All About Loan In Singapore
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Personal Loans For Property Down Payment

Unless you are not living in Singapore or totally obnoxious to property, you will be aware that there is a mass rush to buy property in Singapore. Singapore property prices are rising in spite of the gloomy global economy. This have leave many international experts baffled. However, it looks like nothing is going to stop people from buying property.

It has to be noted that getting a mortgage to buy property is a substantial financial commitment over a number of years. The average price of mass market private properties is $1m. So imagine paying that over 20 years to 30 years. The thing is that because of the rising prices, people in Singapore are afraid that they will not be able to afford properties in future if they do not act now and buy. This is a cycle that has driven the demand of real estate. In fact, the unaffordable real estate panic has buyers wanting to buy property now even though they cannot afford the down payment for the home purchase. This group of buyers are looking for an extra personal loan to fund the down payment.

It is advisable that you do not commit yourself to buy property if you cannot even afford the down payment. However, if you really have to, there might be some avenues that can get the funding you need. The authorities have made it clear that they do not advise taking on extra loan on top of a housing loan to buy your house. This is very high leverage and gearing. Banks might also turn down personal loans taken with the intention to use the money for home purchase. Financial institutions already have proper home loans for you to take up. So personal loans to buy property is not recommended.

This leaves you to go to licensed money lenders for that additional funding. Money lenders can charge considerable interest and you should avoid these high interest loan if possible. However, if you really have to, you can find reputable licensed money lenders online easily. Money lending is a gaining widespread acceptance in Singapore and there are so many around that it is hard not to notice. Even pawn shops are thriving at the moment.

The thing you should look out for about a money lender is:

1) Do they have a website presence? Take a look at their websites and see if they are transparent and credible.

2) How long have they been in business? Lenders who are around longer are probably less likely to shut down.

3) What are the documents they require from you? Standard documents are your identity card and income tax statement.

4) What kind of loans do they have? A lender may just have the right product tailor made for someone in your situation.