Do you have a calculation table for purchasing an HDB flat using an HDB or bank loan?

When purchasing an HDB flat using either an HDB loan or a bank loan, here are the key factors and a general outline of the calculation process:

HDB Loan Calculations

- Eligibility: Ensure you meet the HDB loan eligibility criteria, such as monthly household income not exceeding $14,000 for families, and not owning any other private residential property.
- Loan Amount: The maximum loan-to-value (LTV) ratio for HDB loans is 80% of the purchase price or market value of the flat, whichever is lower.
- Interest Rate: The current HDB loan interest rate is 2.6% per annum, which is 0.1% above the CPF Ordinary Account interest rate.
- Loan Tenure: The maximum loan tenure is 25 years or until you reach 65 years old, whichever is shorter.
- Monthly Payments: You can use a calculator to estimate your monthly payments based on the loan amount, interest rate, and loan tenure.

Bank Loan Calculations

- Loan Amount: Bank loans typically have a lower LTV ratio, often up to 75% of the purchase price or market value.
- Interest Rate: Bank loan interest rates can vary and may be lower initially but are subject to market fluctuations.
- Loan Tenure: Bank loans can also have a maximum tenure, but it may differ from HDB loans.
- Monthly Payments: Use a mortgage calculator to determine your monthly payments based on the loan amount, interest rate, and loan tenure.

General Calculation Table

Here is a simplified table to help you understand the calculations:

Component	Description
Purchase Price	The total price of the HDB flat
Down Payment	20% of the purchase price (can be paid using CPF or cash)
Loan Amount	80% of the purchase price for HDB loans, or up to 75% for bank loans
Interest Rate	2.6% p.a. for HDB loans, variable for bank loans
Loan Tenure	Up to 25 years or until 65 years old for HDB loans, variable for bank loans
Monthly Payment	Calculated based on loan amount, interest rate, and loan tenure
CPF Deductions	Monthly deductions from CPF Ordinary Account to service the loan, if applicable

Example

- Purchase Price: $500,000
- Down Payment: $100,000 (20% of $500,000)
- HDB Loan Amount: $400,000 (80% of $500,000)
- Interest Rate: 2.6% p.a.
- Loan Tenure: 25 years
- Monthly Payment: Approximately $1,933 per month (using a mortgage calculator)

For a bank loan, the calculations would be similar but with the bank's specific interest rate and terms.

You can use online mortgage calculators or consult with a financial advisor to get precise calculations tailored to your situation. For more detailed information and to apply for an HDB loan, you can visit the HDB website or check resources available on EdgeProp Singapore.