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Affordability Calculator

Value cannot be empty or zero

Household

Value cannot be empty or zero
Value cannot be empty or zero Net income cannot be more than Gross Income
Value cannot be empty or zero

This level of borrowing breaches standard regulations governing mortgage lending established by the Central Bank. Seeking exemptions from the standard rules governing lending criteria places households at risk of experiencing affordability challenges.

Disclaimer: This calculator is provided as a guideline only. Mortgage repayment calculations assume an annual interest rate of 3.7 percent.

Less Than 25% of disposable income

Based on the information provided you are spending less than one quarter of your monthly disposable income paying your basic housing costs. This level of spending is generally deemed to be affordable.

Housing cost affordability is measured by looking at the proportion of household income that is spent each month to meet the basic cost of accommodation. This internationally used way of assessing housing cost affordability suggests spending less than 35% of monthly disposable income on basic accommodation costs is generally affordable for most households.

Households vary substantially in terms of the other financial commitments (e.g. childcare and travel costs) they face and their security of income. Whether you’re planning to buy or rent, it is important to consider the implications of possible future changes in housing costs and household income.

25% to 34% of disposable income

Based on the information provided you are spending between one quarter to just over a third of your monthly disposable income paying your basic housing costs. This level of spending is generally deemed to be affordable; however, some lower income households may find it difficult to sustain this level of payment.

Housing cost affordability is measured by looking at the proportion of household income that is spent each month to meet the basic cost of accommodation. This internationally used way of assessing housing cost affordability suggests spending less than 35% of monthly disposable income on basic accommodation costs is generally affordable for most households.

Households vary substantially in terms of the other financial commitments (e.g. childcare and travel costs) they face and their security of income. Whether you’re planning to buy or rent, it is important to consider the implications of possible future changes in housing costs and household income.

35% to 39% of disposable income

Based on the information provided you are spending over 35% of your monthly disposable income on your basic housing costs. This level of spending is above the threshold deemed affordable for many households and increases the risk of facing housing cost affordability challenges.

Housing cost affordability is measured by looking at the proportion of household income that is spent each month to meet the basic cost of accommodation. This internationally used way of assessing housing cost affordability suggests spending less than 35% of monthly disposable income on basic accommodation costs is generally affordable for most households.

Households vary substantially in terms of the other financial commitments (e.g. childcare and travel costs) they face and their security of income. Whether you’re planning to buy or rent, it is important to consider the implications of possible future changes in housing costs and household income.

40% or more of disposable income

Based on the information provided you are spending over 40% of your monthly disposable income on your basic housing costs. This level of spending is considerably above the threshold deemed affordable for many households. Individuals or households in this category are at the highest risk of facing housing cost affordability challenges.

Housing cost affordability is measured by looking at the proportion of household income that is spent each month to meet the basic cost of accommodation. This internationally used way of assessing housing cost affordability suggests spending less than 35% of monthly disposable income on basic accommodation costs is generally affordable for most households.

Households vary substantially in terms of the other financial commitments (e.g. childcare and travel costs) they face and their security of income. Whether you’re planning to buy or rent, it is important to consider the implications of possible future changes in housing costs and household income.