DSR Calculator Malaysia

DSR stands for debt service ratio. It is the share of your net monthly income that goes to loan repayments. Banks use it to judge how much more you can afford to repay, so it often decides how large a home loan you can get.

Add up all your monthly commitments, including the new home loan. Divide the total by your net monthly income, then multiply by 100. Commitments of RM4,985 on a net income of RM10,000 give a DSR of about 50%.

Many banks accept about 60–70%, and each bank sets its own limit. Higher earners often get a higher limit, because more of their income is left after repayments. A lower limit can apply to a lower income.

Home loans, car loans, personal loans, PTPTN, credit cards and other instalments in your credit report all count. Living costs such as food, utilities and rent paid to a landlord usually do not.

Many banks count about 5% of your card balance as a monthly commitment, even if you pay in full. Clearing the balance before you apply keeps this figure low.

Most banks work from net income, after EPF, SOCSO and tax. Each bank treats bonuses, variable pay and rental income in its own way, and it may count only part of them. Use a figure you can prove with payslips and bank statements.

Clear small loans first, because each one you finish frees its whole instalment. A larger down payment or a longer tenure lowers the new instalment. A joint loan adds your partner’s income, along with their commitments.

Not always. The bank also checks your repayment record in CCRIS and CTOS, your job and the property itself. A clean record gives you the strongest case, so check your report before you book.