06/10/2022
Local lenders DBS, UOB and OCBC on Tuesday (Oct 4) raised their fixed rate home loans, with rates reaching as high as 3.85 per cent.
DBS, Singapore's largest lender, made the first move. A check of its website on Tuesday morning showed four fixed rate packages available, ranging from two to five years. All four are set at 3.5 per cent per annum.
DBS had previously removed all fixed rate mortgages from its website, as it conducted a review following another steep interest rate hike by the US Federal Reserve last month.
The same fixed rate of 3.5 per cent also applies to its two-in-one home loans, which allows borrowers to structure up to half of their loan amount in fixed rates and the remainder under a floating rate package.
DBS last adjusted its home loan rates in end-June. Then, it raised the rates on its two-year and three-year fixed rate packages to 2.75 per cent per annum, while scrapping a five-year fixed-rate package for Housing Board flat buyers.
The bank also introduced a new home loan package last week, allowing new and existing owners of HDB flats earning less than S$2,500 a month to take up a mortgage with POSB at 2.6 per cent per annum. This rate is similar to that of a HDB housing loan.
Overview Fixed rate packages (% per annum)
DBS
2-year, 3-year, 4-year, 5-year: 3.5%
OCBC
1-year: 3.35%
2-year: 3.5%
UOB
2-year: 3.75%
3-year: 3.85%
