What is a renovation loan
Renovation loans are sums of money you can borrow from a financial institution to settle your renovation needs. It can be used to fund that high end stereo system you have been eyeing or when there are emergency home repairs required. Unlike secured loans, it does not require any form of collateral so you do not have to worry about putting your assets at risk. This could be an economically feasible option that can help ease some financial burden, especially when you require the money urgently for impromptu renovation works.
Top renovation loan providers in Singapore
There is a range of renovation loans offered by various banks and moneylenders in Singapore. Check out this list to find out more:
Loan providers |
OCBC Bank |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://www.ocbc.com/personal-banking/loans/home-renovation-loan |
| Address | Check for location here |
| Telephone | 6363 3333 |
| Operating Hours | Check for operating hours here |
Loan providers |
Maybank |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://www.maybank2u.com.sg/en/personal/loans/personal-credit/renovation-loan.page? |
| Address | Check for location here |
| Telephone | 1800 629 2265 |
| Operating Hours | Check for operating hours here |
Loan providers |
DBS |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://www.dbs.com.sg/personal/loans/homeloans/renovation-loan |
| Address | Check for location here |
| Telephone | 1800 111 1111 |
| Operating Hours | Check for operating hours here |
Loan providers |
CIMB |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://www.cimb.com.sg/en/personal/banking-with-us/loans-financing/personal-loans-financing/cimb-renovation-i-financing.html |
| Address | Check for location here |
| Telephone | 6333 7777 |
| Operating Hours | Check for operating hours here |
Loan providers |
RHB Group |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://rhbgroup.com.sg/rhb/personal/home-and-property |
| Address | Check for location here |
| Telephone | 1800 323 0100 |
| Operating Hours | Check for operating hours here |
Loan providers |
Golden Credit (S) Pte Ltd |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://www.goldencredit.com.sg/renovation-loans/ |
| Address | 101 Upper Cross Street, People’s Park Centre #01-05F, Singapore 058357 |
| Telephone |
6224 1300
|
| Operating Hours | Weekdays 11AM – 8PM Saturdays 11AM – 6PM Closed on Sundays |
Loan providers |
QV Credit |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://qvcredit.sg/renovation-loan-singapore/ |
| Address | 175A Bencoolen Street #11-08 Burlington Square Singapore 189650 |
| Telephone | 6835 7666 |
| Operating Hours | Weekdays 11AM – 8PM Saturdays 11AM -4PM Closed on Sundays |
Loan providers |
S G Credit Pte. Ltd |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://loansgcredit.sg/services/housing-renovation-loan/?gclid=EAIaIQobChMI47W68-z17wIVsoNLBR0VHgWxEAAYAiAAEgIjU_D_BwE |
| Address | 33D Benoi Road, #03-00 Pioneer Lot, Singapore 627788 |
| Telephone | 6978 8414 |
| Operating Hours | Weekdays 10AM – 9PM Weekends 10AM – 5PM |
Loan providers |
Friday Finance |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://www.fridayfinance.sg/loan-types-features |
| Address | 10 Eunos Rd 8, #09-04 Singapore Post Centre, Singapore 408600 |
| Telephone | 6303 0306 |
| Operating Hours | Weekdays 10AM – 6PM Closed on Weekends |
Loan providers |
Galaxy Credit Investment |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://galaxycreditinvestment-sg.com/renovation-loan/?gclid=EAIaIQobChMI8um3yvP17wIVAX8rCh0VAQz-EAAYASAAEgJvOPD_BwE |
| Address | 709 Ang Mo Kio Avenue 8 #01-2595 Singapore 560709 |
| Telephone | 6865 9500 |
| Operating Hours | Mondays – Saturdays 11AM – 8PM Closed on Sundays |
Loan providers |
TCC Credit Co-operative |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://www.tcc.org.sg/renovation-loan |
| Address | 95 Killiney Road Singapore 239537 |
| Telephone | 6319 3700 |
| Operating Hours | Weekdays 8.45AM – 6PM Saturdays 9AM – 1PM Closed on Sundays |
Loan providers |
Art Credit Pte Ltd |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://art-credits-sg.com/services/housing-loan/?gclid=EAIaIQobChMIi9uCrfX17wIVxw0rCh3AmgcTEAMYAyAAEgIjofD_BwE |
| Address | 238A, Serangoon Road Singapore 218085 |
| Telephone | 6978 8411 |
| Operating Hours | Daily 11.30AM – 8.30PM |
Loan providers |
UK Credit |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://ukcredit.sg/renovation-loan/ |
| Address | Blk 210 New Upper Changi Road (Bedok North Central) #01-723 Singapore 460210 |
| Telephone | 6448 7448 |
| Operating Hours | Mondays – Saturdays 11.30AM – 8PM Sundays 10.30AM – 6PM |
Loan providers |
MWA Capital Pte Ltd |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://mwacapital.sg/loan-plans/renovation-loan/ |
| Address | 3 Philip Street, #13-01 Royal Group Building Singapore 048693 |
| Telephone | 6978 5890 |
Loan providers |
Lending Bee |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://www.lendingbee.com.sg/borrow/home-renovation-loan/ |
| Address | Check for location here |
| Telephone | 6219 1611 |
| Operating Hours | Check for opening hours here |
Loan providers |
Credit Enterprise |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://creditenterprisesg.com/renovation-loan/?gclid=EAIaIQobChMIkpyM84T57wIV0SMrCh38IQSGEAAYAiAAEgJnMvD_BwE |
| Address | 1 Park Road, #01-16 People’s Park Complex Singapore 059108 |
| Telephone | 6978 5896 |
| Operating Hours | Daily 10AM – 8PM |
Loan providers |
BST Credit |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://www.bstcredit.com.sg/apply-renovation-loan/ |
| Address | Blk 131 Jurong Gateway Road, #01-251 Singapore 600131 |
| Telephone | 6299 1782 |
| Operating Hours | Mondays – Saturdays 11AM – 8PM Closed on Sundays |
Loan providers |
SSBEC |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://www.ssbec.coop/home/loan/renovation_loan |
| Address | 11 Cantonment Road, (near Cantonment Police Complex) Singapore 089736 |
| Telephone | 6344 8627 |
| Operating Hours | Weekdays 9AM – 6PM Saturdays 9AM – 1PM |
Loan providers |
POSB |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://www.posb.com.sg/personal/loans/homeloans/renovation-loan |
