Published 3 min read HDB

The Mortgage Servicing Ratio (MSR) is the portion of a borrower’s gross monthly income that goes towards repaying all property loans, including the loan being applied for. MAS caps it at 30% for HDB flats and Executive Condominiums.

Key takeaways

  • MSR is capped at 30% of a borrower’s gross monthly income.
  • It applies only to housing loans for an HDB flat, or for an Executive Condominium whose Minimum Occupation Period has not expired.
  • The calculation counts all of the borrower’s property loans, plus at least 20% of the monthly debt obligation on any property loan the borrower guarantees.
  • Instalments are computed at a medium-term interest rate — the higher of a 4% floor and the thereafter rate — for residential property.
  • An HDB housing loan applies the same 30% limit to monthly instalments, and the Total Debt Servicing Ratio does not apply to it.

How MSR is calculated

The ratio is the total monthly repayment instalments for all property loans, divided by gross monthly income, expressed as a percentage, and it has to come to 30% or less. Where the borrower is a guarantor on another property loan, at least 20% of that monthly debt obligation is counted as well. The instalment on the loan being applied for is worked out at the medium-term interest rate — the higher of a 4% floor and the thereafter rate for residential property — rather than at any introductory rate.

Where MSR applies

MSR is a public housing rule. It applies to a housing loan for the purchase of an HDB flat, and to a loan for an Executive Condominium bought from a developer where the Minimum Occupation Period has not expired. It does not apply to private property, and it does not apply to a resale EC that has passed its MOP.

MSR and TDSR together

A loan from a financial institution for an HDB flat or an EC within its MOP has to satisfy both limits: the 30% MSR and the 55% Total Debt Servicing Ratio. MSR is the tighter of the two thresholds, and it counts only property loans rather than all debt. An HDB housing loan applies the 30% limit but is not subject to the TDSR.

Key MSR figures

ItemFigure
MSR cap30% of gross monthly income
Applies toHDB flats and ECs within the MOP
Guaranteed property loans countedat least 20% of the monthly obligation
Medium-term interest rate floor — residential property4% p.a.
TDSR that applies alongside MSR55% of gross monthly income

Figures as at 2026. Source: MAS.

Worked example

On a gross monthly income of SGD 8,000, the MSR limits total monthly property loan repayments to 30%, or SGD 2,400. Instalments on any other property loan count towards that SGD 2,400, and the instalment on the new loan is computed at the higher of the 4% interest rate floor and the loan’s thereafter rate.

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Related calculator

Test an HDB flat purchase against the 30% MSR cap and the applicable loan limits.

HDB Affordability Calculator →
Sources: MAS HDB

This page is provided for educational and informational purposes only. It does not constitute financial advice. All figures and worked examples are estimates for illustrative purposes, are subject to change, and do not reflect any individual’s circumstances. Always refer to MAS and HDB and seek independent professional advice before making any financial decisions.