LAUNCHING 23 JAN 2021!
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Parc Central Residences

Central Park Living in the East
LAUNCHING Q1 2021
TOP Est. Q3 2023
Updated as at 
25 January 2021

Developer Hotline

+65 6100-8108

Parc Central Residences Housing Loan Information

Before purchasing a unit at Parc Central Residences, do take some time to review the loan information below:

Mortgage Servicing Ratio (MSR)

 
What is the Mortgage Servicing Ratio?
  • The Mortgage Servicing Ratio is a measure implemented by the Monetary Authority of Singapore, and it refers to the portion of a borrower’s gross monthly income that goes towards repaying all property loans, including the loan being applied for.
  • MSR is capped at 30% of a borrower’s gross monthly income
  • It applies only to housing loans for the purchase of an HDB flat or an executive condominium bought directly from a developer.
Calculating MSR 
  • When you take a loan from a Financial Institution, these will be taken into consideration:
    • All the borrower’s property loans.
    • At least 20% of the monthly debt obligation for any property loan where the borrower is a guarantor.
  • A borrower’s MSR is calculated using the following formula:
    • (Monthly repayment instalments for all property loans / Gross monthly Income) x 100% ≤ 30%

 

 

Total Debt Servicing Ratio (TDSR)

What is the Total Debt Servicing Ratio?

  • The Total Debt Servicing Ratio is a maximum threshold set by MAS. However, FIs may grant property loans to borrowers whose TDSR exceeds the threshold on an exceptional basis, subject to enhanced credit evaluation.
  • The TDSR threshold for property loans is set at a maximum of 60% of the borrower’s monthly income.
  • It applies to housing loans for the purchase of private properties and executive condominiums
 

Calculating TDSR 

  • Under the TSDR guidelines, your monthly monthly debt obligations and gross monthly income will be taken into account
  • A borrower’s TDSR is calculated using the following formula:
    • (Borrower’s total monthly debt obligations / Borrower’s gross monthly income) x 100%
 

Monthly Debt Obligations

Monthly debt includes all outstanding debt obligations:

  • Property-related loans, including the loan being applied for.
  • Car loans.
  • Student loans.
  • Renovation loans.
  • Credit card loans.
  • Any other secured or unsecured loans, including revolving loans.

 

For more details, please refer to the MAS website here: Total Debt Servicing Ratio for Property Loans

 

 

How Does MSR And TDSR Apply for ECs?

  • For the purchase of an Executive Condominium, Financial Institutions will calculate both the MSR and TDSR for the borrower 
  • The lower loan amount between MSR and TDSR will be used as the basis for disbursing the loan 
  • Although the percentage for TDSR is higher at 60% as compared with MSR at 30%, for borrowers with existing debt obligations, the amount that can be allocated to a property loan under TDSR can actually be lower than MSR. 
  • For assistance on working out your loan eligibility, please feel free to contact us

 

How Much Home Loan Am I Eligible For?

  • The advantage of purchasing an Executive Condominium is that you can still obtain up to a 75% LTV (Loan to Value) Ratio for your bank loan, even if you are currently still servicing your HDB home loan
  • Please note that the amount of loan that you are eligible for is still subject to MSR and TDSR guidelines

Parc Central Residences Financing Information: Loan To Value (LTV)

 First LoanSecond LoanThird Loan
Loan TenureUp to 30 years31-35 yearsUp to 30 years31-35 yearsUp to 30 years31-35 years
AgeIncome Weighted Average Age
Up to 65Up to 70-75Up to 70-75Up to 65Up to 70-75Up to 70-75Up to 65Up to 70-75Up to 70-75
Maximum LTV Limit75%55%55%45%25%25%35%15%15%
If the borrower is a shell company or not an individual, the LTV limit is 15%
Minimum Cash Downpayment5%10%10%25%25%25%25%25%25%
Guarantors / Co-borrowersAll co-borrowers must be mortgagors.
Guarantors must be co-borrowers if the latter did not pass the TDSR criteria.
Mortgage Servicing Ratio (MSR) (for ECs)30%
Total Debt Servicing Ratio (TDSR)60%
Stress Test Interest Rate3.5%

The loan-to-value (LTV) limit determines the maximum amount an individual can borrow from a financial institution (FI) for a housing loan.

LTV refers to the loan amount as a percentage of the property’s value. For example, if an individual borrows $750,000 to purchase a property valued at $1,000,000, the LTV is 75%.

It was announced on 5 July 2018 that LTV limits will be tightened as part of a package of measures to cool the property market and keep price increases in line with economic fundamentals.

LTV Limits for Shell Companies

If the borrower is a shell company or not an individual, the LTV limit is 15%.
For more information, please refer to the MAS website at Loan Tenure and Loan-To-Value Limits
Parc Central Residences EC
Developer: Hoi Hup Sunway Tampines J.V.
Location: Tampines Ave 10
Lot Number: MK28-07545K
District: 18
TOP: Est. Q3 2023
Tenure: 99 Years
Contact Us
Information updated as at
Monday, 25 January 2021
+65 6100-8108
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