SINGAPORE: Prior to the latest cooling measures introduced in July 2018, the last time similar regulations were rolled out to moderate the residential private property market was in 2013 with the introduction of the Total Debt Servicing Ratio (TDSR).
The TDSR sought to encourage financial prudence among borrowers and strengthen credit underwriting practices by financial institutions, by limiting monthly mortgage payments to no more than 60 per cent of one’s income, and consequently curtail the amount one can borrow to purchase a property.