SINGAPORE: The stress of paying for a house seems to be rising in tandem with home loan interest rates, according to a bank’s financial survey.
But banks and analysts who spoke to CNA said mortgage foreclosures are rare in Singapore, and lenders said they would do their best to support those facing financial difficulties in a challenging economic environment.
“This may indicate that the Total Debt Servicing Ratio (TDSR) computation and other property measures like Additional Buyer’s Stamp Duty (ABSD) and Seller’s Stamp Duty (SSD) may be effective as safeguards to prevent overleveraging in general,” said Ms Christine Sun, senior vice president of research and analytics at OrangeTee and Tie.