The Business Times
business-time-50
SUBSCRIBERS

More customer interest in floating-rate home loans amid Sora decline in Q2

But the majority of customers continue to choose fixed-rate packages

Summarise
google-preferred-sourceAdd BT as a preferred source
Tan Nai Lun

Tan Nai Lun

Published Mon, Aug 18, 2025 · 02:22 PM
    • Tok Geok Peng, OCBC's group head of consumer secured lending, noted that houses are likely the biggest financial commitment of an individual.
    • Tok Geok Peng, OCBC's group head of consumer secured lending, noted that houses are likely the biggest financial commitment of an individual. PHOTO: OCBC

    [SINGAPORE] The local banks have observed more customer interest in home loans on floating-rate packages, following a decline in the Singapore Overnight Rate Average (Sora) in the second quarter of 2025.

    In Q2, the three-month compounded Sora fell by 50 basis points, even though the US Federal Reserve did not cut rates during the quarter.

    Expectations of the Fed cutting rates ahead also continue to put pressure on the Sora.

    Singapore banksSingapore mortgagesDBSOCBCUOB

    TRENDING NOW

    Piyush Gupta, chairman of SMU, Keppel and Mandai Wildlife Group, said: "We have to position the parks to serve our advocacy purpose, to serve an entertainment purpose, to continue to be what Singaporeans want.”

    Not retirement, but a rewiring and fresh perspectives post-DBS, says Piyush Gupta

    Longest-serving chief minister Taib Mahmud’s legacy looms large over Sarawak as a family feud over his estate threatens to expose skeleton’s in the eastern state’s political closet.

    On the board but frozen out: The Taib family feud tearing Sarawak construction giant apart

    The special asset bankers are up against a HK$200 billion pile of soured debt that has pushed the Hong Kong’s distressed loan ratio to a two-decade high.

    Hong Kong’s bad-debt bankers ramp up fire sales, liquidations as city’s distressed loan ratio hit a high

    Among the STI components that will trade ex-dividend this week are DBS and Frasers Logistics & Commercial Trust.

    Power of payouts: A big chunk of the STI has just gone ex-dividend. What’s next?

    Latest T-bills Treasury Bills Results & Interest NewsLatest SSB Singapore Savings Bonds NewsLatest COE Certificate of Entitlement News
    Latest Johor-Singapore SEZ NewsLatest BTO Build To Order & Sales of Balance NewsLatest STI Straits Times Index NewsLatest SGX Dividends, Share Price NewsLatest Bonds Market NewsLatest Singapore Stocks To Buy NewsLatest Singapore Economy News
    View More