Maybank Home Renovation Loan Review: Does it Fit Your Needs?

Maybank Home Renovation Loan Review: Does it Fit Your Needs?

Maybank's Home Renovation Loan is an inexpensive option for those that seek a long-term renovation loan or for homeowners with a home loan from Maybank.

Good for

  • Individuals seeking a home loan of 4 or 5 years
  • Current Maybank home loan customers

Bad for

  • Homeowners seeking a 1 to 3 year renovation loan
  • Borrowers that currently have a home loan with another bank

Editor's Rating

4.5/5.0

Maybank is one of the best options for long-term renovation loans as it offers the cheapest 4 and 5 year renovation loans in Singapore. It also offers the best interest rates to its existing home loan customers and charges lower fees than its competitors.

Summary of Maybank's Home Renovation Loans
Cheapest 4 to 5 year renovation loans: 4.33% rest rate
Lowest interest rates for current home loan customers: 2.88%
Low minimum loan requirement: S$5,000
Low processing fee: 1%
Promotion: Half Off Processing Fee & S$100 Takashimaya Voucher

Table of Contents

What Makes Maybank's Renovation Loans Stand Out to Borrowers

Maybank's home renovation loans are some of the best available to homeowners in Singapore. For durations of 4 or 5 years, Maybank's interest rate of 4.33% is the lowest available. These longer durations are preferable to individuals that require the lowest monthly payment possible or those that are planning large or expensive home renovations. Additionally, Maybank charges lower introductory (1%) and cashier fees (S$5, first is free) than other banks.

On the other hand, Maybank does not publish its 1 to 3 year interest rates for renovation loans, while CIMB offers the interest rates for 1 to 3 year renovation loans. Loans with shorter tenure might be preferable to homeowners that are able to pay larger monthly payments and prefer loans with the lowest total cost of borrowing.

Summary of Maybank's Home Renovation Loan Interest Rates

MaturityProcessing FeeInterest Rate (Rest Rate)Monthly InstalmentTotal Cost
4 Years0.5%4.33%S$341S$1,439
5 Years4.33%S$278S$1,784
*Assuming loan of S$15,000, accounts for fees and promotions

In addition to its general renovation rates, Maybank's preferred rates to its current home loan customers are the cheapest available. With rest rates of 2.88% and tenures of 1 to 5 years, these are the cheapest renovation loans in Singapore. Therefore, homeowners with loans from Maybank are also best suited with a renovation loan from the bank.

Summary of Maybank's Home Renovation Loan for Existing Home Loan Customers

MaturityProcessing FeeInterest Rate (Rest Rate)Monthly InstalmentTotal Cost
1 Year1.0%2.88%S$1,270S$385
2 YearsS$644S$604
3 YearsS$435S$825
4 YearsS$331S$1,049
5 YearsS$69S$1,274
*Assuming loan of S$15,000, total cost includes impact of promotions and fees

Who Can Apply: Eligibility Criteria

Consider this if you require a 4 to 5 year renovation loan

Maximum Principal 6x Monthly Income or S$30,000
Rest Rate 4.33%
Cashier Fee 1st free, S$5/each after deducted from loan proceeds

Singaporeans and Permanent Residents of Singapore ages 21 to 55 are eligible to apply for Maybank's renovation loan. More specifically, borrowers must be 55 years or younger at the time of their loan's maturity. Additionally, applicants must earn annual income of at least S$30,000. Successful applicants are eligible for loans of S$5,000 to S$30,000 or 6 times their monthly income.

Other Charges and Fees

Unlike other lenders, Maybank does not charge an administrative fee; however, it does charge a 1% processing fee, though it is currently waiving half of the fee for borrowers with Credit Bureau (GEN02 Scorecard) Risk Grades of AA,BB and CC. It also charges a cancellation fee and S$5 for cashier orders after the first free cash disbursement.

FeeAmount
Processing Fee1% (Currently 50% off)
Administrative FeeN/A
Cashier Order$5 per order (first is free)
Cancellation Fee1% of undrawn amount or cancelled amount (min S$100)

How to Apply: Application Process

To apply for Maybank's renovation loan, borrowers must submit an application form as well as proof of identity, income, renovation and home ownership. To prove one's income, salaried applicants must submit either their latest computerised payslip, last 6 months' CPF Statement of Account or their latest Income Tax Notice of Assessment. Self-employed or commission-based employees must provide their Income Tax Notice of Assessment for the last 2 years.

Other Required Documents:

  • Photocopy of NRIC (front & back)
  • Final renovation quotation or invoice
  • Renovation permits (if applicable)
  • CPF statement of withdrawals for property payment
  • HDB information from HDB's website
  • HDB Sales Order
  • HDB Confirmation Letter
  • Property tax bill

Comments and Questions