It then comes as no surprise that the government has implemented measures to ensure that Singaporean households do not over-borrow, and also cool the HDB resale market, the report added.
Singapore GDP had been increasing steadily and exponentially these few years. -- GOOGLE PHOTO
For instance, the Monetary Authority of Singapore (MAS) imposed a Total Debt Servicing Ratio (TDSR) framework for all mortgages granted by financial institutions to home buyers.
"MAS is mindful of the risks when Singapore interest rates begin
"The Housing & Development Board (HDB) has introduced more measures to cool the resale market for HDB flats. The mortgage servicing ratio (MSR) has been reduced to 30 percent of gross monthly income, down from 35 percent."
Newly-minted permanent residents (PRs) are also now required to wait three years before they are allowed to purchase a resale HDB flat. Previously, they were permitted to buy such homes upon receiving PR status.