As of April 2026, mortgage rates in Singapore have stabilised between 2.8% to 3.5% depending on the loan package, bank, and borrower profile. Understanding current rates is essential for making informed home financing decisions.

Current Mortgage Rate Overview (April 2026)

After a period of volatility following global interest rate hikes, Singapore's mortgage market has entered a phase of relative stability. The Singapore Overnight Rate Average (SORA) has been trading in a narrower range, giving banks more confidence to offer competitive packages.

Key Insight: Current 3-month compounded SORA is approximately 2.85%, down from the peak of 3.8% in late 2024. This has translated to more attractive floating-rate packages.

Comparison of Bank Mortgage Rates

Here are the latest mortgage rates from Singapore's major banks as of April 2026. Rates are for illustrative purposes and subject to change based on loan quantum and borrower profile.

Bank Fixed Rate (2-year) Fixed Rate (3-year) Floating Rate (SORA) Lock-in Period
3.05%3.15%2.95% (3M SORA + 0.10%)2 years
3.00%3.10%2.90% (3M SORA + 0.05%)2 years
3.10%3.20%2.98% (3M SORA + 0.13%)3 years
2.98%3.08%2.88% (3M SORA + 0.03%)2 years
2.95%3.05%2.85% (3M SORA)2 years
3.08%3.18%2.92% (3M SORA + 0.07%)2 years

*Rates are indicative for loans above S$500,000. Actual rates depend on credit assessment and loan quantum.

Fixed vs Floating Rates: Which Should You Choose?

The choice between fixed and floating rates depends on your risk tolerance and market outlook.

Fixed Rate Home Loans

Fixed rates remain constant for a specified period (typically 2-5 years). These are ideal for borrowers who value payment certainty and want protection against potential rate hikes.

  • Pros: Predictable monthly payments, protection from rate increases
  • Cons: Usually slightly higher than initial floating rates, penalty for early redemption
  • Best for: Risk-averse borrowers, first-time home buyers, those on tight budgets

Floating Rate Home Loans

Floating rates are tied to SORA and move with market conditions. These can offer savings when rates are stable or falling.

  • Pros: Potentially lower initial rates, benefit from rate decreases
  • Cons: Monthly payments can increase, less predictable
  • Best for: Borrowers with buffer income, those expecting rates to remain stable
Important: Most loans have a lock-in period of 2-3 years. Refinancing during this period incurs penalty fees typically ranging from 0.75% to 1.5% of the outstanding loan amount.

Special Packages and Promotions

Banks frequently offer promotional rates for specific customer segments. Current notable promotions include:

  • DBS Green Home Loan: 2.95% fixed for 2 years for EC-friendly homes
  • OCBC Premier Banking: 2.88% floating for high-net-worth individuals
  • UOB SME Package: Special rates for business owners
  • Maybank First Home: 2.90% fixed for first-time buyers with cashback up to S$3,000

How to Get the Best Mortgage Rate

Securing the best rate requires preparation and comparison. Follow these steps:

  1. Check your credit score – A good credit score can qualify you for better rates
  2. Compare at least 3 banks – Rates vary significantly between lenders
  3. Consider using a mortgage broker – Brokers have access to bulk rates
  4. Negotiate with your existing bank – Loyalty sometimes earns better rates
  5. Time your application – Some banks offer quarterly promotions
Pro Tip: Use our mortgage calculator to see how different rates affect your monthly payments. A 0.5% difference on a S$500,000 loan can mean S$120 more per month.

Mortgage Rate Forecast for 2026

According to economists surveyed by the Monetary Authority of Singapore (MAS), SORA is expected to remain in the 2.7% to 3.2% range for the remainder of 2026. Several factors support this outlook:

  • US Federal Reserve signalling potential rate cuts in late 2026
  • Stable Singapore inflation around 2.5-3.0%
  • Healthy property market demand supporting bank competition
  • Increased HDB supply with over 13,000 flats reaching MOP in 2026
"We expect mortgage rates to gradually decline towards 2.8% by Q4 2026, barring any unexpected global shocks. Borrowers renewing loans in late 2026 may find more attractive terms." – Senior Economist, Maybank Singapore

Frequently Asked Questions

What is SORA and why does it matter?

SORA (Singapore Overnight Rate Average) is the benchmark interest rate for Singapore dollar mortgages. It replaced SIBOR in 2024 and is considered more transparent and less volatile. Most floating-rate home loans are now pegged to 1-month or 3-month compounded SORA.

Can I switch from floating to fixed rate mid-loan?

Yes, most banks allow conversion between rate types, but there may be a conversion fee (typically S$500-S$800). Some loans also require a new lock-in period after conversion.

Do HDB concessionary loan rates differ from bank rates?

Yes, HDB concessionary loans are pegged at 0.1% above the CPF Ordinary Account interest rate, currently 2.6%. This is often lower than bank rates but comes with stricter eligibility requirements.

How often do banks revise their mortgage rates?

Fixed rates are typically revised weekly or bi-weekly based on market conditions. Floating rates adjust automatically with SORA movements, which are published daily by MAS.

Conclusion

Singapore's mortgage market in 2026 offers competitive options for home buyers. While fixed rates provide stability, floating rates may offer savings if you expect rates to remain stable or decline. The best strategy is to assess your personal financial situation, compare offers from multiple banks, and consider consulting a mortgage broker for access to exclusive packages.

Remember to factor in additional costs such as legal fees (S$2,000-S$3,000), valuation fees (S$500-S$1,000), and fire insurance when budgeting for your home loan.

Disclaimer: Rates are subject to change without notice. Always verify current rates directly with the bank or a licensed mortgage broker before making a decision.