Compare mortgage loan packages from Singapore banks by property type and rate type.
How to Use the Loancompare Calculator
Key Takeaways
A 0.5% rate difference on a $1M loan over 25 years adds up to roughly $66,000 in extra interest — real money worth an afternoon of comparison.
Year 1 teaser rates reset to SORA + spread after lock-in; always stress-test the package at the post-lock-in rate, not the Year 1 headline.
Clawback penalties (0.75%–1.5% of loan) can wipe out 2–3 years of savings if you sell or refinance early — model the exit cost before choosing.
Compare Total Cost of Borrowing over your expected hold period, not monthly payment — two packages with the same monthly amount can differ by $40,000 at year 5.
What It Does
Not all mortgage packages are created equal. Compare up to 3 loan offers side by side — fixed vs floating rates, lock-in periods, clawback penalties, and subsidies. Find the cheapest total cost of borrowing over your expected holding period. Could save you tens of thousands in interest.
You can find this calculator in the Calculators tab on ShiokNest. It updates results instantly as you adjust inputs — no waiting, no page reloads.
Why It Matters
The difference between the cheapest and most expensive mortgage on a $1.125M loan can exceed $50,000 over 10 years. Yet most buyers spend more time choosing their kitchen tiles than their mortgage package. This calculator matters because:
How It Works
Navigate to Calculators — Click the "Calculators" tab in the ShiokNest navigation bar. All 26 calculators are grouped by purpose for easy access.
Select the calculator — Choose "How to Compare Mortgage Loan Packages" from the calculator list. You will see default values already loaded so you can explore immediately.
Review the results — The calculator updates instantly as you change any input. A comparison table shows total interest, monthly payments, and overall cost for each loan package, highlighting the cheapest option.
Run what-if scenarios — This is where the real power lies. Change one variable at a time to see its impact. For example, try increasing the interest rate by 1% or extending your holding period by 5 years. Note how the results shift.
Compare and decide — Run 2-3 different scenarios and note the results. This gives you a range of outcomes to base your decision on, rather than relying on a single projection.
Examples
Fixed vs SORA floating: $900k loan, planning to hold 5 years
Inputs
Loan Amount
$900,000
Loan Tenure
25 years
Package A Rate
2.75% fixed 2 yrs, then SORA+1.4% (~4.0%)
Package B Rate
SORA+1.0% floating (~3.65%), no lock-in
Expected Hold Period
5 years
Results
Package A — 5-yr total interest
~$138,400
Package B — 5-yr total interest
~$124,600
Saving with Package B
~$13,800
Package A clawback if sold yr 1
$13,500 (1.5%)
How to read this:
Package A offers a lower initial rate, but the post-lock-in reset to 4.0% erases the Year 1 advantage within 3 years. Package B is cheaper by ~$13,800 over 5 years and has no clawback — critical if there is any chance of an early exit. The key lesson: when SORA + spread is materially lower than the post-lock-in fixed rate, floating wins over a 5-year horizon. Run both scenarios in the calculator with your actual bank quotes to get personalised numbers.
Two fixed packages: same rate, different lock-ins — selling in 2.5 years
Inputs
Loan Amount
$1,200,000
Package A Rate
2.60% fixed 3 yrs, 1.25% clawback, $2,000 subsidy
Package B Rate
2.80% fixed 2 yrs, 0.5% clawback, no subsidy
Expected Hold Period
2.5 years (selling mid-lock-in for Package A)
Results
Package A — 2.5-yr interest
~$77,700
Package A — clawback penalty
$14,700 (sell mid lock-in)
Package B — 2.5-yr interest + exit
~$84,300 (no clawback)
Winner at 2.5-yr exit
Package B by ~$8,100
How to read this:
Package A's lower rate saves $6,600 in interest over 2.5 years, but the clawback adds $14,700 on exit — a net loss of $8,100 vs Package B. The $2,000 subsidy from Package A partially offsets this but doesn't close the gap. This scenario illustrates why horizon clarity matters: Package A is the right choice if you hold for the full 3-year lock-in. Package B is right if you have any doubt about staying that long. Always model the early-exit cost before locking in.
Tips & Pitfalls
Expert Tips
Use realistic assumptions — Singapore condo appreciation has historically averaged 2-4% per year. Avoid overly optimistic projections. When in doubt, use 3% as a baseline.
Look past Year 1 rates — Banks offer attractive teaser rates for the first 1-2 years. The post lock-in rate matters more if you plan to hold long-term.
Factor in clawback penalties — If you might sell or refinance within 2-3 years, a lower-rate package with heavy clawback could cost more than a slightly higher rate with no lock-in.
Common Pitfalls
Ignoring refinancing costs — If you plan to refinance after lock-in, factor in legal fees ($2K-$3K) and the hassle of switching banks.
Frequently Asked Questions
What is the difference between a fixed-rate and floating-rate mortgage in Singapore?
A fixed-rate mortgage locks your interest rate for a set period (typically 1–3 years), giving certainty on your monthly payment regardless of market moves. A floating-rate mortgage is pegged to a reference rate — most commonly the Singapore Overnight Rate Average (SORA) — plus a bank spread. As SORA moves, so does your rate. Floating packages can be cheaper when SORA is low but expose you to payment increases if rates rise. Singapore banks often offer a mix: fixed for the initial lock-i...
What is a lock-in period and clawback penalty?
The lock-in period is the minimum time you must keep the loan with the same bank. If you repay, refinance, or sell during this window, the bank charges a clawback penalty — typically 0.75%–1.5% of the outstanding loan amount. On a $1M loan with a 1.5% clawback, that is $15,000. Banks offer lower rates in exchange for this commitment. Use this calculator to model your total cost including potential clawback before choosing a package with a long lock-in.
How do I know which loan package is cheapest overall?
Compare the Total Cost of Borrowing (TCB) over your expected holding period — not just the monthly payment or the Year 1 rate. TCB includes all interest paid, minus any cash subsidies the bank provides, plus any clawback if you exit early. Enter each package's full rate structure (Year 1, Year 2, post-lock-in floating rate) into this calculator with your planned hold period. The package with the lowest TCB for your horizon is the cheapest, regardless of the headline rate.