Mortgage borrowing calculator
The Finance Company's mortgage borrowing calculator, your trusted device for estimating your potential borrowing limit. Whether you're a first-time home buyer, looking to refinance or moving up the property ladder, our calculator provides personalised insights to help you understand your financial possibilities.
How much can I borrow?
Want to know how much can you afford to borrow for your dream property?
Our mortgage affordability calculator is designed to provide key financial insights as you explore home financing options. By entering a few details about your income, the property value and deposit, our tool can help you:
• Estimate your maximum borrowing potential
• Calculate the approximate loan amount you might be eligible for
•Establish a sound starting point for pre-approval and property searching, allowing you to search and negotiate with confidence
Why The Finance Company?
At The Finance Company, we understand that navigating mortgages can be complex.
Our mortgage calculator empowers you to:
• Benefit from our experienced bridging finance team
• Calculate finances for property values and loan amounts to scale your portfolio
• Receive tailored insights based on your financial situation
• Making your property transition seamless
• Experience a user-friendly calculator that ensures simplicity in your planning
Frequently asked questions:
The main factors that affect your borrowing capacity for a mortgage include:
- Your income - Lenders will look at your total gross annual income from employment, investments, benefits, pensions, and other sources
- Existing debts - Any loans, credit cards, or other commitments that require monthly payments will reduce the amount you can borrow for a mortgage
- Expenses - Essential living costs like rent, utilities, insurance, transportation and childcare impact how much disposable income you have to service a mortgage
- Deposit - The more you can put down, the lower the loan-to-value ratio, which can mean better rates and allowance for larger loan amounts
- Credit history - Good long-term credit with on-time repayments will help your application
- Loan type and term - Shorter terms or adjustable rate mortgages have lower borrowing potential than longer fixed terms of 25-30 years
Lenders typically use a debt-to-income ratio to assess your ability to repay the loan. This ratio compares your monthly debts to your income.
You can improve your borrowing capacity by reducing existing debts, increasing your income, and improving your credit score.
If your borrowing capacity is lower than expected, you may need to adjust your property search or consider ways to increase your income or decrease expenses.