If you are checking the SORA rate today before locking a home loan, here is the short version. As of 22 June 2026, 3-month compounded SORA was about 1.075% and 1-month compounded SORA was about 1.00%, based on the daily values that the Monetary Authority of Singapore (MAS) publishes every business day at 9am. Those numbers are roughly a third of the 3%-plus levels mortgage borrowers were paying in 2023. SORA is the benchmark your floating-rate package is priced off, so the figure you read today, plus your bank's fixed spread, is close to the interest you will actually pay this quarter.
SORA stands for the Singapore Overnight Rate Average. It is the volume-weighted average rate of all unsecured overnight interbank Singapore dollar borrowing, calculated from real transactions between 8am and 6.15pm each business day and published by MAS the next morning at 9am. Because it is built from actual lending rather than survey quotes, it cannot be nudged the way the old SIBOR sometimes was.
You almost never borrow against the raw overnight figure. Banks price mortgages off compounded SORA, which averages the daily overnight rate over a one-, three- or six-month window. That smoothing is why the compounded figures move gently while the daily reading can jump around. For a plain-English breakdown of the benchmark itself, see our SORA glossary entry.
| Tenor | Compounded SORA | What it prices | Reset frequency |
|---|---|---|---|
| 1-month (1M) | ~1.00% | 1M SORA mortgage packages | Monthly |
| 3-month (3M) | ~1.075% | Most SORA home loans | Quarterly |
| 6-month (6M) | ~1.077% | Some HDB and niche packages | Twice a year |
The number that matters for your wallet is not just the level but how often it resets. A 1M SORA package recalculates monthly, so it passes both cuts and hikes to you faster. A 3M SORA package locks the rate for a quarter, acting like a short fixed rate with a lag.
In a falling-rate stretch like mid-2026, a 1M peg lets you capture cuts sooner; in a rising stretch, a 3M peg delays the pain by up to three months. 3M SORA is also structurally less volatile because it averages over a longer window. Most Singapore home loans are pegged to 3M SORA for that reason.
There is also a subtle ordering effect worth knowing. When SORA is trending down, the 1-month figure usually sits below the 3-month figure, because the shorter window has already absorbed the most recent cuts. That is exactly what the June 2026 readings show: 1M at around 1.00% versus 3M at around 1.075%. When SORA is climbing, the relationship flips and 1M tends to print above 3M. So a quick glance at whether 1M is above or below 3M tells you, roughly, which direction the benchmark has been moving.
Your loan rate is the SORA benchmark plus a fixed spread your bank sets at signing. So if 3M SORA is 1.075% and your package is '3M SORA + 0.20%', your effective rate this quarter is about 1.27% per annum. The spread is the part that stays put; the SORA part floats with the market.
As of June 2026 the sharpest floating packages were quoting around 3M SORA + 0.20% to + 0.30%, putting headline rates in the 1.27% to 1.37% range for private property and HDB flats. Two-year fixed packages started from about 1.40% p.a. The gap between fixed and floating has narrowed to under 0.2% on the cheapest deals, which is unusually tight. Run your own numbers with the mortgage repayment calculator before you commit.
| Package | Pricing | Effective rate (approx.) | Property type |
|---|---|---|---|
| Floating (3M SORA) | 3M SORA + 0.20% | ~1.27% p.a. | Private condo / new launch |
| Floating (3M SORA) | 3M SORA + 0.25% | ~1.32% p.a. | HDB flat |
| 2-year fixed | Fixed | from ~1.40% p.a. | Private condo |
| 2-year fixed | Fixed | from ~1.50% p.a. | HDB flat |
Singapore retired its old benchmarks on a fixed timeline. SOR was discontinued on 30 June 2023. The 6-month SIBOR went first on 31 March 2022, and the widely used 1-month and 3-month SIBOR were discontinued immediately after 31 December 2024. SORA is now the single SGD interest-rate benchmark.
When loans were converted, MAS's steering committee set Credit Adjustment Spreads to bridge the gap between the old quote-based rates and compounded SORA: 0.2059% for 1-month SIBOR equivalents and 0.3571% for 3-month. If your loan was migrated rather than refinanced, that adjustment may still sit inside your rate. To decide whether to switch packages, compare the moving parts in our fixed vs floating mortgage guide.
The reason for the change matters for trust, not just paperwork. SIBOR and SOR were partly derived from bank quotes and, in SOR's case, from US dollar funding via FX swaps, which left both exposed to the same weaknesses that ended LIBOR globally. SORA is anchored entirely to settled overnight transactions in Singapore dollars, so the rate reflects what banks actually paid each other rather than what they said they would pay. MAS also publishes a SORA Index, set to 1.0000000000 on its base date of 3 January 2020, which lets anyone reconstruct compounded SORA over any period without trusting a single quoted figure.
SORA tracks Singapore dollar liquidity and global rate moves, particularly the US Federal Reserve. Through 2022 to 2024 it climbed above 3% as global rates rose, then fell into the low-1% range by early 2026 as cuts filtered through. UOB's published projection has SORA bottoming near 1% in 2026 before edging back toward roughly 1.39% by year-end.
No one prices the future perfectly, so treat forecasts as a planning range, not a promise. The practical takeaway: today's sub-1.3% floating packages are cheap by recent history, but a 3M peg will reprice if rates turn. If you would rather not refinance every time SORA moves, weigh whether a HDB loan or a bank loan suits your risk appetite first.
As of 22 June 2026, 3-month compounded SORA was about 1.075% and 1-month compounded SORA was about 1.00%. MAS publishes the official daily values every business day at 9am, so check the MAS page or your bank for the exact figure before signing a loan.
It depends on the rate cycle. A 1-month peg resets monthly and captures cuts faster, which helps when rates are falling. A 3-month peg locks the rate for a quarter and is less volatile, which cushions you when rates are rising. Most Singapore mortgages use 3M SORA.
Your rate is the compounded SORA benchmark plus a fixed spread set by your bank. For example, 3M SORA at 1.075% plus a 0.20% spread gives an effective rate of about 1.27% per annum for that quarter. The spread stays fixed while the SORA portion floats.
SOR was discontinued on 30 June 2023 and SIBOR was fully retired after 31 December 2024. SORA is built from actual overnight transactions rather than survey quotes, making it harder to manipulate and aligned with the global shift away from LIBOR-style benchmarks.
This is general financial information for Singapore, not personal financial advice. Figures change — verify current rates against the official sources above before acting. See our full disclaimer.