Why Does Rate Comparison Make Sense If You Are Looking To Finance Your First Property?

A home is a dream for many, but with the rising costs of property as well as the building materials, it is difficult for one to buy their first property. It is even more of an issue for those who are in their late 20s and early 30s, people who have just finished studying in colleges and have just started on their career path, they can’t buy a million-dollar house unless they have inherited some money or are from a well off family. So the only option left of them is to look for some kind of Property Loan In Singapore or a mortgage loan if possible.

A mortgage loan is one of the most popular ways used to finance one’s dream home. Mortgage loans are those loans that are taken through a lender against collateral, and there are three main types of mortgage loans, Home loans, commercial property loans or loans against properties. Now loans against properties are relatively straightforward, your collateral your property for a loan from the bank, or other lender. In contrast, home loans and commercial property loans are those where the property you are purchasing becomes the collateral, and if you are unable to pay, the banks will own that property. This type of loan has specifically become popular in recent years, primarily due to the fact that you don’t have to put an already owned property as collateral. As previously mentioned, those who are in their late 20s and early 30s particularly like this home loan because of the ease it provides. Also, it is an excellent opportunity for those who have a stable monthly income to get a home of their own.

Even if you are not looking to purchase your new home, and are just looking to finance your new commercial property, commercial property loans are the way to go.

But what one should be looking for if they are looking to finance their first property – be it a commercial or a home?

The very first thing you should look for when you are financing your first property (obviously besides the authenticity of the lender) is the rate of your mortgage loan and the type of loan it is.

There are two types of interest rates when it comes to mortgage loans, fixed and floating, and fixed as the name suggests, is that type of mortgage where your loan interest rates will remain consistent throughout your repayment period, whereas the floating are the ones where the interest rates will change according to the market needs. The floating rates are standard for long period loans, whereas for the short duration loans, fixed rates are the common practice, but there are cases where the lender may offer fixed rates for a long-duration loan as well. So it does make sense to compare rates if you are looking to finance your first property.

Smart-Towkay.com is the place to be if you are looking for Mortgage Loan Comparison Singapore; with its single platform to provide product information that’s personalized to your profile for easy comparison. Smart-Towkay aims to make it easier for the user to compare the plethora of options available to them, and make the right judgment that will be best suited for their future. Smart-Towkay understands your questions and requirement when it comes to financing your first property, so, to make it easier for you, Smart-Towkay is building a growing community of financial experts to sort out your queries. Customer satisfaction is a matter of utmost importance for Smart-Towkay, so Smart-Towkay works with Singapore’s most reputable banks, legal firms, and Peer to Peer lending platform to connect you to the partner best suited for you.