We know the weight of big decisions — the sleepless nights, the plans sketched on napkins. When your business needs capital or you want to unlock value from an asset, clarity matters more than ever.
At Property Equity Loan, we guide you through available fixed-rate and SORA-pegged packages in Singapore so you can decide with calm confidence.
Typical market features include tenures from 1 to 25 years (some up to 30), LTV up to 80%, and renovation bundles that may cover eligible works using sustainable materials.
Promotions running through 30 September 2025 can offer 60% off processing fees for online applications plus legal and valuation subsidies. We also explain how banks evaluate applications, what conditional offers look like, and where early refinancing charges may apply.
We help support you at every step — from enquiry to approval — so your finance choices align with your long-term business goals.
Key Takeaways
- We compare fixed-rate and SORA-pegged options to match your cash flow needs.
- Expect tenures typically between 1–25 years, with some offers up to 30 years.
- LTVs commonly reach 80%; renovation bundles can finance eligible sustainable work.
- Promotions may include processing fee discounts and legal or valuation subsidies.
- Our team offers practical help support from enquiry through conditional offers.
Today’s landscape for commercial property loan interest rates in Singapore
Singapore’s financing landscape now balances fixed packages with SORA-linked structures, and knowing the difference matters for cash flow.
What drives the choice: fixed versus SORA
Fixed packages lock instalments for an agreed period, for example fixed for the first 2 years. That helps stabilise cash flow and budgeting.
SORA-pegged packages reference the 3‑month compounded SORA. This is built from daily published SORA over the previous 3 months and reflects market funding costs.
How SORA is published
SORA averages interbank transactions between 8:00am and 6:15pm. The published figure is available by 9:00am the next business day on the Monetary Authority of Singapore site.
Bank assessment, lock-in and repricing notice
Banks assess your business by looking at cash flow, profitability, leverage, and sector outlook. That assessment affects the amount you can borrow and your pricing band.
| Feature | Fixed | SORA-pegged | Impact |
|---|---|---|---|
| Payment predictability | High | Variable | Budgeting vs market alignment |
| Benchmark | Set for period | 3‑month compounded SORA | Stability vs transparency |
| Lock-in & notice | Possible early-exit fees | May require repricing notice | Be mindful of total cost |
| Subsidies | Processing/legal support | Can apply similarly | Reduces upfront outlay |
We help you compare terms and quantify the total cost across months and years so you can choose what fits your business property goals. Whatsapp us at Property Equity Loan to get the latest deals and a tailored assessment.
Key features and terms of a business property loan
Before you apply, know the features that shape borrowing capacity and monthly commitments.
Loan amount and property value
Typical offers fund up to 80% of property value for acquisition or refinance. Select packages for operating companies may reach 90% of the purchase amount, subject to credit checks and use.
Flexible repayment period
You can choose a repayment period from 1 up to 25 years, and some lenders extend tenure to 30 years. Matching the repayment period to cash flow reduces refinancing risk and preserves working capital.
Fixed vs SORA-pegged installments
Fixed installments lock payments for a set term, often the first 2 years. SORA-pegged options use the 3-month compounded SORA and can move with market funding costs. Choose stability or market alignment based on your cash plan.
Fees to expect
Budget for a processing fee, legal fees, and a valuation fee. Promotions through 30 September 2025 may offer a 60% processing fee discount and subsidies that cut upfront outlay.
Financing renovation and fit-out
Renovation bundles can finance up to 100% of eligible sustainable works, fixtures, or equipment. This preserves working capital for operations while upgrading the asset.
Quick checklist
- Confirm get property value via an accredited valuer.
- Estimate needed amount and preferred tenure in years.
- Compare fixed vs SORA-pegged scenarios for monthly impact.
- Ask about fee subsidies and renovation financing options.
| Feature | Typical | When to choose |
|---|---|---|
| Loan amount | Up to 80% (select cases 90%) | Stable cash flow or strong company profile |
| Repayment period (tenure) | 1–25 years (some up to 30) | Longer tenure eases monthly payments |
| Installment type | Fixed or SORA-pegged | Choose predictability or market tracking |
| Fees | Processing, legal, valuation | Check for time-limited discounts |
| Renovation financing | Up to 100% of eligible works | Preserves working capital for operations |
Need help assessing what fits your balance sheet? Whatsapp us at Property Equity Loan to get tailored advice and the latest offers.
Commercial property loan interest rates: how to qualify and apply
A smooth approval begins when you know exactly which details and documents lenders will expect.
Application essentials
Provide clear property details: address, floor size, tenure, independent valuation or the purchase price, and any option to purchase.
These facts let underwriters assess value and set suitable terms without delay.
Business financials and bank records
Prepare your latest two years of financial statements and about three months of bank account activity.
If the bank you use is your main operating bank, recent statements may not be required. Still, upload them if available to speed assessment.
- We explain how the bank reviews cash flow, profitability, gearing and sector risk to set the credit outcome.
- Provide accurate valuation reports and tenancy schedules as additional information to shorten timelines.
