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The Ultimate Guidelines For DBS Bank Renovation Loan

Renovation loans are loans to improve the existing structure and property or add new amenities to the existing one. This creates a great investment opportunity in making the right upgrades to your home. 

The problem with upgrading your home is that it is an expensive project, requiring a lot of capital. This loan is for those who require repair or renovation work to get their house or apartment to the ideal state that it needs to be. Many certified financial institutions and banks in Singapore have special renovation loan programs that allow customers to achieve their dream homes.

DBS bank is one of those accredited institutions. This article will explain everything you need to know about the DBS renovation loan in Singapore.

Why take a DBS HDB renovation loan

DBS currently offers no interest for your first year on a DBS Select account when you have:

  • Apply for a DBS Renovation Loan with a 5-year loan tenor from 1 January – 30 June 2022
  • Have a DBS/POSB HDB Home Loan by the end of month 3 after Renovation Loan Approval

How to apply for DBS HDB Renovation loan

According to DBS website, here are the steps for applying for DBS HDB Renovation loan:

Existing DBS renovation loan application

New DBS HDB loan applicants

You’ll need a DBS/POSB deposit account to service your loan. If you do not have an existing DBS/POSB account, you can follow these steps to apply before submitting your Renovation Loan application:

Step 1

The first step in submitting an application to the company is to download and fill out the editable PDF application form.

Download form

Step 2

Make sure that all required documents are in order. Maximum number of file upload is limited to 5.

Step 3

Submit your application online and fully assisted by our digibot. You’ll have to verify your identity with the seller by authenticating yourself via:

  • Your Digibank User ID and PIN, OR
  • ATM, Debit or Credit Card number and PIN

Then, wait a few seconds for the digibot to be activated and it will guide you through your application.

DBS renovation loan interest rate

DBS renovation loan for HDB

at 3.88% p.a.

DBS green renovation loan HDB

at 3.68% p.a.

What is DBS green renovation loan?

With the help of DBS Green Renovation Loan, achieving a green home is now more effortless, and wallet-friendly. A 3.68% interest rate makes this home loan great for those who want to start a new chapter in their life and have a secure and sustainable renovation.

Requirements to apply DBS green renovation loan:

  • Submit your renovation loan application online
  • Under the “Green Renovation Checklist” section in the application form, select at least 3 out of the 10 items that are applicable to you.

*Effective interest rate – 4.41% on a 60-month loan term and inclusive of 1% handling fee and 1% insurance premium

Terms and conditions to apply for DBS renovation loan

  • Singapore Citizen or Permanent Resident
  • 21 – 65 years of age
  • The property owner or related family member who is authorized by the owner to act on the owner’s behalf

Single applicant

  • Minimum income of S$24,000 per annum
  • Borrow up to 6 times of your monthly income or S$30,000, whichever lower

Joint applicant

  • Minimum income of S$24,000 per annum for the main applicant
  • Minimum Income of S$12,000 per annum, and is the main applicant’s parent, spouse, child, or sibling for joint applicants
  • If the lower monthly income of the two applicants is $30,000, borrow up to 6 x 2 times the lower monthly income.

 External fees you should know about

There are two fees that will be paid by the applicant in relation to the total amount of your DBS renovation loan status.

  • Handling Fee:
    The amount of the approved loan is 1%.
  • Insurance Premium:
    The amount is 1% of the approved loan amount. Your outstanding renovation loan balance will be paid off in the event of death or total permanent disability.

Here’s an illustration of the disbursed loan amount net of the fees:

Approved loan amount: Fees payable: Disbursed loan amount:
S$10,000 Handling Fee

(1% of S$10,000) = S$100

Insurance Premium

(1% of S$10,000) = S$100


(S$10,000 – S$100 – S$100)

The contractors will receive the loan amount net of the handling and insurance fees in a cashier’s order. The renovation contractor can get up to 4 Cashier’s Orders from you. The charges for the first cashier’s order will be nixed. For each cashier’s order, a fee of S$5 will be charged, and these charges will be deducted from your loan servicing account.

Other fees:

  • Cancellation Fee: 1% of the approved loan amount
  • Pre-payment Fee: 1% of the outstanding loan amount
  • Late Payment Fee: S$35 for each month or part thereof during which any installment and/or interest is not paid

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Easier renovation loan with 9Creation

You have the choice to apply for your renovation loan at any bank you want. Some people are going to make some choices easier than others because they’re being helped by a professional and experienced interior design agency such as 9Creation. 

At 9Creation, we will help you with your budget plan and suggest the easiest and the best renovation loan services you can take. With 9Creation, a successful interior design begins with experienced project management, alongside comprehensive coordination. What are you waiting for? call us at +6295 0922 or visit our office here.





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