Property & Home · Serviceability

Borrowing Power Calculator — How much can you borrow?

A quick serviceability estimate — what a lender might offer based on income, expenses and existing debts. An estimate only, not lender approval.

What you enter

  • Household income (gross)
  • Monthly living expenses
  • Other monthly repayments
  • Deposit saved
  • Interest rate
  • Serviceability buffer
  • Loan term

How this is calculated

We estimate your net (after-tax) monthly income, subtract your living expenses and existing repayments to get a monthly surplus, then work out the loan that surplus could service at an assessment rate of your interest rate plus a buffer (default +3%, matching APRA's serviceability guidance). The result also shows your debt-to-income ratio and what the repayment looks like at both the real rate and the assessment rate.

Common questions

Why do lenders assess me at a higher rate than I'd pay?

APRA requires banks to test that you could still afford repayments if rates rose — currently at least 3 percentage points above the product rate. That buffer, not the advertised rate, is what usually limits how much you can borrow.

What's a good debt-to-income ratio?

Many lenders treat loans above 6× gross household income as higher risk, and some cap lending there. Below 4× is generally comfortable; between 4× and 6× expect more scrutiny of your expenses.

Why might a bank offer me less than this estimate?

Lenders verify expenses against HEM benchmarks (often higher than people self-report), count credit card limits as debt even if unused, discount overtime, bonuses and rental income, and factor in dependants and credit history. This estimate is a starting point, not an approval.

How does it rank?

Once you have your result, see how your number compares against your demographic with our full money rank — by age, sex, state and household composition.

Methodology & data

SERVICEABILITY ESTIMATE · NOT LENDER APPROVAL. Australian context, FY 2026–27 tax brackets by default (15% lowest marginal rate from 1 July 2026) with a financial-year selector on tax calculators. Calculations are indicative and based on simplified public models — not personal financial, tax or legal advice. See the full disclaimer.

Primary data sources

More tools