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Best Hong Leong Finance Home Loans

by • September 22, 2018 • Buying a property, HDB home loan, Refinance Home loanComments (0)237

 

Check the history of Hong Leong Finance mortgage rates. Hong Leong is among the latest financial institution to join the game in offering their own board rate home loans. Find the Best hong leong home loans by reading through. Till today, it is also much more common to find fixed rate home loans at Hong Leong Finance than board rate pegged home loans. However, Hong Leong Finance is one of the financial institutions that offers the best fixed rate home loans in Singapore. Read more in getting the best home leong home loans.

best hong leong home loans

Image Credits: Hong Leong Finance at Ghim Moh, Paul Ho, iCompareLoan.com

 

Best Hong Leong Home Loans – Very good for HDB Fixed Rates

One of the reasons why Hong Leong Finance is the best provider of fixed rate home loans is because of the low fixed interest rate it charges for HDB properties.

Typically, fixed rate home loans have relatively high loan interest rate because the bank has to protect its margin from the rising interest rate. If you were on a floating interest rate home loan, your home loan interest rate increases with the rising interest rate. However, with a fixed rate home loan, the bank has agreed to keep your home loan fixed. As such, the bank will factor in future increase to the interest rate to protect its margins. Yet, despite adjusting for future increase to the interest rate, Hong Leong Finance is able to offer one of the lowest fixed rate home loan in the market.

Best Hong Leong Home Loans for Floating Rate Packages

That being said, if you still prefer a floating rate pegged home loan, Hong Leong Finance also offers that to consumers. Its floating rate home loan is applicable to any type of housing, from HDB to executive condos (ECs) to private property. For its floating rate home loan, Hong Leong Finance uses its own board rate, which is known as HHR. Lately, Hong Leong Finance also introduced another board rate, i.e. PPR.

Just for clarity, Floating Rate and variable rate is used interchangeably. It merely means that rates can change.

If you are planning to take up a floating interest home loan with Hong Leong Finance, you need to take note of two things.

Hong Leong Finance’s Interest Rate = Board Rate – Spread

The first is the way in which Hong Leong Finance sets its interest rate. Unlike most banks which set their floating interest rate using ‘Board rate + spread’, Hong Leong Finance takes a very different approach towards setting its floating interest rate. Hong Leong Finance uses ‘Board rate – spread’ to determine the final interest rate for the period.

 

Period             Interest Rates (% p.a.)
1st Year 1.8% (HHR – 2.7%)
2nd Year 1.85% (HHR-2.65%)
3rd Year 2.00% (HHR-2.5%)
Thereafter 3.25% (HHR – 1.25%)

HHR = 4.5% p.a. (HDB Home Rate)

Rates are only indicative and subject to change at any time without prior notice.

Table 1: Hong Leong Finance Variable Rates (Sep 2018), Hong Leong Finance, iCompareLoan.com

Check out the rest of the home loans in singapore.

3 Types Of Packages Typically Offered At Hong Leong Finance

Another thing that you need to take note is the types of home loan packages that are typically offered at Hong Leong Finance. Hong Leong Finance typically offers three types of home loan packages to customers. These three types of package are: 2-Year Fixed Rate Package, 3-Year Fixed Rate Package or Variable Rate Package. Try not to go to a loan officer to ask for something outside of these three types of package.

