The jury's still out it seems but each loan type - be it a bank loan or HDB loan - has its advantages and disadvantages. For example, with bank loans, there is no income cap, the tenures may be longer and your monthly installments may be lower (depending on the interest rate). For HDB loans, your down payment can be made with your CPF Ordinary Account savings and the maximum loan-to-value (LTV) ratio is 85%. You can also choose to refinance your home loan with a bank loan even after getting a higher LTV with the initial loan. Check out further comparisons here and here.