Buying a home in Singapore almost always starts with one key question: “Is my income enough to qualify for the home loan I need?”
Whether you are eyeing a 4-room BTO in Tampines, a resale flat near Boon Keng MRT, or a compact condo in Queenstown, your income requirement for a home loan will decide what you can realistically afford and which banks will approve your mortgage.
This guide by Homejourney is designed as the most comprehensive resource on income requirements for home loans in Singapore. It combines official rules from MAS and HDB with real-world insights from the ground, so you can plan safely, avoid surprises, and make confident decisions.
We will explain the minimum salary for mortgage eligibility, how banks treat variable income and self-employed borrowers, and how your income interacts with TDSR, MSR, CPF usage and loan tenures. Along the way, you will see practical examples based on typical Singapore scenarios, such as a couple earning $7,000 staying with parents in Jurong, or a self-employed Grab driver with fluctuating earnings.
Table of Contents
- 1. Why Income Requirements Matter for Home Loans in Singapore
- 2. Key Concepts: TDSR, MSR and Basic Income Rules
- 3. Minimum Income Requirements for HDB and Bank Home Loans
- 4. How Banks Assess Your Income (Fixed, Variable & Self-Employed)
- 5. Income Eligibility for Different Buyer Profiles (Real-Life Scenarios)
- 6. How Much Can You Borrow? Step-by-Step Income-Based Calculations
- 7. Improving Your Income Eligibility & Approval Chances
- 8. Income Requirements for Refinancing and Multiple Properties
- 9. How Homejourney Helps You Navigate Income and Mortgage Approval
- 10. Frequently Asked Questions on Income Requirements for Home Loans
1. Why Income Requirements Matter for Home Loans in Singapore
In Singapore, your income is the foundation of your home financing. It affects:
- The maximum purchase price you can afford
- The loan quantum banks or HDB will approve
- The interest package you qualify for (e.g. some preferential rates need minimum loan sizes)
- Whether you can safely manage monthly instalments without stretching your finances
Because housing is a long-term commitment, Singapore’s regulators and lenders use strict rules to ensure borrowers do not over-leverage. MAS’ Total Debt Servicing Ratio (TDSR) and HDB’s Mortgage Servicing Ratio (MSR)[6]
From a practical standpoint, many Singaporeans only discover their true budget after talking to a banker or agent. At Homejourney, we recommend flipping this around: start with your income and eligibility first, then shortlist properties within your safe budget using our property search tool Property Search . This approach protects you from disappointment and reduces the risk of over-committing.
2. Core Concepts: How Income Rules Shape Your Home Loan
2.1 Total Debt Servicing Ratio (TDSR)
The Total Debt Servicing Ratio (TDSR) is a MAS rule that caps your total monthly loan repayments (housing + other debts) at 60% of your gross monthly income.[6]
Key points about TDSR:
- Applies to all bank home loans (HDB and private properties).
- Includes monthly obligations for car loans, student loans, personal loans, credit card instalments and even some buy-now-pay-later plans.
- For calculation purposes, banks must use a standardised stress-test interest rate of at least 3.5% for residential loans, regardless of the promotional rate you see.[1]
In simple terms, TDSR answers: “Based on your income, how much total debt can you safely handle every month?”
2.2 Mortgage Servicing Ratio (MSR)
The Mortgage Servicing Ratio (MSR) applies to:
- HDB flats bought with HDB loans
- HDB flats and Executive Condominiums (ECs) bought with bank loans (before meeting MOP)
MSR caps your housing instalment at 30% of your gross monthly income.[6] It focuses purely on the mortgage repayment and not your other debts.
When you buy an HDB flat with a bank loan, you must satisfy both MSR and TDSR.[1][6]
2.3 Basic Income Rules You Need to Know
Beyond TDSR and MSR, there are several practical income requirement home loan rules used by banks and HDB:
- Minimum annual income for most bank home loans is typically around $24,000 per borrower, and around $36,000 combined for joint borrowers.[1]
- For HDB loans, there is no minimum income but there is a household income ceiling depending on the flat type and scheme (e.g. $14,000 for most BTO/resale with grants, $16,000 for ECs).[3]
- Banks will require 3–6 months of payslips or CPF contribution history, and IRAS Notice of Assessment (NOA) for self-employed or variable-income borrowers.[1][4]
- Foreigners may face tighter income and documentation requirements.
These rules apply whether you are buying a new BTO in Tengah, a resale flat in Ang Mo Kio, or a small freehold walk-up in Tiong Bahru.
