An HDB bridging personal loan is a brief-time period financing alternative built to assistance homeowners in Singapore manage the monetary gap among offering their current HDB flat and getting a completely new assets. This loan provides temporary funds, usually to get a period of as much as six months, to include the downpayment along with other Preliminary fees of the new home before the sale proceeds in the old flat are received. Bridging financial loans are frequently made available from banking companies and they are secured from the present house. They generally include larger interest prices than standard dwelling financial loans, generally starting from 3% to 5% for each annum or maybe a fee pegged to SORA. The appliance method demands evidence of sale for The existing house, including a choice to Purchase, and documentation for The brand new residence. Repayment in the mortgage is predicted as soon as the sale of the present flat is finished and also the proceeds are been given. Some banking check here companies, like UOB and Common Chartered, supply bridging loan solutions, from time to time with preferential charges for customers also having a whole new residence loan with them. It is vital to note that a bridging loan differs from your HDB's Enhanced Contra Facility, and that is a scheme especially for All those getting and selling HDB flats at the same time.