Bridging Loan

If you are thinking of upgrading from a HDB to a condominium / private property, a bridging loan might just be what you need.

Just as the name suggests, a bridging loan, also known as a bridge loan, is a short-term loan to help bridge the financial gap between the sale of your current property and the purchase of your new home.

These loans are designed to help you tide over the period until proceeds from the sale of your current property comes in.

With a bridging loan, you will be able to secure the capital required for the 20% down payment of your new property.

For instance, Mr and Mrs Lee are planning to sell their current HDB flat in Punggol to purchase a new condominium in Kallang. 

They managed to find a buyer. However, they can only receive the sales proceeds 5 months later.

Mr and Mrs Khoo have sufficient funds for the 5% cash down payment but do not have enough for the remaining 20% down payment. 

They still require the proceeds from the sale of their current HDB. 

In this case, they can consider applying for a bridging loan to make up for the shortfall. 

The three main differentiating factors between our bridging loan compared to banks are:

• Speed
• Ease of application
• Service rendered

We believe in providing you with a bridging loan in the shortest time possible. 

This is why we have streamlined our borrowing process into 3 simple steps. 

Moreover, we do not go through rigorous credit checks and also do not require much paperwork. 

Ultimately, our experienced loan officers will be there to guide you on the best bridging loan package for your needs and provide professional advice so that you’ll be able to make payment for your dream home in no time.

1. Type of loan required

Before you enter into any loan contract, it is important to discern between secured and unsecured loans.

• Unsecured loans have a lower borrowing threshold. However, they do not require collateral.
• Secured loans have a higher borrowing threshold. However, they require collateral.

2. Interest rates

Ensure that you are getting the best interest rates as they will significantly affect your monthly repayments.

Additionally, there may be hidden fees that you might be unaware of:

• Origination fees
• Service fees
• Underwriting fees

Lending Bee® does not practice any of such fees. Additional fees, if any, will be made known to you before you sign your loan contract. 

3. Loan tenure

Your loan tenure will also have an impact on the cost of your total loan. 

Ensure that you work with a loan tenure that is comfortable with you so that you can make comfortable repayments.

4. Your current financial situation

This is going to be the most vital factor. 

Know where you currently stand in your finances so that you will be able to make better financial decisions, especially on the loan amount that you are looking to apply for.

Here is an estimate of the prices of properties in Singapore. A good rule of thumb to keep is that the better the location, the more expensive the house.

1. 3-room HDB ($275,000 – $375,000)

3-Room HDBs are usually at the size of 60-65 sqm.

The house usually comes with 1 master bedroom, 1 common bedroom, 1 living room, 1 or 2 toilets, 1 kitchen and 1 store room. The price of the property depends greatly on location.

2. 4-room HDB ($400,000 – $550,000)

4-Room HDBs usually measure around 90-100 sqm.

The house comes with 1 master bedroom, 2 common bedrooms, 1 living room, 1 kitchen, 1 store room and 2 toilets.

3. 5-room HDB ($500,000 – $670,000)

5-Room HDBs are usually at the size of 110-120 sqm.

They are larger than the other HDBs and comes with 1 master bedroom, 2 common bedrooms, 2 toilets, 1 kitchen, 1 store room and 1 larger living room that is usually attached to a dining area. 

The living room area is much larger and more spacious.

4. Executive Apartment ($550,000 – $690,000)

This is a larger public housing and usually measures at least 130 sqm, making it perfect for larger families or three generation families.

The house comes with 1 master bedroom, 2 common bedrooms, 1 very large living room, 1 dining area, 1 additional area that could be used as a study or guest room, 3 toilets,1 kitchen and 1 store room. 

Some executive apartments will include stairs as well.

5. Executive Condominium ($800,000 – $950,000)

Executive Condominiums (EC) are public-private hybrids. 

The houses start of as public housing and will be converted to private homes after five years.

They run a 99-year lease and most of them offer similar facilities as private condos.

6. Condominium ($1,000,000 – $2,000,0000)

These are luxuriously designed private housing that offers many facilities for its residents. 

The buildings usually look classy and posh. 24/7 security, gyms, swimming pools, BBQ pits and function rooms are available.

To qualify for a loan with Lending Bee®, you’ll simply have to:

• Be a Singapore Citizen, Permanent Resident or a Foreigner with a valid work permit
• Be at least 21 years old
• Be employed / self-employed

For Singaporeans / PRs:

• Proof of identity (NRIC, passport)
• Proof of income (CPF / bank statements)

• Work Permit / S Pass / E Pass
• Proof of residence (Utility bills, phone bills, tenancy agreement, etc.)
• Payslips / bank statements

At Lending Bee®, all applications for our bridging loans are kept fast and simple. 

• Step 1: Submit your application via our online application form.
• Step 2: We will drop you a call regarding your loan application status within the hour.
• Step 3: Head down to your selected Lending Bee® branch, sign the contract and receive your loan.

We will disburse the funds to you immediately after you have accepted and signed our loan contract at any of our branches. 

Yes, you are still welcome to apply for a loan with us!

Lending Bee® aims to help as many borrowers as possible and provide them with one of the best loan packages in the market.

We are here to serve your needs.

Yes, you can still apply for a bridging loan with us. We aim to help our borrowers regardless of their credit scores. 

This is why we do not have specific restrictions with regard to credit scores.

No, we do not charge any fees for early loan repayments. 

Outstanding interests, if any, will also be nullified once you have finished repaying your loan earlier than the date stipulated in your loan contract.

No, we do not mail any of your loan information to your home. 

All loan details will be kept digital, and private with us, unless a physical copy is requested.