Concept
Loan-to-Value (LTV)
LTV is the maximum a bank can lend as a percentage of the lower of price or valuation — 75% on a first housing loan.
LTV limits (bank loan)
| This is your… | Standard LTV | Min. cash | Reduced LTV |
|---|---|---|---|
| 1st housing loan | 75% | 5% | 55% |
| 2nd housing loan | 45% | 25% | 25% |
| 3rd or more | 35% | 25% | 15% |
An HDB concessionary loan is up to 75% LTV and allows CPF to cover the whole downpayment.
When the reduced LTV applies
- The loan tenure is over 30 years for private property, or over 25 years for an HDB flat.
- The loan extends past the borrower's 65th birthday (income-weighted average age for a joint loan).
- Either trigger drops a first loan from 75% to 55% LTV, and raises the minimum cash from 5% to 10%.
Frequently asked questions
What is the maximum LTV for a home loan in Singapore?
75% for your first housing loan from a bank. It falls to 45% for a second concurrent housing loan and 35% for a third or more, and to 55%/25%/15% if the loan runs past age 65 or the tenure is long.
Is LTV based on the price or the valuation?
The lower of the two. If you pay above valuation, the shortfall is Cash Over Valuation and must be paid in cash.
How much cash do I need at 75% LTV?
A minimum of 5% of the price in cash, with the remaining 20% of the downpayment payable from cash or CPF. At a reduced 55% LTV the minimum cash is 10%.