Mortgage Rate H+1.30% Cap Rate 2.5%Up to 2.2% + $8,888 Total Cash Rebate
Remortgage/Cash Out Remortgage
Mortgage Rate H+1.30% Cap Rate 2.5%Up to 2.05% + $9,888 Total Cash Rebate
Apply your mortgage with the Banks in 4 simple steps
Latest Best Mortgage Deals
Sep 2022 Best Mortgage Deals Compare
|Property Type||Mortgage Type||Interest||Mortgage Cap Rate||
Bank's Cash Rebate
As High As
28Mortgage Extra Rebate
As High As
|Residential Property||First-time Home Buyer Mortgage||H+1.3%||2.5%||1.8% + $8,888||0.4%|
|Residential Property||Remortgage||H+1.3%||2.5%||1.65% + $9,888||0.4%|
|Government Housing||First-time Home Buyer Mortgage||2.5%||N/A||1.5%||0.16%|
|Village House||First-time Home Buyer Mortgage||H+1.3%||2.5%||1.65%||0.35%|
|Residential Property||Refinance Developer Mortgage||H+1.3%||2.5%||1.65% + $9,888||0.4%|
Who Are We?
Professioinal Mortgage Comparison Platform
Contact our mortgage specialist, and get the Best Mortgage Deals from the Banks!
Successfully apply for and withdraw the mortgage loan through 28 Mortgage and get up to 0.4% of mortgage amount as extra referral rebate!
What Mortgage Referral Service Do We Provide?
What properties can be mortgaged?
We compare the best Bank Mortgage Deals with the follow type of Properties
Difference with New Purchase Mortgage and Remortgage
What is Mortgage?
What is Remortgage?
The property price in Hong Kong always has a leading spot on the highest housing price ranking. Since 2022, the Hong Kong Monetary Authority has loosen the Loan-to-value ratio for property below 10 Million HKD up to 90%, and make it easier to potential buyers who are interested to purchase property with price point between 8 to 10 Million HKD.
A mortgage is an agreement between you and a lender that gives the lender the right to take your property if you fail to repay the money you've borrowed plus interest. In return, you were given the amount of money to complete the property transaction. You will have to pay back the bank based on the interest rate and repayment term details.
Before applying for a mortgage in Hong Kong, applicants are required to complete a Mortgage Stress Test in order for Banks to approve your mortgage. Many factors will be considered to approve your mortgage, e.g. if you have any outstanding loans, you are required to pay back the loans as a condition of the bank's approval. Not enough income supporting documents would also be another factor that affects your bank approvals.
If you would like to know more about your monthly payments or if you can pass the Mortgage Stress Test, speak to our Mortgage Specialist! There will be an Exclusive 28Mortgage Cash Rebate if you successfully complete your mortgage through us!
Mainly there are 2 types of remortgages. The first type is to earn the Cash Rebate from remortgaging the original amount with the same mortgage repayment period from the original bank to a new bank. Cash Rebate can be used to reduce interest costs and property expenses. i.e. If the remortgage amount is 5 Million HKD, with a Bank + 28Mortgage total cash rebate of 2%, you can earn up to around $90,000 HKD after solicitor fee.
The second type is Cash-Out Remortgaging. We are able to help you to obtain the highest property valuation from the Banks to guarantee you to cash out the most from your mortgaged property. Apart from the excess amount from the new valuation, we are also able to offer 28Mortgage Extra Rebates if you successfully draw down your mortgage through us.
The penalty period is normally 2 to 3 years in Hong Kong, it's normal to change the banks after the period to earn the cash rebate to cover property related costs. If you would like to know more about the current Best Mortgage Deals from the Banks, speak to our Mortgage Specialists to know more!
Common questions when applying for a Bank Mortgage
What documents do you need to apply for a Mortgage?
Individual clients (employees) supporting documents
- Photocopies of Hong Kong ID cards or passports
- Proof of address within the last 3 months (such as water, electricity bills) li>
- Bank payroll account records for the last 3 months (if your salary fluctuates, you need to provide proof of the last 6 months)
- Payment slips/payment notices for the last 3 months (if your salary fluctuates, you need to provide proof of the last 6 months)
- Government salaries tax bill/MPF contribution record of the most recent year
- Provisional property sale and purchase agreement (for new mortgage)
- Mortgage payment records (for remortgage or additional mortgage) in the last 3 months
The above documents are required for most banks, but not for a few banks Government salaries tax bill/MPF contribution record for the most recent year is required
What is Mortgage Stress Test? How do you pass the Mortgage Stress Test?
When applying for New Purchase Mortgage or Remortgage, in addition to having a sufficient down payment, you also need to pass the Mortgage Stress Test. How is the Mortgage Stress Test calculated? According to the guidelines of the Hong Kong Monetary Authority, for applicants who do not own or guarantee other mortgage properties, the monthly mortgage payment under current mortgage cap rate can not exceed 50% of total income.After the mortgage cap or fixed rate plus 3% interest, the monthly payment cannot exceed 60%.
For applicants who already own or guarantee other mortgage properties, the stress test standard will be higher than normal, and the relevant standard will be tightened. The monthly mortgage payment under current mortgage cap rate can not exceed 40% of total income. After increasing 3% of the mortgage cap or fixed interest rate, the repayment cannot exceed 50% of the monthly income. The above basic repayment is the sum of the property repayment for the newly applied for mortgage and the mortgage repayment for the property already held or guaranteed.
However, under the Mortgage Insurance Program, there are specific banks who are able to approve your application if your monthly payment does not exceed 50% of your monthly income.
What is loan-to-value ratio?
The loan-to-value ratio is simply understood as the mortgage-to-value ratio is the ratio of the property loan. For example, a 90% loan to value ratio mortgage requires 10% down payment excluding stamp Duty. In Hong Kong, where property prices are high, the loan-to-value ratio is also relatively higher, which reduces the down-payment of home buyers. According to the regulations of the Hong Kong Monetary Authority, a private residence with a price of less than 10 million can borrow a mortgage of up to 60% or 5 million, whichever is lower, while a private residence with a price of 10 million or more can borrow a mortgage of a maximum of 50%. If you are a first-time homebuyer, you are able to obtain a higher loan-to-value ratio through the Mortgage Insurance Program. The highest loan-to-value ratio can go up to 90% if the property is with a valuation of less than 10 million. For properties with valuation more than 10 million to less than 11.25 million, the maximum mortgage you can borrow is 9 million. Properties with valueation more than 11.25 million to 19.2 million, the maximum mortgage amount is 9.6 million.
Hibor Based Mortgage vs Prime Rate Based Mortgage Plan
There are two main mortgage plans in Hong Kong, which are commonly referred to as “Hibor Based Mortgage Plan (H Plan)” and “Prime Rate Based Mortgage Plan (P Plan)”. The "H Plan” refers to the 1-month Interbank Offered Rate (HIBOR) which fluctuates , but there will be a cap limit. For example, H + 1.3%, today's one-month HIBOR is 0.2%, the mortgage rate will be 1.5%, and the upper limit normally same as the “P Plan” for most banks. The interest rate of the "P Plan” is based on the Prime Rate of Banks. Large banks such as HSBC and Bank of China use P = 5% as the benchmark, and the mortgage interest rate for “P Plan” is P (5%) - 2.5% = 2.5%.
"H Plan” is generally applicable to private houses such as 1st-hand, 2nd-hand private houses, village houses, tenements, parking spaces and commercial buildings.
“P Plan” is generally applicable to government-guaranteed properties such as TPS, green and white form public housing, with a maximum repayment period of 25 years.