[SINGAPORE] The proportion of private housing loan applicants without any outstanding mortgages continued to rise in the first quarter of this year, according to latest figures from Credit Bureau (Singapore). This suggests that the January cooling package, with measures that discouraged multiple property ownership, is starting to bite, analysts say.
CBS data shows that of the 16,208 Singaporeans and permanent residents granted private home mortgages (including refinancing cases) in the first three months of 2013, 65 per cent did not have any outstanding home loans either for an HDB flat or private home. This figure is markedly higher than the 61 per cent for the whole of last year, which in turn was up from 56.4 per cent in 2011 and 53 per cent in 2010. On the other hand, the proportion of second and third loan cases among Singaporeans and PRs granted private housing loans has been falling.
The 65 per cent share of first-loan cases in Q1 2013 is up nearly 7 percentage points from the 58.3 per cent in Q1 2012.
OCBC Bank’s head of consumer secured lending Phang Lah Hwa said: “We observe that the number of home loan borrowers with only one home loan has increased in Q1 2013 compared to last year, as the series of property cooling measures have discouraged multiple property purchasers.”