Incentives abound for home buyers looking for property loans

Some banks are rolling out new services and attractive mortgage packages to increase their market share in the private housing loan sector.

Banks such as Standard Chartered has set up a service counter to offer loan evaluations at show flats.

Said Dennis Khoo, general manager of Wealth Management Consumer Banking at Standard Chartered Bank: “I think it’s even better prudence because before (a buyer) puts down the money, he can quickly – within 15 minutes – check, and then go and put the money down knowing that he’s making a good decision.”

The mortgage war among the banks has seen interest rates being revised downwards.

However, the lowering of rates is not the only weapon. Some banks are also trying to gain a greater market share by providing incentives such as air tickets and dining vouchers.

Said Ang Tang Chor, senior executive vice president of Consumer Business at Hong Leong Finance: “We do not only compete in interest rates, we also have what Singaporeans like… (such as) travel, as well as eating at various outlets in Singapore.”

But despite the incentives, home buyers say low interest rates remain the most important factor.

Source : Channel NewsAsia – 17 Oct 2009

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