How much can I borrow for a property in Singapore?

The amount you can borrow for a property in Singapore depends on three regulatory limits set by the Monetary Authority of Singapore (MAS): the Loan-to-Value (LTV) ratio, the Total Debt Servicing Ratio (TDSR), and the Mortgage Servicing Ratio (MSR).

The LTV ratio sets the maximum percentage of the property's value you can borrow. For your first housing loan, this is 75%, meaning you fund the remaining 25% through cash and CPF. If you take a second bank loan, the LTV drops to 45%, and a third or subsequent loan drops further to 35%. These limits apply to the lower of the purchase price or the property's market valuation.

The TDSR caps your total monthly debt repayments, including the mortgage, car loans, personal loans, and credit card minimums, at 55% of your gross monthly income. Banks don't use your actual loan interest rate for this calculation; they apply a stress-test rate of at least 4% to ensure you can still afford repayments if rates rise.

For HDB flats and new Executive Condominiums, the MSR adds a further limit: your monthly mortgage repayment cannot exceed 30% of your gross monthly income.

To illustrate, a household earning S$12,000 per month with no existing debts could borrow up to approximately S$1.25 million for a private property over 25 years under the TDSR limit. For an HDB flat or new EC, the MSR would reduce this to approximately S$680,000 over the same tenure. The actual amount may be lower depending on the property's valuation and LTV limit.

Your age also matters: older borrowers face shorter maximum loan tenures, which increases monthly repayments and tightens the TDSR calculation.

Using Cashew's mortgage comparison tools, you can get a realistic estimate of your borrowing power across multiple banks based on your income, existing debts, age, and the property you have in mind.