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Singapore not at risk of credit bubble - ST Yamine Yahya
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MAS has already taken steps to cool the property market and prevent households from taking on too much debt.

The average LTV of outstanding housing loan stands at healthy 47% as of 3rd Q 2013, implying a large buffer in asset values.

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LTV has 2 parameters, Loan and valuation. MAS is tightening loan restriction to safeguard banks for NPL (TBTF). Many people only think debt is low and never think about valuation. When interest rate rise causes valuation to drop. Your LTV eventually goes up as well.

What I see is a big risk for home owners, but a big margin of safety for banks.

The gov should already know the high leverage in real estate. I think the gradual increase in population means even if there is a fall in prices, they w be offset by the demand side. Those who can hold on and ride thru should reap the rewards. Analysts are expecting a drop of 10% in prices, and its a peanut compared to the rise in last 3 yrs.