The SOR (Swap Offer Rate), is an FX-implied rate reflecting the projected interest rate it will cost once the same amount of money is borrowed in US dollars. It is hence very dependent on what’s happening in the US economy.
Currently, only two banks in Singapore offer the SOR home loan package.
The SOR is derived using the following formula:
USD/SGD Forward Rate = USD/SGD Spot Rate +/- SWAP Pts.
Source: moneysmart.sg