Commercial Mortgage

Commercial property can be a good investment on a business standpoint and also for investment rental yield. If your business is currently paying a high monthly rental for the office space, buying a commercial property for your business operations can mean a much lower monthly payment and you get to have ownership of the property as well. For investment, you can be looking at a stable monthly stream of rental cash flow if your tenant is a stable business.

Small medium enterprises (SME) are really beginning to realise the benefits of owning a piece of commercial property utilising commercial mortgages. It can mean lower monthly payments that ease cash flow that is key to smooth business operations. When the company grows too big for the property in future and needs to relocate, the company will also make capital gains if the property is sold in the open market in future.

The lease period for commercial property tends to be longer compared to residential property. You can even add a clause to review rental annually. Businesses renting commercial property are more agreeable to this feature. Occupants of commercial property also tend to maintain the place a little better than a residence since the look of the office represents the image of the company. read more

Fixed Rates SIBOR SOR

No matter if you are choosing a Singapore mortgage loan for the first time or a seasoned property buyer, you will come across a stage where you have to choose from fixed rate mortgages, variable rate mortgages, and floating mortgage loans that are pegged to the SIBOR or SOR. It can be a tough choice.

Although SIBOR pegged mortgage loans in Singapore are the most popular among real estate buyers, it is advised that you weigh up you decision criteria and decide on a mortgage rate structure that you are comfortable with instead of following the crowd.

Fixed rate mortgage loan Singapore

Information of 20-year or 30-year fixed mortgages can be found all over the internet. However those are not applicable when it comes to Singapore mortgages. Singapore fixed rate mortgage loans only have a fixed rate for the initial years. After the period of fixed rates, your mortgage loan will most likely be converted to one that is pegged to the Singapore Interbank Offer Rate (SIBOR) or Swap Offer Rate (SOR) with a spread. read more

Refinance Your Property

The most common reasons to refinance your property is to enjoy lower interest rates on your mortgage or to extend or decrease the loan tenor. To fully make use of the equity in your home, you may even consider cashout refinancing. With the funds generated from the cashout, you can put them in an investment with a yield higher than the interest charged on the mortgage.

The key reason to get your home refinanced is always to exploit lower mortgage rates available in the market. It does not require the advice of a professional mortgage consultant for your to realise that it is time to refinance your home when you are currently paying 3.75& on your mortgage loan while available mortgage interest rates in the market are hovering around 1%.

The concept and strategy of cashing out on your home equity to invest in other vehicles is so obscure that there are people charging thousands of dollars for a seminar just to inform you of this investment option. read more