Maybank Home Loans

Whether you’re looking for fixed or floating home loan rates for an executive condominium or private residential property, Maybank has a range of packages for you to choose from.

Maybank’s SRFR2 vs SORA-pegged packages

Maybank offers two types of floating-rate mortgage packages — either based on the SRFR2 (Maybank’s board interest rate which is published on Maybank’s website) rate or pegged to the SORA rate.

Packages with interest rates that are linked to the SORA rate (which is the volume-weighted average rate of borrowing transactions in the unsecured overnight interbank SGD cash market), will be refreshed every 3 months. This is because the 3-month SORA rate is updated every 3 months as per the Monetary Authority of Singapore (MAS).

Maybank also charges a mark-up, which is called a “spread”, on top of the 3-month SORA rate. These 2 components form the total interest rate, and is what determines your monthly payments.

Although both the SORA rate and Maybank’s SRFR2 rate are validated by MAS, the SRFR2 rate is a board rate, which is still entirely determined by Maybank and can change at any point.

Here’s an example to help you understand better:

So let's say, you and your spouse plan to buy landed property costing $1,500,000 and the total monthly income for the two of you is $15,000. Assuming that you’ve picked the 2-year Fixed Board (SRFR2) package with an interest rate of 1.30% p.a. (SRFR2 rate of 4.85% p.a. applies from Year 3 onwards). 

After Maybank assesses your loan-to-value (LTV) ratio, which is your maximum borrowing capacity (75% of the property price), you’re eligible for your preferred 2-year Fixed Board (SRFR2) package with a loan amount of $1,125,000 and a tenure of 25 years. The estimated math will be as follows with the help of MoneySmart’s Mortgage Calculator.

Your downpayment:

$300,000 by CPF + $75,000 in Cash = $375,000

(at least 5% of the property price to be paid in cash which comprise of the option fee & option exercise fee, and 20% to be paid in CPF)

Your estimated monthly instalment:

It’ll range from $4395 to $6,479

(based on the increasing interest rate of 1.30% p.a. and SRFR2 rate of 4.85% p.a. from Year 3 and thereafter) 

Other one-time payments*:

$45,000 (buyer’s stamp duties) + $3,000 (legal fee) + $400 (valuation fee) = $48,400

Estimated total payment over 25 years:

$1,500,000 + $48,400 = $1,548,400    

*Buyer’s stamp duties fee is usually about 3% to 4% of the purchase price of the private property - a form of tax payable to the government for registration of purchase of the property. Legal fees are often paid to property lawyers for the processing of the private property’s home loan. Banks will usually have their own panel of licensed valuers and the valuation fee for a private property can range from $200-$400 due to the valuation report required. 

Are you thinking of refinancing or repricing your home loan?

You may face a dilemma between refinancing or repricing your mortgage loan at some point in your property financing journey.

What’s the difference between refinancing and repricing? Refinancing means financing your current home with another bank instead of the current bank you’re with, while repricing refers to switching to a new home loan package offered by the same bank that you’re currently financing your home with.

If your existing home loan charges you more than 1.10% p.a. interest, you might want to consider refinancing or repricing your home loan. This is because banks are offering lower interest rates at the moment.

To find out more about these rates and how you can go about refinancing your home loan, you can visit our Maybank Home Loans Refinancing page.