3. Minimum Income Requirements for HDB & Bank Home Loans
3.1 Minimum Salary for Mortgage: Banks vs HDB
Different lenders and schemes have different approaches to minimum salary for mortgage approval. The table below summarises the typical landscape, based on market practice and official guidelines as at 2025–2026.
Exact minimum income varies by bank. For example, OCBC states a minimum loan quantum (e.g. $200,000 for HDB, $300,000 for private) rather than a fixed minimum salary.[7] In practice, your income must be sufficient under TDSR/MSR to support at least this loan size.
3.2 HDB Income Ceilings vs Bank Income Requirements
HDB focuses more on income ceilings than minimum income:
- To buy most subsidised flats (BTO or resale with grants), your gross household income must not exceed $14,000, or higher for some schemes.[3]
- To buy an Executive Condominium (EC), the household income ceiling is $16,000.[3]
Within those ceilings, HDB’s own loan eligibility (HDB Concessionary Loan) then looks at your monthly income and MSR to determine how much you can borrow. Income assessments and grant eligibility rules also depend on your age, household composition, and whether you are a first-timer.
3.3 Income Documents You Must Prepare
Whether you are taking an HDB loan or a bank loan (DBS, OCBC, UOB, HSBC, Standard Chartered, Maybank, CIMB, RHB, Public Bank, Hong Leong Bank, Citibank), common income documents include:[1][4][7]
- Latest 3–6 months’ computerised payslips or CPF contribution history
- Latest IRAS Notice of Assessment (NOA) (especially for self-employed and commission-based borrowers)
- Employment letter or contract stating salary and employment status
- For self-employed: 2 years’ tax returns, business registration documents, profit & loss statements
Homejourney’s Singpass/MyInfo integration allows you to auto-fill your income and CPF data securely when you apply via our bank rates page Bank Rates . This reduces errors and speeds up approval, while maintaining a high standard of data security and user safety.
4. How Banks Assess Your Income (Fixed, Variable & Self-Employed)
Not all income is treated equally. When calculating your income eligibility for a home loan, banks apply haircuts and conservative assumptions, especially for variable or self-employed income.[2]
4.1 Fixed Salary Employees
If you are a full-time employee with a stable monthly salary, banks typically use your gross monthly income as stated in your payslips or IR8A, with no haircut.
Example: If you work in Raffles Place and earn a fixed salary of $5,000 per month, banks generally treat your usable income for TDSR as $5,000, subject to verification and credit checks.
4.2 Variable Income: Commissions, Bonuses, and Allowances
If a significant part of your income comes from commissions, bonuses, overtime, or variable allowances, banks classify this as variable income. To be prudent, they typically apply a 30% haircut or use a conservative average over the past 12–24 months.[2]
For example, if you are a property agent or sales executive with average monthly commissions of $6,000, banks may only recognise $4,200 (70% of $6,000) as usable income for TDSR.[2]
This haircut can dramatically affect your borrowing power, which is why understanding variable income mortgage treatment is crucial before committing to a property price.
4.3 Self-Employed Mortgage Eligibility
If you are self-employed (e.g. running a small F&B stall in Toa Payoh, freelance designer working from home in Sengkang, or private-hire driver based in Woodlands), banks typically assess you differently:[2][4]
- They often require at least 2 years of self-employment history.
- They use your average income based on the latest 2 years’ NOA.
- A 30% haircut on this average income is common, to account for fluctuations.[2]
Example: If your NOA shows an average annual income of $120,000 over the last 2 years, your average monthly income is $10,000. With a 30% haircut, banks may only consider $7,000 per month for TDSR purposes.
Because of these stricter rules, many self-employed Singaporeans find their income eligibility for a home loan is lower than expected. It is especially important for this group to use tools like Homejourney’s mortgage calculator Mortgage Rates before committing to an Option to Purchase.
4.4 Part-Time Work, Second Jobs, and Rental Income
For part-time work and side gigs (e.g. GrabFood delivery, weekend tuition), banks may:
- Accept the income if it is consistent and well-documented for at least 6–12 months.
- Apply a haircut similar to variable income.
Rental income from existing properties can be included in TDSR calculations, but banks typically apply haircuts and require tenancy agreements. Policies differ between banks, so it is wise to speak with a Homejourney mortgage specialist before counting on rental income to support your next purchase.
5. Income Eligibility for Different Buyer Profiles (Real-Life Scenarios)
To make these rules more concrete, let’s walk through common Singaporean scenarios. These are simplified examples; exact outcomes will depend on your credit history, loan package, age, and specific bank policies.
5.1 First-Time HDB Buyer: Young Couple
Profile:
