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Joel Goh

MAS

MSR: the 30% mortgage servicing ratio cap

Answers:What is the MSR, and when does it apply instead of TDSR?

Checked against the source 2026-08-01

The rule

The Mortgage Servicing Ratio caps the property loan instalment at 30% of gross monthly income.

Issued by
MAS
Applies to
HDB flats and Executive Condominiums purchased directly from the developer. Applies in addition to TDSR; the tighter of the two governs.

Where this goes wrong

Assuming MSR applies to private property. It does not — but where it does apply it is almost always the binding constraint, not TDSR.

Worked through

Combined income S$18,000 a month, S$1,500 of existing monthly debt, a $1,800,000 purchase over 25 years, on a property where MSR applies.

MSR: the 30% mortgage servicing ratio cap — worked example. Combined income S$18,000 a month, S$1,500 of existing monthly debt, a $1,800,000 purchase over 25 years, on a property where MSR applies.
Instalment at the stressed 4% rate$5,400
TDSR usedCounts the mortgage plus every other monthly obligation.38.3% of the 55% cap
MSR usedCounts the property loan only.30.0% of the 30% cap
Highest price that clears every gate$1,360,000

MSR (30%) — the HDB/EC servicing cap, not your total debt, is the ceiling.

Computed with the same functions as the calculators on this site. An illustration, not tax advice — confirm your own position with MAS or your conveyancing lawyer before you commit to anything.

Run this on your own numbers

Rules change, and a figure without a date is worth nothing. Ask whether this is still current before you rely on it for a decision.