Home Loan Affordability Calculator
Find out how much you can afford to spend on a property based on your income. Add your existing debt and available deposit for a more accurate calculation.
Understanding Home Loan Affordability
Debt-to-Income Ratio
Banks typically allow 30-40% of your gross monthly income to go towards debt repayments, including your home loan. The lower your existing debt, the more you can afford to borrow.
Impact of Deposit
A larger deposit increases your maximum property price without changing your monthly payment. It also reduces the loan amount and total interest paid over the loan term.
Interest Rate Effect
Higher interest rates reduce how much you can borrow for the same monthly payment. Even a 1% difference can significantly impact your maximum loan amount and property price.
Loan Term Considerations
A longer loan term (e.g., 30 years vs 20 years) increases your maximum loan amount but means you'll pay more interest over time. Shorter terms have higher monthly payments but lower total cost.
Disclaimer: This calculator provides estimates for illustrative purposes only and should not be considered financial advice. Actual loan approval depends on your credit history, employment status, bank policies, and other factors. Please consult with a qualified financial advisor or mortgage specialist before making any financial decisions.