Financing determines your realistic budget for Dunearn Green long before the price list appears, so it pays to understand the three rules that size every Singapore housing loan: the loan-to-value (LTV) limit, the Total Debt Servicing Ratio (TDSR), and the interest-rate stress test banks must apply.
| Outstanding Housing Loans | Max LTV (Bank Loan) | Minimum Cash Downpayment |
|---|---|---|
| None (first loan) | 75% | 5% (balance 20% cash and/or CPF) |
| One existing loan | 45% | 25% |
| Two or more existing loans | 35% | 25% |
Lower LTV caps apply if the loan tenure exceeds 30 years or extends past age 65. Rates per MAS rules current as of July 2026.
Under the Total Debt Servicing Ratio framework, all your monthly debt obligations — the new mortgage, car loans, personal loans, credit lines — cannot exceed 55% of gross monthly income. Banks must assess the mortgage at a stress-test floor of 4% per annum for residential loans, regardless of the actual package rate, so approved loan quantums are more conservative than the headline rate suggests.
Rough sizing: at the 4% stress floor over 30 years, each $1 million borrowed costs about $4,774 a month in the TDSR calculation. A household earning $20,000 a month with no other debts has a TDSR ceiling of $11,000 — supporting a loan in the region of $2.3 million. Variable income (bonuses, commissions, rental) is typically haircut by 30% in the assessment.
First, obtain In-Principle Approval (IPA) from one or two banks before preview — booking day moves fast and an IPA locks your quantum. Second, sequence any existing property sale: discharging a loan before exercising restores the 75% LTV tier. Third, put the loan next to the progressive payment schedule — under PPS, disbursement is staged, so early instalments are modest. Pair with the stamp duty guide for the full cost stack, or ask the team to connect you with bankers for an IPA.