MAS warns property buyers against weak rental market and interest rate hikes

SINGAPORE (Nov 30): Property buyers should be aware that the subdued rental market and further interest rate hikes could weigh on their ability to service their debts, says the Monetary Authority of Singapore (MAS) in its latest Financial Stability Review for November.

In addition, households should stay financially prudent and assess their ability to service debt in the longer term even as household debt growth remains in line with income growth over the past year, says MAS, Singapore’s de facto central bank.

The financial regulator says recent developments in the property market pose potential risks to stability and market players should take a medium-term view of supply-demand dynamics and act with caution.

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