Date Best Hong Leong Home Loans -Packages from the past 1st Year Interest Rate (%) 2nd Year Interest Rate (%) 3rd Year Interest Rate (%) 4th Year Interest Rate (%) 5th  Year Interest Rate (%) Interest Rate Thereafter (%)
26-Jan-15 Hong Leong 2-Years Fixed Rate Package – Private Property HHR – 1.48% HHR – 1.68% HHR – 1.98% HHR – 3.08% HHR – 3.08% HHR – 3.08%
26-Jan-15 Hong Leong 3-Years Fixed Rate Package – HDB Fixed Rate 1.25% Fixed Rate 1.55% Fixed Rate 1.65% Fixed Rate 3.25% Fixed Rate 3.25% Fixed Rate 3.25%
3-Mar-15 Hong Leong 2-Years Fixed Rate Package – HDB Fixed Rate 1.45% Fixed Rate 1.65% HHR  – 2.17% HHR  – 1.25% HHR – 1.25% HHR – 1.25%
3-Mar-15 Hong Leong 2-Years Fixed Rate Package – Private Property Fixed Rate 1.35% Fixed Rate 1.55% HHR – 2.17% HHR – 1.25% HHR -1.25% HHR – 1.25%
6-Apr-15 Hong Leong 3-Years Fixed Rate Package – HDB Fixed Rate 1.55% Fixed Rate 1.65% Fixed Rate 1.95% HHR – 1.25% HHR – 1.25% HHR – 1.25%
14-Apr-15 Hong Leong Variable Rate Package HHR – 1.68% HHR – 1.98% HHR – 2.58% HHR – 3.08% HHR – 3.08% HHR – 3.08%
24-Apr-15 Hong Leong Variable Rate Package – Private Property HHR – 1.73% HHR – 1.93% HHR – 2.23% HHR – 3.33% HHR – 3.33% HHR – 3.33%
16-Jun-15 Hong Leong 2-Years Fixed Rate Package – HDB Fixed Rate 2.68% Fixed Rate 2.98% HHR  – 1.27% HHR  – 0.92% HHR – 0.92% HHR – 0.92%
16-Jun-15 Hong Leong 2-Years Fixed Rate Package – HDB Fixed Rate 1.95% Fixed Rate 1.95% HHR  – 2.05% HHR  – 1.25% HHR – 1.25% HHR – 1.25%
17-Sep-15 Hong Leong 3-Years Fixed Rate Package – HDB Fixed Rate 2.1% Fixed Rate 2.3% Fixed Rate 2.55% HHR – 1.25% HHR – 1.25% HHR – 1.25%
18-Sep-15 Hong Leong 3-Years Fixed Rate Package – HDB Fixed Rate 2.1% Fixed Rate 2.25% Fixed Rate 2.5% HHR – 1.25% HHR – 1.25% HHR – 1.25%
18-Sep-15 Hong Leong 2-Years Fixed Rate Package – HDB Fixed Rate 3.03% Fixed Rate 3.33% HHR  – 1.27% HHR  – 0.92% HHR – 0.92% HHR – 0.92%
4-Dec-15 Hong Leong 2-Years Fixed Rate Package – HDB Fixed Rate 2% Fixed Rate 2.2% HHR  – 2.05% HHR  – 1.25% HHR – 1.25% HHR – 1.25%
4-Dec-15 Hong Leong Variable Rate Package – Private Property HHR – 2.1% HHR – 2.1% HHR – 2.43% HHR – 3.33% HHR – 3.33% HHR – 3.33%
18-May-16 Hong Leong 3-Years Fixed Rate Package – HDB Fixed Rate 2.1% Fixed Rate 2.3% Fixed Rate 2.55% HHR  – 1.25% HHR – 1.25% HHR – 1.25%
18-May-16 Hong Leong 2-Years Fixed Rate Package – HDB Fixed Rate 1.88% Fixed Rate 1.98% HHR  – 2.05% HHR  – 1.25% HHR – 1.25% HHR – 1.25%
22-Aug-17 Hong Leong 3-Years Fixed Rate Package – HDB Fixed Rate 1.7% Fixed Rate 1.8% Fixed Rate 2.35% HHR  – 1.25% HHR – 1.25% HHR – 1.25%
26-Nov-17 Hong Leong 2-Years Fixed Rate Package – HDB Fixed Rate 1.58% Fixed Rate 1.58% HHR  – 2.75% HHR  – 1.25% HHR – 1.25% HHR – 1.25%
26-Nov-17 Hong Leong Variable Rate Package – HDB Property HHR – 3.05% HHR – 3.05% HHR  – 2.85% HHR  – 1.25% HHR – 1.25% HHR – 1.25%
26-Nov-17 Hong Leong Variable Rate Package – 2-Years Lock-In – HDB Property HHR – 1.9% HHR – 2.1% HHR  – 2.05% HHR  – 1.25% HHR – 1.25% HHR – 1.25%
26-Nov-17 Hong Leong Variable Rate Package – 2-Years Lock-In – Private Property PPR – 2.1% PPR – 2.1% PPR – 2.43% PPR – 3.33% PPR – 3.33% PPR – 3.33%

Table 2: Best Hong Leong home loans from the past, Includes Variable Rates (Sep 2018), Hong Leong Finance, iCompareLoan.com

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