Should I use a mortgage broker or go directly to the bank?
In Singapore, using a mortgage broker is typically advantageous over going directly to a bank because brokers compare loan packages across multiple lenders at no cost to you, as their commission is paid by the bank. Brokers are especially valuable if you have a non-standard income profile, complex financing needs, or simply want confidence that you've explored all available options. The key is choosing an independent broker with broad bank relationships and no preferred lending partnerships.
Last updated: 22 Apr 2026
This is a question many homebuyers grapple with, and the answer depends on your knowledge of the mortgage market, the time you have available, and the complexity of your financing needs.
Going directly to a bank means dealing with the bank's mortgage specialist or relationship manager. That means, you are limited to that bank's products and rates. To get a comprehensive view of the market, you would need to approach multiple banks individually, submit separate applications, and compare offers on your own.
A mortgage broker or advisor acts as an intermediary who compares loan packages from multiple banks on your behalf. Good brokers have access to a wide range of products and can identify the most competitive options for your specific profile. They handle the application process, documentation, and coordination with banks, saving you significant time and effort.
In Singapore, mortgage advisory services like Cashew are free for homebuyers. The broker's commission is paid by the bank, not the borrower, so there is no additional cost to you for using this service. This makes the comparison somewhat asymmetric - you get access to broader market coverage and expert guidance at no cost, versus a self-service approach that requires more time and knowledge.
The value of a broker is particularly high if you have a non-standard income profile (self-employed, commission-based, or variable income), are purchasing a property type with specific financing requirements (such as a short-lease property or landed house), need to navigate complex situations like decoupling or ABSD planning, or simply want the confidence of knowing you have explored all available options.
The main consideration when choosing a broker is their independence and depth of bank relationships. A truly independent advisor compares across the broadest possible range of lenders, while some brokers may have preferred partnerships that limit their recommendations.
Cashew works with all major banks in Singapore and has no preferred lending relationships, ensuring recommendations are based solely on what is best for the borrower.