TDSR and MSR: Singapore's Borrowing Limits

Glossary Bijgewerkt
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Quick Definition
Total Debt Servicing Ratio (TDSR) is a framework that limits total monthly debt repayments (including the new mortgage) to 55% of gross monthly income.

What Does It Mean?

Total Debt Servicing Ratio (TDSR)

Total Debt Servicing Ratio (TDSR) is a framework that limits total monthly debt repayments (including the new mortgage) to 55% of gross monthly income. This prevents over-leveraging and applies to all property loans in Singapore.

Mortgage Servicing Ratio (MSR)

Mortgage Servicing Ratio (MSR) is a stricter limit applied only to HDB flats and Executive Condominiums. MSR caps the monthly mortgage payment at 30% of gross monthly income, separate from the TDSR limit.

How Is It Calculated?

Total Debt Servicing Ratio (TDSR)

Maximum Monthly Debt = Gross Monthly Income × 55%
Formula

With $12,000 gross income and zero existing debt: max mortgage payment = $6,600/month.

Mortgage Servicing Ratio (MSR)

Maximum Mortgage Payment = Gross Monthly Income × 30%
Formula

With $12,000 gross income: max payment = $3,600/month (applies to HDB and EC only).

Worked Example

With a gross monthly income of $12,000 and no existing debt:

$6,600/mo
TDSR Max (55%)
$3,600/mo
MSR Max (30%)

For private property, your maximum monthly mortgage payment is $6,600. For HDB or EC, the stricter MSR limit of $3,600/month applies.

Why It Matters

TDSR determines the maximum property you can afford. Many buyers discover too late that their existing car loan or credit card debt significantly reduces their borrowing capacity.

Where to Find This on ShiokNest

Look for the tooltip icon next to this metric on ShiokNest for a quick reminder of its definition.

Official Sources

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Frequently Asked Questions

What debts count towards TDSR?
All debt obligations count: mortgage, car loans, personal loans, credit card minimum payments, student loans, and any other recurring debt repayments.
Can I exceed the 55% TDSR limit?
No. The 55% TDSR limit is a hard cap set by MAS. Banks cannot approve loans that would push total debt servicing above this threshold.

This glossary article is auto-generated from ShiokNest's financial data and updated periodically. Rates and figures are current as of March 2026. Check official sources for the latest.