Wednesday April 30, 2008

Singapore SIBOR rate fell to 1.25% in Apr 2008, lowest since Aug 2004

The Singapore SIBOR rate fell to 1.25% in mid April 2008, a near 4-year low, according to data from the MAS domestic interest rates website.

Homeowners who are looking to refinance to SIBOR-linked home loans should be able to obtain relatively low interest rates. These are good deals in a falling interest-rate environment, but conversely, if interest rates rise, so will the mortgage payments on these loans.

According to an earlier Straits Times article :

DBS charges a premium of an annual 1 per cent over the Sibor rate, while UOB and OCBC Bank add an annual 1 per cent over the three-month, six-month or nine-month Swap Offer Rates (SOR). The SOR comprise the Sibor plus a bank's lending costs.

Hence, from the above, SOR or Swap Offer Rate home loans which seem to be getting quite popular with Singaporean homeowners recently are actually SIBOR-linked loans as well. The premium over the SIBOR rate will incorporate the bank's margin and like most private home loans, the actual interest rate is subject to case-by-case negotiation between the buyer and seller.

See also :

1. Singapore SIBOR interest rates fall to 1.5%, lowest since Dec 2004
2. Singapore SIBOR rate falls to 1.31%, lowest since Nov 2004
3. Singapore : Inflation erodes away bank savings

(2008-04-30 13:29:14 SGT) [Biz] Permalink Comments [1]

Most popular blog postings on lowem.log :

1. Singapore SIBOR interest rates fall to 1.5%, lowest since Dec 2004
2. 2009 Honda Global Small Hybrid details released : bigger than Jazz/Fit, smaller than Civic
3. Fuel prices seen stoking Malaysia inflation in 2008
4. Singapore SIBOR rate fell to 1.25% in Apr 2008, lowest since Aug 2004
5. Singapore SIBOR rate falls to 1.31%, lowest since Nov 2004
6. Singapore : Inflation rate could push past 6% in Q1 2008
7. Singapore : 3 more CNG stations to open by end of 2008
8. Singapore CPI inflation hits 6.6% in Jan 2008 - a new 25-year record high

Featured articles on lowem.log :

1. ABC Guide to Beating Inflation in Singapore and Elsewhere
2. Singapore inflation rate hits new 26-year high of 7.5% in Apr 2008
3. Hyper-inflation : early warning signs
4. Singapore hyperinflation warning signs #2 : Cooking oil price up 75%
5. Bread and inflation
6. Singapore M3 money supply growth vs STI stock index
7. Singapore SIBOR rate fell to 1.25% in Apr 2008, lowest since Aug 2004
8. Singapore : Inflation erodes away bank savings