Households earning less than S$7k most burdened by mortgage rate hikes: MAS

But its stress tests find most households can still service their housing loans in new rate-income scenario

Published Fri, Nov 27, 2015 · 09:50 PM

Singapore

WHILE households have exercised financial prudence as growth in wealth slowed, those with private housing loans and incomes of less than S$7,000 are the most exposed to higher financial burden when mortgage rates increase.

The Monetary Authority of Singapore (MAS) also found that households that manage several loans for their investment properties might face difficulties, too.

In its latest Financial Stability Review, an annual snapshot of Singapore's financial health that was released on Friday, MAS detailed the exposure to financial risk that households faced.

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