A number of home loan lending institutions are participating in the Singapore home loan market. The Central Provident Fund Scheme (CPFS) plays a significant role in the housing finance sector of Singapore. This is a compulsory savings scheme that is applicable in Singapore.
The Central Provident Fund Scheme principally finances the home buyers in Singapore. The CPF
was enacted in the year 1955. Previously, home loans in Singapore were available only for public housing. Later on, issue of loans for private housing was permitted when the CPF rules and regulations were relaxed.The form of home ownership in Singapore can be classified into two types, namely public homeownership and private homeownership. However, the majority of housing sector in Singapore is dominated by the public homeownership. Public housing is available for different classes of people ranging from low-income groups to upper middle class. The Housing Development Board of Singapore or HDB supervises the public housing infrastructure in Singapore. The HDB monitors the home loan processing for public sector housing in Singapore.
The sector of public homeownership in Singapore can be categorized into three sub-sectors and they are the following:
The home loan financing system in Singapore can be subdivided into two types:
The home loans available in Singapore can be broadly categorized into the following types:
Fixed rate home loans: Available for 1 year, 2 years, 3 years and moreVariable rate home loans: Available for 1 year, 2 years, 3 years and more
