5 Questions to Ask Before Refinancing

Posted on Posted in Useful Mortgage Guides

When you are looking to refinance your home loan, a few questions might come to mind. Today, we will be covering 5 important questions to ask before you embark on your refinancing journey.

Before we start, in a nutshell, refinancing is the act of taking out a second loan with a different bank, usually at a lower rate than before.

1. Why Refinance?

The first concern every individual looking to refinance should have is the motivation behind doing it.

Logically, refinancing is an economically-sound move to make. By refinancing your mortgage at the lowest interest rates possible, the accrued interest savings will benefit you.

Of course, there may be situations in which one would be better off not refinancing and choosing to reprice instead (more to come shortly).

2. Where Can I Refinance with the Lowest Mortgage Rates in Singapore?

If you have decided to refinance, then you must be looking out for the lowest mortgage rates in Singapore. The various banks in Singapore offer a multitude of home loan packages that you can choose from. What helps is the competitive nature of the local market, as banks fight tooth-and-nail to ensure that they put out attractive refinance mortgage rates to secure customers.

Information on the different banks’ mortgage rates in Singapore is widely available. It is worth noting that the research done on the lowest mortgage rates in Singapore can help you make informed decisions that will result in financial benefits.

Alternatively, there are online sites like HugMortgage that can help simplify the process. Such sites provide the lowest mortgage rates in Singapore ready at your fingertips, making the refinancing process easier for you.

3. How Do I Compare the Mortgage Rates in Singapore?

With mortgage comparison websites like HugMortgage, you will be easily able to compare all available rates from the different banks in Singapore. This saves you the hassle of hopping from one bank’s website to another to check the available rates individually.

With each bank providing different refinance mortgage rates, it is important to base your selection on the factors such as minimum loan amount, lock-in period, type of interest rates (fixed or floating), transaction costs, legal subsidies provided, and more.

4. How Do I Get Better Mortgage Rates in Singapore?

One way to get the lowest mortgage rates in Singapore is to improve your credit score, by paying your bills on time and lowering outstanding debts. Though the rates are dependent on market forces of the economy, it is good to refinance every two to three years (after the lock-in period) to take advantage of the competitive refinance mortgage rates.

5. Should I Refinance or Reprice?

The final question is whether you should refinance or reprice. The main difference between the two is that one involves a switch in banks and the other does not. Refinancing and repricing come with different costs and benefits, such as savings or convenience.

Ultimately, you should be able to refinance/reprice your mortgage at the lowest interest rates possible. It is wise to seek out a mortgage expert’s opinion on whether you should refinance or reprice. HugMortgageprovides free expert assistance on mortgages.


Why fret over refinancing, when our mortgage experts can secure the best rates for you? Let our experts do the heavy-lifting for you – for free, while you sit back and relax. Be it obtaining the lowest mortgage rates in Singapore, or comparing the different banks’ mortgage rates in Singapore, HugMortgage can do it all. All you need to do is reach out, and we will lend you a helping hand!