How do I finance a private condominium purchase?
Private condominium purchases in Singapore are financed exclusively through bank loans, with a maximum LTV of 75% for first-time buyers requiring at least 5% cash downpayment. New launches follow a progressive payment scheme tied to construction milestones, while resale condos require full loan disbursement at completion. Buyers should also account for ABSD, maintenance fees, and the impact of loan tenure on LTV limits.
Last updated: 22 Apr 2026
Financing a private condominium in Singapore is done exclusively through bank loans, as HDB loans are only available for HDB flats. The process involves several key steps and considerations that differ from HDB flat financing.
For a first property purchase with no existing housing loan, the maximum Loan-to-Value ratio is 75%, meaning you need a minimum downpayment of 25%. Of this, at least 5% of the purchase price must be paid in cash. The remaining portion can come from CPF OA savings or additional cash. For subsequent property loans, the LTV limits and cash requirements are more stringent.
When purchasing a condominium directly from a developer (a new launch), the payment structure follows a progressive payment scheme or deferred payment scheme. Under the standard progressive payment scheme, payments are triggered by construction milestones, starting with the booking fee (typically 5% of the purchase price), followed by stamp duties and additional downpayment upon signing the Sale and Purchase Agreement, and then incremental payments as construction progresses. Your loan disbursement and interest payments begin progressively as each payment milestone is reached.
For a resale condominium, the full loan amount is disbursed at completion, and you begin full mortgage repayments immediately. The timeline from exercising the OTP to completion is typically eight to twelve weeks.
Interest rate options for private property loans include fixed-rate packages, floating-rate packages pegged to SORA, and board rate packages. The competitive landscape for private property loans is generally more dynamic, with banks frequently launching promotional rates and packages.
Private property buyers should also consider additional costs such as maintenance fees (which can range from a few hundred to over a thousand dollars per month for luxury developments), property tax, fire insurance, and potential ABSD if purchasing a second or subsequent property.
Loan tenures for private properties can extend up to 35 years (MAS cap). Banks typically apply their own age-based limits on top, often requiring the loan to end by age 65–75, which can shorten the tenure available to older borrowers in practice. If the loan tenure exceeds 30 years or extends beyond the borrower's age of 65, the lower LTV tier applies: 55% for borrowers with no outstanding housing loan, 25% for those with one outstanding loan, and 15% for those with two or more.
Through Cashew, private property buyers can compare loan packages from multiple banks, ensuring they secure the most competitive rate and terms for their specific situation.