| Address | Check for location here |
| Telephone | 1800 339 6666 |
| Operating Hours | Check for opening hours here |
Loan providers |
Horison Credit |
| Speciality |
|
| Pricing | Contact for quotation |
| Website | https://www.horisonmoneylender.com.sg/blog/apply-for-home-renovation-loan/ |
| Address | 1 Park Road, #01-15 People’s Park Complex Singapore 059108 |
| Telephone | 6844 2902 |
| Operating Hours | Mondays – Saturdays 11AM – 8PM Closed on Sundays |
When to apply for a renovation loan
Often renovations are costly expenses. It can put a strain on your finances to tap into your savings or when you may not have sufficient time to save up the sum. Instead of paying a large sum upfront, renovation loans provide that flexibility to split the sum and spread it out into multiple installments over a period of time.
Financial institutions often offer lower interest rates compared to personal loans. However, this also means that the loan amount offered is often lesser and capped at a certain limit. If you require financing for your renovation works and the amount required meets the maximum loan amount, you can consider applying for a renovation loan.
What types of activities can you use your renovation loan on
The renovation loan amount can be used to finance a wide range of renovation activities. Depending on the financial institution, this includes renovation works such as flooring, electrical works, structural alterations and more. These loans are specifically tailored to finance your home renovation. Hence it is important to note that the renovation loan cannot be used on home furnishings or for any other purposes not related to renovation works.
Types of renovation loan interest rates
It is important to note that the true cost of your loan may be higher due to the way the interest is calculated. There are two main types of renovation loan interest rates – monthly rest and flat rate. The interest rate calculated for monthly rest is based on the outstanding balance of the loan, reducing the interest over time. Whereas the flat interest rate is calculated based on the initial principal amount. This means that the interest paid remains the same even as your outstanding loan reduces.
What to take note of before applying for a renovation loan
It is common to take up a renovation loan to finance your home renovation. Financial institutions typically have a list of criteria you have to meet before your application gets approved. Sometimes there are also offers available for existing customers. It is important to research beforehand to ensure that you qualify for the loan and not miss out on any cost savings.
Here are some of the common requirements to take note of before applying for a renovation loan:
Existing credit score
Your existing credit score can affect your loan application outcome or the amount of loan you can borrow. Banks usually offer low interest rates but are often extremely stringent with the approval process. If you have a bad credit score, it might be difficult to get a loan from a bank.
Alternatively, you may choose to apply from a licensed money lender. The application process is usually faster and your credit history may not be scrutinised as much. However, the trade off is that interest rates are generally higher.
Eligibility to apply for renovation loan
Financial institutions will often indicate the eligibility requirements for the renovation loan. The common requirements include being the owner of the property to be renovated, be at least 21 years of age and to meet the minimum annual income. Some renovation loan providers offer joint loan applications. This allows you and a related family member to apply for the loan as long as either one meets the annual income required.
Singapore banks usually offer the renovation loan to Singapore citizens and Singapore permanent residents only. Licensed money lenders is another option to consider as they usually offer loans to both Singaporeans and foreigners. However, foreigners may find that the income requirements are typically much higher.
Documents required to apply for loan
There are a handful of documents you need to obtain beforehand for the loan application process. Hence it is important to run through the checklist provided to prevent any delays. This may include personal documents such as your identification card, proof of income, proof of ownership, renovation permit. You are also required to provide a copy of the contractor’s invoice or quotation which states the costs, renovation address, issue date and more.
Loan tenure of renovation loan
Also known as the repayment period, loan tenure is the agreed period of time you have to pay the borrowed amount including interest to the renovation loan provider. This can usually range between 1 month up to 5 years.
To lower your monthly fixed cost, there are financial institutions that offer lower interest rates for longer loan tenures. However, it is important to note that some providers may charge an early repayment fee. This is either a fixed cost, a percentage of the amount prepaid or on the outstanding loan balance.
Additional fees and hidden costs
Some financial institutions may charge additional fees on top of the loan amount and interest rates. This includes processing, handling or administration fees which are charged at a percentage of the loan amount. If you miss any payment period, you will also be charged a late payment fee. To avoid incurring extra charges, it is crucial to take note of these additional costs and ensure payment is met on time.
Do also note that the renovation loan amount will be paid directly to the renovation vendor via a cashier’s order. You can choose to issue multiple vendors or submit the orders in stages. Often you will be charged a fee after the first cashier’s order.
Editor’s Note:
While every precaution has been made to ensure the accuracy and fairness of this listing, we acknowledge that they may be inaccuracies. Therefore, we urge you to contact the service provider above for the correct information and/or contact us with the correct information.
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