MAS kpkb over Moody Report last week. Today, press panic button

[Confuseous]

Wait a minute, this has to be deja vu. Barely a week ago, when Moody's Investors Service downgraded the outlook on Singapore's banking system from "stable" to "negative", the Monetary Authority of Singapore (MAS) was quick to come up with an assurance that everything is honky dory. Don't worry about the interest rate hikes, go on buying those properties.

Now (yesterday), MAS is saying the rising household debt in the city state is worrying, and it is “important to act now to limit build-up of leverage”. MAS managing director Ravi Menon reported that 5 to 10 per cent “have probably over-leveraged on their property purchases” — one couple was reportedly granted a new home loan of $400,000 based on a loan repayment schedule amounting to 90 percent of their $6,000 total monthly income. If mortgage rates were to rise by 3 percentage points, MAS warned that the proportion of borrowers at risk could reach 10 to 15 per cent. Which was basically the reason that prompted Moody to revise it's assessment ("Hike in rates and fall in property prices may pose risks to financial stability").

- http://singaporedesk.blogspot.sg/2013/07/permission-to-panic-sir.html

 

[Leongsam]

Only 5 to 10% are over geared so it is not a big issue. 90% to 95% are fine. MAS is just being cautious. It is thanks to the prudence of those who control the financial system in Singapore that there is nothing to worry about.

 

[watchman8]

S&P and Fitch are probably about to issue similar warnings and downgrades. That's why MAS LAN LAN has to change tune.

 

[watchman8]

Only 5 to 10% are over geared so it is not a big issue. 90% to 95% are fine. MAS is just being cautious. It is thanks to the prudence of those who control the financial system in Singapore that there is nothing to worry about.

10% over geared may be calculated baed on loans drawdown, not actual committed mortgage quantum. Also this figure yet to include car loans, Reno loans, credit cards etc.

income can change quickly, especially when a big chunk is from rental income. If cannot rent and lose job, then the figure can get ugly very quickly.

 

[Cerebral]

The people that will die from the new policies are the sandwich class with household income below 5k

 

[PrinceCharming]

@ Confuseous

This is China-styled "saving face" strategy. In 2008, when countries in Europe and USA called China's attention to melamine in pet foods, China's first response was to deny everything.

It's very malu to have foreigners point out Pinky's shortcomings and failures.

 

[escher]

10% over geared may be calculated baed on loans drawdown, not actual committed mortgage quantum. Also this figure yet to include car loans, Reno loans, credit cards etc.

income can change quickly, especially when a big chunk is from rental income. If cannot rent and lose job, then the figure can get ugly very quickly.

Then Stinkapore will have to revert to earlier times when Leongsam had to share a STEEL shit bucket with 50 other families

 

[Romagnum]

Don't worry. Just cheong!

No money, cheong small!

Lots of money, cheong big!

 

[tonychat]

smart people will not get a home in sinkieland..hehehe.

you pay mortgage to the roof and yet the flat is not owned by you...what a sinkie loser

 

[laksaboy]

Don't worry. Just cheong!

No money, cheong small!

Lots of money, cheong big!

Lose all your money, cheong into a wall.

 

[eErotica69]

smart people will not get a home in sinkieland..hehehe.

you pay mortgage to the roof and yet the flat is not owned by you...what a sinkie loser

Then own by who? Your 47% majority Government? Fuck back to matland and build your own house in your ulu kampong!

 

[Lordshiva]

Lose all your money, cheong into a wall.

Or like some sinkies ...an average of 3 every 2 days..... Cheong off the parapet of any hdb block above the 15th floor.......

 

[winnipegjets]

Only 5 to 10% are over geared so it is not a big issue. 90% to 95% are fine. MAS is just being cautious. It is thanks to the prudence of those who control the financial system in Singapore that there is nothing to worry about.

Your faith in sinkapore is as strong as your faith in Sun Ho.

 

[Lordshiva]

Your faith in sinkapore is as strong as your faith in Sun Ho.

Sam is clever....


He waiting for kong hee to ki chiah into prison at the changi chalet then he can go and potomg jalan and lood that lonely sun ho.....with all her millions and no one there to help her spend lor.......


Very clever indeed.....

 

[Romagnum]

Singaporeans borrow like crazy until one day interest rates shoot up they will cry father cry mother for bailout

Government is too soft to pander to those who cannot control themselves

We need another 2003 to show who's boss

 

[Tuayapeh]

Actually i think the fucking chenghoo quite happy to see sinkies get throughly stuck with their debts here..... That way these fucking sheep wont grow a pair pf balls and start letting their ideas get the better of them like seeking for a change of government when they teetering n the edge of an imminent bankruptcy..

Only problem is not the ner bankruptcy but the actual loss of job and the domino effect of aome of these fuckers who clearly cannot maintain their properties in the situation of fallins rentals and property prices....tailspn damm fast ...over night can become bankrupt .... But like Romagnum... Cant wai to see some fuckin justice unleashed on all these overleveraged greedy fucks.....