Calculator
Borrowing power calculator
An estimate of how much a lender may lend you, from your income, living costs and debts. Enter a rate you have been quoted; the calculator tests it the way lenders do.
You may be able to borrow
$0
Enter your income and the interest rate you have been quoted.
Your estimated borrowing range, the rate lenders test you at and your monthly repayment appear here.
A 60-minute consultation with Sulav Adhikari, by phone or video. We check these numbers against real lender policy.
01How it works
How lenders work out what you can borrow
Every lender asks the same question: after tax, living costs and your other debts, could you still make the repayments if rates rose?
Income after tax
Salary at full value; overtime, bonus and commission at 80%; rent at 80%. Tax uses the 2026-27 resident rates and the 2% Medicare levy.Living costs
The higher of what you spend and a benchmark for your household. Lenders use their own measures, often the Household Expenditure Measure (HEM).Other debts
Card limits at 3.8% a month, car and personal loan repayments, HECS-HELP, child support and any other home loans.A higher test rate
Your rate plus 3 percentage points, or 7.5% if that is higher. What is left each month sets the loan size.
02Assumptions
The living-cost benchmarks we use
Indicative figures only. They are our own simplified benchmarks, not the Household Expenditure Measure that lenders licence, and lenders' figures can be higher.
| Household | Per month |
|---|---|
| Single | $2,200 |
| Single, with dependants | $3,000 |
| Couple | $2,950 |
| Couple, 1 dependant | $3,350 |
| Couple, 2 dependants | $3,750 |
| Couple, 3 or more dependants | $4,150 |
- Used only when your own living-expense figure is lower.
- Repayments on debts are not part of the benchmark; they are entered separately.
- Income tax: 2026-27 resident rates (15% from $18,201, 30% from $45,001, 37% from $135,001, 45% from $190,001) plus the 2% Medicare levy, no offsets. Checked 26 October 2026.
03Questions
Borrowing power questions
Why is my borrowing power lower than I expected?
Lenders don't test your repayments at the rate you will pay. They add a buffer (the calculator uses 3 percentage points) or use a minimum test rate, whichever is higher. They also count credit card limits rather than balances, and use a living-expense benchmark if your own figure is lower.
Do credit cards reduce how much I can borrow?
Yes, even if you pay them off every month. Lenders count a monthly repayment on the full limit, so reducing or closing cards you don't use can lift your borrowing power.
Does my visa change what I can borrow?
It can change which lenders will consider you, how much deposit they want and how they treat your income, rather than the maths here. Temporary residents also need FIRB approval and pay stamp duty surcharges in most states.
Can overtime, bonuses or rental income count?
Usually in part. Lenders often count only some of your overtime, bonus or commission, and only part of rental income, and they may want a history of it. The calculator counts 80% of overtime and bonuses and 80% of rent.
How accurate is this estimate?
It is a starting point. Each lender has its own income rules, living-expense measures and limits on debt-to-income, so two lenders can give quite different answers for the same person. At a consultation we compare the lenders on our panel for your situation.
Get a borrowing range checked against real lenders
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