Property
What is Mortgage Servicing Ratio (MSR)?
A borrowing limit that applies only to HDB flats and Executive Condominiums: your monthly home-loan repayment cannot exceed 30% of your gross monthly income. It applies on top of the wider TDSR.
How it works
For HDB flats and Executive Condominiums bought from a developer, your monthly home-loan repayment alone cannot exceed 30% of your gross monthly income — also stress-tested at the 4% medium-term rate floor. MSR applies on top of, and is tighter than, the wider 55% TDSR.
Why it matters
For most HDB and new-EC buyers, the 30% MSR — not the 55% TDSR — is the binding limit on loan size, because it looks only at your housing repayment against income. It does not apply to resale private property, or to ECs once they’ve passed their Minimum Occupation Period and entered the resale market.