Loan To Value Ratio Calculator Singapore

What Is a Loan to Value Ratio Calculator Singapore?

A Loan to Value Ratio Calculator Singapore estimates the maximum housing loan allowed under the selected Loan-to-Value limit.

The calculator uses:

• purchase price;
• property or flat value;
• housing-loan type;
• existing outstanding housing loans;
• borrower’s age; and
• requested loan tenure.

It displays the applicable LTV limit, maximum loan by LTV and minimum purchase-price gap.

The result is an estimate. A lender may approve a lower amount after assessing income, debts, credit history, property lease and other requirements.

How to Use the LTV Calculator

1. Enter the Purchase Price

Enter the agreed property purchase price in Singapore dollars.

This is the amount payable to the seller. Do not enter only the requested loan or downpayment.

2. Enter the Property or Flat Value

Enter the property valuation used for financing.

The calculator uses the lower of the purchase price and property value as its financing base.

For example, if the purchase price is S$800,000 but the valuation is S$780,000, the LTV percentage is applied to S$780,000.

For wider purchase planning, use the Property Calculator Singapore. An LTV calculation does not include every upfront or recurring property cost.

3. Select the Housing-Loan Type

Choose either an HDB housing loan or a bank or financial-institution residential loan.

These loans follow different LTV rules. Selecting a loan type does not confirm that you qualify for it.

The Mortgage Calculator Singapore performs a separate calculation. It estimates monthly instalments and total interest after the loan amount, rate and tenure are known.

4. Select Existing Housing Loans

This field appears when you select a bank or financial-institution loan.

Choose whether you currently have:

• no outstanding housing loan;
• one outstanding housing loan; or
• two or more outstanding housing loans.

Having more outstanding housing loans generally reduces the maximum LTV limit.

5. Enter the Borrower’s Age

This field also applies to bank or financial-institution loans.

Enter the borrower’s age in complete years. For joint borrowers, an official assessment may use an income-weighted average age that this calculator cannot determine.

6. Enter the Requested Loan Tenure

Enter the proposed repayment period in years.

The lower bank-loan LTV tier applies when:

• the tenure exceeds 30 years;
• the tenure exceeds 25 years for an HDB flat; or
• the loan extends beyond the borrower’s age of 65.

The calculator checks the entered age and tenure. It cannot confirm the maximum tenure a lender will approve.

Loan to Value Formula

The calculator first selects the financing base:

Financing base = Lower of purchase price or property value

It then calculates the maximum loan:

Maximum loan = Financing base × Applicable LTV percentage

The purchase-price gap is:

Purchase-price gap = Purchase price − Maximum loan

This gap is not necessarily the required cash downpayment. It can include the portion not financed under LTV rules and any difference between the purchase price and valuation.

The calculator does not determine how much of the gap can be paid using CPF savings, housing grants or cash.

Current Singapore LTV Limits

HDB Housing Loan

The current maximum LTV limit for an HDB housing loan is generally 75% of the lower of the flat’s purchase price and valuation.

The actual loan may be lower because of the buyer’s age, income, financial position, credit assessment and remaining flat lease. Current eligibility details are available from HDB.

The calculator does not pro-rate the HDB LTV for a short remaining lease. Refer to your customised HDB Flat Eligibility financial plan for the applicable figure.

Bank or Financial-Institution Loan

With no outstanding housing loan:

• Standard LTV tier: 75%
• Lower LTV tier: 55%
• Minimum cash floor: 5% or 10%, depending on the tier

With one outstanding housing loan:

• Standard LTV tier: 45%
• Lower LTV tier: 25%
• Minimum cash floor: 25%

With two or more outstanding housing loans:

• Standard LTV tier: 35%
• Lower LTV tier: 15%
• Minimum cash floor: 25%

These percentages are maximum limits, not guaranteed loan amounts.

LTV Calculation Example

Suppose a buyer enters:

• Purchase price: S$800,000
• Property value: S$780,000
• Housing-loan type: HDB Housing Loan
• Applicable LTV limit: 75%

The calculator chooses the lower value:

Lower of S$800,000 and S$780,000 = S$780,000

Maximum loan by LTV:

S$780,000 × 75% = S$585,000

Minimum purchase-price gap:

S$800,000 − S$585,000 = S$215,000

The displayed results are:

• Applicable LTV limit: 75%
• Maximum loan by LTV: S$585,000
• Minimum purchase-price gap: S$215,000

The gap includes the S$20,000 difference between the purchase price and valuation. It should not automatically be treated as the required cash downpayment.

LTV and Other Property Costs

The purchase-price gap does not include stamp duty, legal fees, valuation charges, insurance or renovation costs.

Property tax is also separate. The Property Tax Calculator Singapore estimates annual property tax using Annual Value and occupancy type.

For an uncompleted property, the loan may be released in stages. The Progressive Payment Calculator Singapore estimates payments across supported construction stages.

For an investment property, the Rental Yield Calculator Singapore compares rent with property value. Rental income or yield does not determine the loan a lender will approve.

What the Calculator Cannot Decide

The calculator cannot determine:

• actual loan approval;
• HDB loan eligibility;
• borrower income eligibility;
• credit assessment;
• Mortgage Servicing Ratio;
• Total Debt Servicing Ratio;
• CPF usage limits;
• available housing grants;
• final cash requirement;
• property-lease restrictions; or
• the lender’s official valuation.

A buyer may satisfy the displayed LTV limit but receive a smaller loan because of MSR, TDSR or the lender’s assessment.

The calculation also excludes interest rates and monthly repayments.

Common LTV Mistakes

Do not apply LTV only to the purchase price when the valuation is lower. The lower amount is used.

Do not treat the maximum LTV as guaranteed financing. It is a ceiling, not an approval.

Select the correct number of outstanding housing loans. This can significantly change the applicable bank-loan limit.

Check age and tenure together. A loan extending beyond age 65 may trigger the lower LTV tier.

Do not describe the full purchase-price gap as cash downpayment. CPF usage and minimum cash rules need a separate assessment.

Other Singapore-focused planning tools are available through the Calculator Singapores homepage.

Frequently Asked Questions

Q1: What does LTV mean?

A: LTV means Loan to Value. It compares the housing-loan amount with the property value used for financing.

Q2: Does the calculator use the purchase price or valuation?

A: It uses whichever amount is lower as the financing base.

Q3: What is the current maximum HDB loan LTV?

A: The current maximum is generally 75%, subject to HDB eligibility, lease and credit-assessment conditions.

Q4: What is the maximum bank-loan LTV?

A: It can be up to 75% when the borrower has no outstanding housing loan. Lower limits apply in other situations.

Q5: Why does age affect the bank-loan LTV?

A: The lower LTV tier applies when the loan period extends beyond the borrower’s age of 65.

Q6: Is the purchase-price gap the cash downpayment?

A: Not necessarily. The calculator does not determine CPF usage, grants or the final cash component.

Q7: Is the result an approved loan amount?

A: No. It is an estimate of the maximum loan under the selected LTV rule, not a lender’s approval.