Borrowing Power Calculator

To get the most accurate estimate from our borrowing capacity calculator, have these details at hand:

• Income: Your gross annual income, plus additional income such as rental income, bonuses, or government payments.
• Expenses: Your regular monthly living costs, including groceries, utilities, transport, and subscriptions.
• Existing debts: Outstanding loans, including personal loans, car loans, HECS/HELP debt, and credit card limits (note: lenders assess limits, not just balances).
• Dependants: The number of people financially dependent on you.
• Deposit: The amount you've saved toward your purchase.
  

The more accurate your figures, the more reliable your estimate. If you'd like a full assessment based on your actual numbers, our specialists are happy to walk you through it at no cost.

Each additional dependant reduces your estimated borrowing capacity because lenders treat them as an ongoing financial commitment. The exact impact differs between lenders, with some applying more generous benchmarks than others.

A Mortgages Plus broker can identify which lenders are likely to offer the strongest outcome for your family situation, whether you're buying a home to live in or building a property investment portfolio.

Making small adjustments to your financial position before applying can have a significant impact. Here are some of the most effective strategies:

1. Pay Down Existing Debt: Reducing or clearing personal and car loans lowers your assessed liabilities and can lift your borrowing capacity.
2. Reduce Your Credit Card Limits: Lenders assess your total limit, not just what you owe.
3. Save a Larger Deposit: A bigger deposit reduces your LVR, which can unlock better rates and higher borrowing limits.
4. Trim Your Living Expenses: Reducing discretionary spending before you apply can improve your assessed net surplus.
5. Apply With a Co-Borrower: Combining incomes with a partner or spouse can substantially increase your borrowing capacity.
6. Compare the Right Lenders: Assessment rates and benchmarks vary between lenders. One lender's decline can be another's approval.
   

Not sure where to start? Speak with a Mortgages Plus broker to review your situation at no obligation. Already in an existing loan? Explore home loan refinancing.

Our borrowing power calculator is built to Australian lending standards and provides a solid estimate based on the figures you enter. That said, your actual borrowing capacity for a home loan can vary depending on a few factors:

• The assessment criteria and policies of each lender
• Whether you're assessed as an individual or joint applicant
• The type of income you receive (PAYG, self-employed, rental, etc.)
• Changes to interest rates over time
  

We recommend using the borrowing power calculator as a starting point, then speaking with one of our specialists for figures tailored to your mortgage situation.

A borrowing power estimate gives you a general indication of how much you could borrow based on the details you enter, which is useful for guiding your property search.

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‍Pre-approval is a lender's formal assessment of your financial documents, providing a more definitive limit and signalling to agents that you're a serious buyer.

Whether you're a first home buyer or looking to upsize, our specialists can help you go from estimate to approval.