation was higher than asking price.

I got 90%.

bullsh*t...another LL trying to pump up the market.  No way banks are valuing the property at higher value than the landlord who's selling the property.  ha.  please at least make up something that's believable.