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Lower-than-HDB rates from 1.78% p.a.

Save more with stable, transparent rates that always stay below the CPF-OA rate. Submit your application for the POSB HDB Loan today.
Enjoy no early repayment fees and a free switch to a new package after 3 years.
Benefit from waived fees if you sell your property during the commitment period.
Get cash subsidies on legal and valuation fees when you refinance, plus up to S$3,200 in cash or shopping vouchers
For DBS/POSB customers with an existing home loan
Lower-than-HDB rates from 1.78% p.a.
Lower-than-HDB rates from 1.78% p.a.
Apply now

Save S$3,100 a year¹ with stable rates linked to CPF-OA

Stay below HDB rates throughout your loan tenure² with the new POSB 3-Year CPF-OA HDB Loan.
Starting from 1.78% p.a., its stable and transparent rate is pegged below the CPF Ordinary Account (CPF-OA) rate, giving you greater certainty over your mortgage repayments.

You could save an average of S$3,100 a year1 during your lock-in period, leaving more CPF-OA savings or cash for your future goals.

Flexibility to switch to another package after 3 years

After your 3-year commitment period, you can enjoy a one-time switch to another prevailing loan package for free.
1 Figures are based on a S$400,000 loan repaid in monthly instalments over 20 years. The interest savings shown are calculated over the three-year lock-in period of our CPF-OA HDB Loan package, compared with the HDB Concessionary Loan. As each instalment reduces the outstanding loan balance, the interest savings will also gradually decrease over time.

2 This applies as long as the CPF-OA rate remains at 2.50% p.a. and the HDB Concessionary Loan rate remains 0.10% p.a. above it.

Compare the POSB 3-Year CPF-OA HDB Loan with the HDB Concessionary Loan

Explore our 3-Year CPF-OA HDB Loan

Year 1, Year 2, Year 3

1.78% p.a.
Pegged at 0.72% p.a. below CPF-OA rate

Year 4, Year 5

2.20% p.a.
Pegged at 0.30% p.a. below CPF-OA rate

Thereafter

2.40% p.a.
Pegged at 0.10% p.a. below CPF-OA rate

Commitment period

3 years

Reference rate

Pegged below CPF-OA rate of 2.50% p.a. throughout loan tenure

Minimum loan amount

S$100,000

Maximum loan tenure

  • 75% LTV: 25 years max loan tenor (provided borrower age + tenure ≤ 65 years old)
  • 55% LTV: 30 years max loan tenor (provided borrower age + tenure > 65 years old)

What are the CPF-OA and 3M SORA benchmarks?

3M SORA benchmark

CPF-OA benchmark

What is it?

3M SORA benchmark

The 3-month Singapore Overnight Rate Average, or 3M SORA, is a market-based benchmark based on actual overnight borrowing transactions between banks in Singapore.

CPF-OA benchmark

The CPF-OA interest rate is reviewed quarterly and is subject to a legislated minimum of 2.50% p.a.
How does the rate behave?

3M SORA benchmark

It may rise or fall with market interest rates and economic conditions.

CPF-OA benchmark

It is reviewed quarterly but has remained at its legislated minimum of 2.50% p.a. since 1999.
When and where is it published?

3M SORA benchmark

3M SORA rates are published daily on the MAS website at 9 a.m.

CPF-OA benchmark

The CPF-OA interest rate is published on the CPF website.

Frequently Asked Questions