Asked by
Currently, i am a guarantor for my mother who is 86 years. I understand that come 2017, most bank do not accept me as a guarantor for my mother. what should i do if i need to do refinancing. Pls advise.
0
399 views
Want this question answered?
Get faster responses from our experts by upvoting.
Be the first to upvote this question.

1 Answer

Hi Mr Andy

How much is the balance outstanding of the house that make you want to refinance? Given that of your mother age, if the house is below an outstanding amount of $500k I would not suggest refinancing the flat as it does not make a huge difference in the saving of a few interest. But of course depending on what is the interest she is paying and what is the current market interest. I will need to understand more information to be able to reply or assist further.

FYI
Yen Ling
 91722994 
ERA Read More
0
  • AN
    Hi Yen Ling
    Thanks for your reply. The outstanding loan is 1.6mil. Currently because the property is under my mother's name, i have to pay cash for the mortgage loan at 1.48% and 2 year FD is up on Mar 2017. In view of this, 400k of my CPF is unused to reduce the mortgage loan.
    If i transfer the property to my name, do i have to pay BSD (mother and son relationship) beside bank penalty? If transfer and need to pay BSD, can i write an appeal to IRAS to allow a lower valuation(mother and son relationship and not property speculation)? It this allowed? The bank inform me the valuation is 2.4mil. Can you advise what is the best solution? Thanks

Still looking for answers?

Get answers from PropertyGuru experts in 24 hours

Previously Asked Questions