- Consider financing add‑ons such as renovation or fit‑out so funds align with contractor schedules.
| Step | What to expect | Why it matters |
|---|---|---|
| Submit application | Online form with documents | Speeds initial check |
| Guarantor endorsement | Contacted to confirm support | Needed for approval |
| Conditional offer | Relationship manager calls | Shows approved terms |
| Finalise | Track status and sign | Disbursement follows |
Need a hand preparing your file? Whatsapp us at Property Equity Loan to get the latest deals and a tailored checklist for your application.
Pricing, repayments, and practical examples
Plan with clarity. Use a simple repayment calculator to turn a borrowing amount, tenure and an assumed interest rate into a monthly figure you can rely on.
Estimating monthly repayments with a calculator
A calculator uses three inputs: the amount, the tenure in years, and a rate assumption. It then shows monthly repayment and total cost over the chosen period.
For example, with a SGD 100,000 down payment an estimated monthly instalment is about SGD 3,327 for a mid-length term. Use that to compare scenarios and test a flexible repayment plan.
Tenure, rate and repayment structure
Longer years lower instalments but raise total fees and interest. Fixed packages can stabilise payments for the first 2 years; SORA-pegged options move with market benchmark rates.
Early repayment, lock-in and fees
Refinancing inside a lock-in may incur early-exit charges and a notice period can apply. Check processing fee and legal subsidies—some promotions include a 60% discount on processing fee until 30 September 2025.
Getting support during your application
Your relationship manager will call with a conditional offer and coordinate with corporate banking. Expect a follow-up the next business day to progress documents like bank account records and valuation details.
Need tailored scenarios? Top financing options and our team at Property Equity Loan can help you refine amounts and tenure so you commit with confidence. Whatsapp us at Property Equity Loan to get the latest deals.
Conclusion
A confident funding decision starts with simple, comparable numbers you can trust. We help you weigh fixed and SORA‑pegged options, so you can choose a business property loan structure that fits cash flow and growth plans.
Key facts: tenures commonly run 1–25 years (some up to 30) and LTVs typically reach 80% (select cases 90%). Expect clear terms on loan amount, fees, lock‑in notice, and any early refinancing charges.
Our process is hands‑on. Your relationship manager coordinates with corporate banking, legal and valuer teams to keep your application moving day by day. Whatsapp us at Property Equity Loan to get latest deals and a tailored plan by the next business day.
FAQ
What affects commercial property loan interest rates today?
Several factors shape pricing: the SORA benchmark vs fixed packages, your business risk profile, loan-to-value ratio, and market liquidity. Banks also consider sector demand and the asset’s valuation. Together these determine the margin you pay above the published benchmark.
How does SORA work and when is it published?
SORA is a secured overnight average rate published by the Monetary Authority the next business day. Lenders use it as a reference for floating-rate packages; your monthly payment updates when banks reprice using the latest SORA plus a fixed spread.
How do banks assess my business when they set pricing?
Lenders review recent financial statements, cashflow trends, bank account activity, industry outlook, and the borrower’s relationship with corporate banking. Strong accounts and steady revenue typically secure better terms.
What are lock-in periods and repricing notices?
A lock-in is a term during which you pay a fee for early exit. Repricing notices tell you when a floating package will adjust. Both affect total cost: longer lock-ins can mean lower margins but higher early-exit penalties.
How large a loan can I get against my business estate?
Loan amounts generally range up to 80%–90% of assessed value depending on asset type, borrower profile, and intended use. Lenders confirm valuation through an independent report before approving the facility.
What repayment periods are available?
Tenures typically run from 1 year up to 25–30 years. Shorter terms reduce total financing cost but raise monthly installments; longer terms lower monthly payments and can aid cashflow planning.
Should I choose fixed payments or a SORA-pegged plan?
Fixed instalments give certainty in budgeting. SORA-pegged plans can start lower if market rates fall, but payments vary with the benchmark. Choose based on how much rate volatility you can tolerate.
What fees should I expect when applying?
Common fees include processing charges, legal fees, valuation costs, and occasionally arrangement or commitment fees. Some banks offer fee subsidies for established clients—ask your relationship manager for a full fee schedule.
Can I finance renovation or fit-out through the facility?
Yes. Many lenders allow part of the proceeds for renovation and fit-out, which can conserve working capital. Approval depends on the scope and the projected impact on asset value or business income.
What documents are essential for the application?
Prepare property details, the purchase price or valuation, company financial statements, recent bank statements, tenancy agreements (if any), and ID documents. Complete paperwork speeds up the assessment.
How do lenders estimate monthly repayments?
Banks use the loan amount, tenure, and chosen pricing model to calculate monthly instalments. Online calculators or your relationship manager can provide examples showing how tenure and price affect payments.
What happens if I repay early or refinance within a lock-in?
Early repayment often triggers a break fee or prepayment penalty during the lock-in. Refinancing may incur administrative costs and fees; review the lock-in terms to compare the net benefit of switching.
How quickly can I get a decision or follow-up?
Initial credit checks and a conditional response can occur within a few business days. SORA updates and formal offers often follow by the next business day or as agreed with your relationship manager, depending on valuation timing.
Who can help me through the process?
A relationship manager in corporate banking will guide you from application to drawdown. They coordinate valuation, legal steps, and documentation to make the process straightforward and protect your timing and interests.
