Re-pricing of loan implications

[lifeline]

Why local bank stocks? I thought they face difficulty in securing local residential borrowing loans with the coling measures this moment?

cos all those hit by tdsr will have to continue with the higher thereafter rates. banks esp the one with largest number of mortgagers become the incidental winners.

[Violinbite]

cos all those hit by tdsr will have to continue with the higher thereafter rates. banks esp the one with largest number of mortgagers become the incidental winners.

Thats very true.. it means those affected by affected by TDSR will have essentially 2 or 3 years to lower their debt level right? But I understand from another brother posted on TDSR guideline that, if one had multi-properties but essentially only have one property loan to service and all the rest paid up, will not be affected by TDSR, hope this is correct.

[lifeline]

Thats very true.. it means those affected by affected by TDSR will have essentially 2 or 3 years to lower their debt level right? But I understand from another brother posted on TDSR guideline that, if one had multi-properties but essentially only have one property loan to service and all the rest paid up, will not be affected by TDSR, hope this is correct.

ya. tdsr affects only those with outstanding loans only.

[princess_morbucks]

Thats very true.. it means those affected by affected by TDSR will have essentially 2 or 3 years to lower their debt level right? But I understand from another brother posted on TDSR guideline that, if one had multi-properties but essentially only have one property loan to service and all the rest paid up, will not be affected by TDSR, hope this is correct.

"The new policy states that property loans extended to borrowers cannot exceed a TDSR of 60%."

So for eg you earn $10k per month (excluding commission and non fixed bonus) and do not have any other loan, then you can pay up to $6k per month for your housing loan.

However if you have outstanding study loan, car loan , renovation loan, etc, all these will be taken into account in calculating your TDSR, ie you may not be allowed to service the loan at $6k per month.

In addition for HDB and EC, the MSR cannot be more than 30% of your monthly salary.

[Violinbite]

"The new policy states that property loans extended to borrowers cannot exceed a TDSR of 60%."

So for eg you earn $10k per month (excluding commission and non fixed bonus) and do not have any other loan, then you can pay up to $6k per month for your housing loan.

However if you have outstanding study loan, car loan , renovation loan, etc, all these will be taken into account in calculating your TDSR, ie you may not be allowed to service the loan at $6k per month.

In addition for HDB and EC, the MSR cannot be more than 30% of your monthly salary.

Thanks for the input.
Currently I m in this situation and wondering what is the best i can make from the current policies:-
Have a HDB currently staying, mortgage will be over in 3Q2016
Bought a 2bed PC in 2010, recently managed a re-finance before TDSR kick in under SOR 2-year package. - this for rental
Bought also a 3bed PC awaiting TOP in late 2016 or early 2017 - this one w intend to use it as owner-occupied and rent out HDB (fully paid up by then for the HDB)

At this point, certainly I am still under the radar of TDSR, but does it mean, if my HDB and 2bed PC is fully paid up, then the 3bed PC will not be under TDSR as this one will be owner-occupied once TOP? Not sure if I have put it up correctly?

Thanks for any advice.