BY KOH HUI THENG

PROPERTY owners with multiple residences around the world can now consolidate their mortgage financing into an all-in-one overdraft for greater convenience.

Citibank Singapore yesterday launched a new home loan called Citibank Global Home Equity which targets Citigold Select customers - individuals who have at least $1 million in liquid assets.

With the new service, these high-net-worth customers can keep track of their various mortgages in one consolidated statement, instead of maintaining several loans with different local banks in countries where their properties are located.

For instance, a client in Singapore with apartments in London and Perth would have to approach British- and Australian-based banks respectively to finance both residences, which can be a time-consuming process.

Citibank's new service allows him to combine the loans for both properties into one overdraft facility in Singapore. The product currently applies to residential properties in six markets: Singapore, Malaysia, Hong Kong, Australia, Canada and the United Kingdom. Under Citibank's new service, the loan amount is capped at 70 per cent of each property value, which is determined by property valuers.

The property owner can choose to take out his loan in his preferred currency from eight options, including the Singapore dollar and the greenback.

Additionally, no fees are incurred if he switches to a different currency later, provided that each switch is at least US$250,000 (S$370,000).

Interest rates are pegged to the Singapore Interbank Offered Rate for Sing dollar-based loans and the London Interbank Offered Rate for other currency- based loans.

Clients can utilise the credit line whenever the need arises and make repayments on the loan principal anytime.

Said Citi Singapore's head of commercial markets, Mr Tan Chia Seng, at the launch yesterday: "This product is tailored tomeet the needs of affluent clients who have sizeable assets held in property across the world.

"These individuals understand the value of having a consolidated line of credit and a single point of contact, both of which go towards facilitating timely investment decisions."

For more my paper stories click here.