Western Sydney Home Loan Broker logomark Western Sydney Home Loan Broker

Borrowing Power Calculator

Enter your income, expenses and the interest rate you expect. We add the APRA (Australian Prudential Regulation Authority) 3% serviceability buffer (the extra repayment test lenders apply) automatically to show an indicative borrowing range.

Home loan borrowing power for Western Sydney

Key terms used on this page: APRA (Australian Prudential Regulation Authority), HEM (Household Expenditure Measure), LMI (Lenders Mortgage Insurance), comparison rate (total loan cost including fees) and serviceability buffer (the extra margin lenders test repayments against).

Western Sydney Home Loan Broker borrowing details

All figures are annual unless stated.

Estimated result

Fill in your details and click calculate to see an indicative borrowing range.

Method: how this calculator works

This calculator estimates how much you may be able to borrow based on your income, expenses, existing debts and an expected interest rate. It applies the APRA 3% serviceability buffer to the expected rate, meaning the result reflects the higher repayment test lenders use, not your actual starting repayment. It does not include lender fees, stamp duty, LMI or individual lender policies.

Information on this website is general in nature and does not constitute personal financial advice. All credit applications are subject to the lender's credit criteria, serviceability assessment, valuation outcome and approval process. Approval is at the lender's discretion.

Method citation: APRA prudential guidance on home loan serviceability assessments, apra.gov.au.

Calculator and borrowing questions

How much can I borrow for a home loan in Western Sydney?
Your borrowing power depends on your income, existing debts, living expenses and the lender's serviceability assessment. Most lenders apply the higher of your declared expenses or the Household Expenditure Measure (HEM), and they test repayments at your actual rate plus the APRA 3% prudential buffer. This website's borrowing power calculator gives an estimate only; a broker can review your full situation before you commit to anything.
What is the APRA serviceability buffer and how does it affect me?
APRA prudential guidance requires lenders to assess whether you can afford repayments at an interest rate at least 3 percentage points above the actual rate you are offered. This buffer helps ensure borrowers can withstand future rate rises. It means your assessed repayment is higher than your actual starting repayment, which can reduce your maximum borrowing capacity.
What is the comparison rate and why is it different from the advertised rate?
The comparison rate is a tool to help you compare the total cost of loans. It includes the interest rate plus most fees and charges, expressed as a single percentage. Comparison rates are based on a loan amount of $150,000 over 25 years. WARNING: This comparison rate applies only to the example given. Different amounts and terms will result in different comparison rates.