An HDB renovation mortgage is actually a financial institution bank loan specifically for HDB flat proprietors in Singapore to finance their residence renovations. It differs from a personal mortgage as the funds, typically capped at S£thirty,000 or 6 moments your regular profits, are disbursed on to an HDB-registered contractor through a cashier's purchase. To become eligible, applicants must be Singapore Citizens or Permanent People, not less than 21 decades outdated, and flat homeowners, using a minimal annual money commonly ranging from S$24,000 to S£thirty,000. Curiosity prices and fees change throughout banking institutions; For example, DBS provides fees from five.08% p.a., with a highly effective Interest Level (EIR) of six.16% p.a., and a marketing charge of 3.38% p.a. for present DBS Property Mortgage customers. Maybank also provides Particular prices for its dwelling bank loan clients, which has click here a advertising charge of two.fifty% p.a. for the very first calendar year for HDB Property Mortgage prospects. The bank loan can be used for long-lasting fixtures like flooring, tiling, electrical wiring, and created-in carpentry, but not for home furnishings or appliances.