Home loans

TDSR and MSR in Singapore

Banks may lend only as much as you can repay with 55% of your gross monthly income, after your other debts: the Total Debt Servicing Ratio (TDSR). For an HDB flat, or an EC before its minimum occupation period ends, the Mortgage Servicing Ratio (MSR) also caps all your home loan instalments at 30% of income. Both are tested at a 4% interest rate for bank loans and 3% for HDB loans, not the rate you will pay.

Checked against official sources on 21 October 2026

How much can I borrow? TDSR and MSR calculator

An estimate under the MAS and HDB rules. The lender assesses your income and debts when you apply.

The two limits

  • TDSR: all your monthly debt repayments, including the new home loan, must not exceed 55% of your gross monthly income. It applies to every property loan from a bank or finance company.
  • MSR: all your home loan repayments, including the new one, must not exceed 30% of your gross monthly income. It applies to loans for an HDB flat and for an EC whose minimum occupation period has not ended.
  • An HDB housing loan follows MSR: HDB limits monthly instalments to 30% of income and also looks at your other loans and commitments.
  • Where both apply, the lower one sets your limit. For most HDB buyers that is MSR.

The stress-test interest rate

The limits are worked out at a medium-term rate, not your package rate, so that a loan still fits if rates rise.

  • Bank loans for homes: the higher of 4% a year and the highest rate the bank charges over the loan.
  • HDB housing loans: the higher of 3% a year and the HDB concessionary rate.
  • The stress rate applies only to the new loan. Existing loans count at their actual instalments.

What counts as income and debt

  • Gross monthly income, without the employer’s CPF contribution.
  • Banks count at most 70% of variable income such as bonuses, commissions and allowances, averaged over the past 12 months, and at most 70% of rental income under a stamped tenancy with at least 6 months left.
  • Banks can also count financial assets: cash and deposits pledged for 4 years count in full, unpledged ones at 30%, spread over 48 months.
  • Debts that count: home loans, car loans, student loans, renovation loans, credit card and other loans, including revolving credit.

Worked examples

Each assumes a gross income of $8,000 a month and a 30-year bank loan, or 25 years for an HDB loan.

  • Condo, no other debts: TDSR leaves $4,400 a month, which repays about $921,600 at 4%.
  • Condo with an $800 car loan: $3,600 a month is left, so about $754,000.
  • HDB flat with a bank loan: MSR caps the instalment at $2,400, so about $502,700 at 4%.
  • HDB flat with an HDB loan: $2,400 a month over 25 years at 3% repays about $506,100.
  • Condo, $6,000 salary plus $2,000 a month of bonus: banks count $7,400, so $4,070 a month and about $852,500.

Then check the loan-to-value limit

Your income sets one ceiling and the property sets another. The loan-to-value limit caps the loan at a share of the price or valuation, such as 75% on a first home loan, and you can borrow only the lower of the two.

Compare what banks would lend you

The limits set the most you can borrow; the rate decides what it costs. Compare home loan packages from Singapore banks on Homejourney.

Compare home loan rates

Questions

What is the TDSR limit in Singapore?

55% of gross monthly income for all debt repayments, including the new property loan, for loans where the option to purchase was granted on or after 16 December 2021.

Does MSR apply to condos?

No. MSR applies to loans for HDB flats, and for executive condominiums whose minimum occupation period has not ended. Condos and landed homes are limited by TDSR only.

What interest rate is used for TDSR?

For bank home loans, the higher of 4% a year and the highest rate the bank charges over the loan. HDB uses the higher of 3% and its concessionary rate to work out an HDB loan.

How much can I borrow on an $8,000 monthly income?

With no other debts, about $921,600 for a condo over 30 years under TDSR, or about $502,700 for an HDB flat under MSR. The loan-to-value limit may cap it lower.

Do car loans count towards MSR?

No. MSR counts only home loan repayments. Car loans, credit cards and other debts count towards TDSR.

Sources

Rules and fees change. Check the linked official pages before you commit, and ask a lawyer about your own sale or purchase.

Related guides

Loan-to-Value (LTV) limits in Singapore

LTV limits for Singapore home loans from MAS and HDB: 75% on a first bank loan, 45% on a second, 35% on a third, 75% on an HDB loan, with the minimum cash down payment and a calculator.

How much cash you need to buy an HDB resale flat

The cash and CPF needed for an HDB resale flat: the 25% down payment, the $5,000 option deposit, cash over valuation, stamp duty and HDB fees, with a worked example.

Buyer's Stamp Duty in Singapore

Work out Buyer's Stamp Duty on a Singapore home: the 1% to 6% residential rates from IRAS, a calculator with each band, worked examples and when to pay.