Your borrowing capacity will vary between banks and lenders because they all use different methods to assess your capacity and all have different lending criteria.
One of the most frequently asked questions in home finance is – how much can I borrow?
Your borrowing power will give you a good idea of how much you can borrow to purchase a property. As a guideline, when determining how much you can borrow banks and lenders will look at:
- Income and types of income e.g. casual, contract, full-time
- The size of the loan compared to the property value
- Number of dependents and their situation
- Credit card limits
- Type of loan
- General living expenses
- Current savings to be used as a deposit (if purchasing), and
- Existing asset position (including the size of your deposit)
For a detailed assessment of your borrowing capacity contact us at and we will provide you with a personalised indication of your capacity.
Tips on how to increase your Borrowing Power
- Pay off and close or reduce limits on any credit card or overdraft facilities
- Put a budget in place and stick to it. This will help you to improve your deposit and savings history
- Pay off any outstanding term debts (e.g. car/personal loans)
I was referred to Kathy Dundas of No Fuss Home Loans with the daunting prospect of refinancing my existing home loan and other debts into one simple monthly package that is actually saving me big $$$$. From first contact Kathy was so incredibly welcoming, professional, knowledgeable and thorough I immediately knew I was in the hands of someone I could trust.
Kathy introduced to me options and solutions that I not only never knew were available, but possible for me. I wish I had spoken to her sooner!!
Kathy made the whole process quick and seamless and even went out of her way to come to me around my working commitments. Kathy has inspired me on many levels to continue with my dream of investing further not only in the property market but possibly in other ventures with confidence and the sound knowledge that her advice, honestly and support as an advisor will get me there sooner than I ever thought !!
I highly recommend Kathy Dundas to anyone looking to unlock the dream of home ownership, refinancing and investment.
Thank you again Kathy and No Fuss Home Loans – it was exactly that!!Lisa Coutts
When I bought my first property, I was shopping around to find a good deal and for my preapproval. It was very time consuming and often bank staffs were not available to answer my enquiries. I got in touch with Kathy who not only got me the necessary finance in but also was able to spend time to explain different types of loan. That saved me lots of time and effort. Since then I have purchased number of investment properties using her services. Kathy is very professional and friendly and has put in lots of hard work, time and diligence to get me finance. Buying a property can be stressful but Kathy has been very patient in answering all my enquiries. My family members and colleagues have also used Kathy’s services for obtaining finance and are very happy with her professional approach.Christian Onesimus