- Single, no debts or dependants
- $1.22m to $1.46mEstimated loan range
- Couple on the same total income
- $1.29m to $1.55mTwo incomes of $125,000
- Assessed at
- 9.25%Today's typical rate plus the 3% buffer
On a salary of $250,000 before tax, a single applicant with no debts and no dependants could borrow somewhere around $1,215,000 to $1,458,000, based on the way most Australian lenders assess a home loan today. It's a range because every lender's calculator is a little different, and the same application can move by roughly 10% between them.
What changes the number
| Your situation | Estimated loan range |
|---|---|
| Single, no dependants | $1,215,000 to $1,458,000 |
| Single, one child | $1,155,000 to $1,386,000 |
| Single, two children | $1,095,000 to $1,314,000 |
| Couple, two incomes of $125,000 | $1,293,000 to $1,551,000 |
| Couple, two incomes of $125,000, two children | $1,172,000 to $1,407,000 |
A couple on the same total income usually borrows a little less than a single person, not more: two people's living costs are assessed against the same income, and lenders' benchmark for a couple is higher. What a couple gains is that two incomes taxed separately leave more after tax than one, which is why the gap is smaller than you might expect.
What your debts cost you in borrowing power
| Commitment | Reduces borrowing by about |
|---|---|
| A $5,000 credit card limit (even if paid off monthly) | $23,000 |
| A $10,000 credit card limit | $46,000 |
| A car loan costing $600 a month | $73,000 |
| A HECS or HELP debt (about $25,000 a year in repayments at this income) | $253,000 |
What price that could mean
Your price range is what you could borrow plus your deposit, less stamp duty and costs. As a rough guide at the top of the single range: with a 20% deposit that is a purchase around $1,823,000, and with a 10% deposit around $1,620,000, before stamp duty, which depends on your state and whether you are a first home buyer. The stamp duty calculator works that out for any state.
What the repayments would be
| Lender type | Advertised variable rates | Monthly repayment |
|---|---|---|
| Banks | 5.95% to 6.74% | $7,973 to $8,663 |
| Non-bank lenders | 5.94% to 7.34% | $7,964 to $9,202 |
How lenders work it out
- Your income after tax. On $250,000, that's about $166,630 a year ($13,886 a month) after income tax and the Medicare levy at 2026–27 rates.
- Living costs. Lenders use the higher of what you tell them and a benchmark called the Household Expenditure Measure. For a single person on this income the benchmark Borrowable uses is about $2,780 a month, before rent or loan repayments.
- Existing commitments. Credit card limits, car and personal loans, buy now pay later and other home loans come off what's left.
- The test. Whatever surplus remains has to cover the new loan's repayments at the actual rate plus a 3 percentage point buffer. Today that means repayments worked out at about 9.25%, even though you'd pay less than that.
Overtime, bonuses, rental income, self employment, child support, a partner's income, and what you actually spend can each move the estimate a long way in either direction, and different lenders treat them very differently. Borrowable's check asks about all of them.
Common questions
How much can I borrow on $250,000 as a single?
With no debts and no dependants, around $1,215,000 to $1,458,000 with most lenders today. Debts, dependants, HECS and how you're paid can change that a lot.
Why is it a range and not one number?
Each lender uses its own calculator, living cost benchmark and policy for things like overtime and rental income. The same application can come out around 10% higher or lower depending on the lender, which is one of the main reasons people use a broker.
Will the RBA changing rates change how much I can borrow?
Yes. Lenders assess your repayments at their rate plus 3 percentage points, so when rates rise, borrowing power falls. This page recalculates daily from the RBA's published cash rate, currently 4.6%.
Sources
- RBA statistical table F1: cash rate target, 23/10/2026 reading (refreshed daily), checked 26 October 2026
- APRA, May 2026: macroprudential settings held, serviceability buffer of 3 percentage points, checked 21 October 2026
- ATO: tax rates for Australian residents 2026–27, checked 17 September 2026
- ATO: study and training loan repayment thresholds 2026–27, checked 17 September 2026
General information only, not credit advice. It doesn’t take your objectives, financial situation or needs into account. Rules and figures change; check them, or talk to Joshua, before you rely on them.