A Singaporean Guide to Home Buying Fees & Charges

A SINGAPOREAN GUIDE TO HOME BUYING FEES & CHARGES And a demonstration on why you should FIGHT for every 0.01% on your HOME LÓAN INTEREST RATE MONEY YOU'D HAVE TO PAY TO OWN A HOUSE IN SINGAPORE STAMP DUTY FOR TRANSFER OF FEE FOR TRANSFER OF OWNERSHIP TITLE & OTHER OWNERSHIP TITLE (MEMORANDUM OF TRANSFER) LEGAL FEES $$$ $$$ 1% for the first S$180,000; 2% on the next S$180,000, and 3% on the subsequent amount 0.4% of the transacted price, up to S$3,000 пи STAMPING FOR MORTGAGE BANK PROCESSING AGREEMENT FEE FOR A LOAN $$ 24 0.5% of the amount secured, up to S$500 S$100 or less MORTGAGE REDUCING TERM INSURANCE STAMP DUTY (i.e. INSURANCE FOR YOUR HOME LOAN) FOR A LOAN $$$ $$ Around S$1,000 per year, depending on the age and loan amount 2% to 4% of the loan amount, up to S$500 VARIOUS LEGAL DISBURSEMENT FEES A few hundred Singapore Dollars AND OF COURSE. THERE'S... THE VALUE OF THE PROPERTY ITSELF BUT THAT'S NOT ALL The above aside, you'll be paying, quite possibly for a huge part of your remaining working life on... $. $. HOME LOAN INTEREST $ $. To show you how a tiny % causes a HUGE difference, 2.0% 2.2% let's take a look at interest rates from TO Here's A Quick Comparison =( S$500,000 30 Years = 2.2% P.A. %3D ::: II :::: = 2.05% P.A. Monthly Payment = 2.0% P.A. Monthly Payment = S$1,898 Monthly Payment = S$1,861 %3D = S$1,848 Total Repayment Total Repayment Total Repayment = S$683,462 = S$669,825 S$665,315 %3D Total Interest Paid Total Interest Paid Total Interest Paid = S$165,315 S$169,825 = S$183,462 %3D DIFFERENCE = S$4,510 DIFFERENCE = S$13,637 S$18,147 FOR A 0.2% DIFFERENCE!!! CONCLUSION YOU CANNOT DO MUCH ABOUT THE LEGAL FEES AND CHARGES OR THE PROPERTY VALUE. BUT YOU CAN SAVE TONS BY: • FIGHTING FOR EVERY 0.01% ON YOUR HOME LOAN INTEREST. • BE AN INTELLIGENT HOME BUYER. ALWAYS MAKE SURE YOU'VE MADE COMPARISON ON HOME LOAN INTEREST RATES WITH SEVERAL BANKS BEFORE YOU COMMIT. YOU CAN DO THIS RIGHT NOW BY USING A MULTI-BANK HOME LOAN COMPARISON TOOL: WWw.IMONEY.SG/HOME-LOAN. HAPPY HOME BUYING! This infographic is brought to you by iMoney a price comparison website dedicated ŞINGAPORE to helping Singaporeans make the best use of your money. We can be contacted at [email protected] E INFOGRAPHIC DESIGN BY spurpress .com