Calculators
How much can I borrow?
Enter your income, expenses and debts to estimate the loan size a lender may consider. We apply the same 3% buffer and household expense floor lenders use, so you're not surprised later.
Your household
Income
Gross (before tax) annual figures.
Rent, bonuses, commission. We count 80% of it, as most lenders do.
Expenses & debts
Benchmark for your household is about $2,450 a month. Lenders use the higher of your figure and theirs.
Car loans, personal loans, HECS repayments, other mortgages.
Total limits, not balances — lenders assume you could max them out.
Loan settings
Lenders must test you above the actual rate — APRA’s floor is 3 percentage points. You’re assessed at 9.00%.
Estimated borrowing power
$459,000
Based on a 30-year loan assessed at 9.00%. Lenders differ — some will be higher, some lower.
Repayment at 6.00%
Per month, principal & interest
$2,751.94
Repayment at 9.00%
The buffered rate lenders test you at
$3,693.22
Net monthly income
After tax and Medicare levy
$6,151
Assessed living expenses
$2,450
Existing commitments
$0
Surplus for repayments
$3,701
Debt-to-income
Most lenders are comfortable under 6×
4.8×
Email me these resultsPlus a quick note on what a lender would actually do with them.
Where your net income goes each month
- Living expenses$2,450 / month
- Existing commitments$0 / month
- Available for a home loan$3,701 / month
Under the bonnet
Assumptions & how we calculate
We show our working so you can judge the number, not just read it. Every lender applies its own policy on top of maths like this.
- Net income uses 2025–26 Australian resident tax rates, the low income tax offset and the 2% Medicare levy. HELP/HECS repayments aren't deducted — add them to existing repayments.
- 80% of other income (rent, bonuses, commission) is counted, reflecting typical lender shading.
- Living expenses are the higher of your figure and a household benchmark we set at $2,450 a month for a single, $3,650 for a couple, plus $520 per dependant — a simplified stand-in for the HEM index lenders use.
- Credit cards are assessed at 3.8% of the total limit per month, whatever the balance.
- Maximum loan is the amount your monthly surplus can repay, principal and interest, at your interest rate plus the assessment buffer, rounded down to the nearest $1,000.
- No debt-to-income cap, loan-to-value limit or deposit check is applied.
The information on this website is general in nature and does not take into account your personal objectives, financial situation or needs. Before acting on any information you should consider whether it is appropriate for you. Terms, conditions, fees, charges and normal lending criteria apply. Rates are subject to change.
FAQs
Questions people ask
How do lenders work out how much I can borrow?
They start with your after-tax income, subtract your living expenses (the higher of what you declare and a benchmark such as HEM) and your existing debt commitments, then test whether the surplus can cover repayments at your rate plus a buffer of at least 3%.
Why do lenders add a 3% buffer?
APRA requires banks to check you could still afford repayments if rates rose by at least 3 percentage points. It's the main reason your borrowing power is lower than the repayment you could comfortably afford today.
Do credit card limits really reduce my borrowing power?
Yes. Lenders assume you could use the full limit, so they count roughly 3–3.8% of each limit as a monthly commitment even if you pay the card off every month. Cancelling or reducing unused limits before you apply can make a noticeable difference.
Why might a real lender give me a different figure?
Each lender treats income types (overtime, bonuses, rental, self-employed income), expense benchmarks and HECS differently, and some cap lending at a set multiple of income. Across our panel the difference between lenders for the same person can be significant.
Is this a pre-approval?
No. It's a general estimate. A pre-approval needs a lender to review your documents and credit file. We can organise that once you're happy with the numbers.
Next step
Numbers looking good? Let's turn them into a pre-approval.
A calculator can't read a payslip or a lender's policy. Sachin can — book a free call and we'll check these numbers against 70+ lenders, then tell you what's actually possible.
Free, no obligation. General information only — not credit advice.