29/08/2026
A DTI of 6× or more doesn’t automatically mean your property investment plans stop — but it can influence your borrowing capacity and lender options.
DTI (Debt-to-Income) compares your total debt exposure with your verified gross annual pre-tax income. Under APRA’s current settings, up to 20% of an ADI’s new investor mortgage lending by value can be written at a DTI of 6× or more. This operates at the lender’s overall portfolio level — it is not an automatic borrowing ban for every investor above the 6× threshold. Importantly, certain finance for the construction of new dwellings and the purchase of newly erected dwellings is exempt from APRA’s DTI limit — particularly relevant when considering new-build and House & Land opportunities.
However, individual lender credit, serviceability and borrowing policies still apply. A high DTI may affect lender choice or borrowing capacity, but it does not automatically prevent approval.
Investors should still consider:
✓ Existing and proposed debt
✓ Recognised income and rental earnings
✓ Repayment capacity
✓ Cash-flow buffers
✓ Individual lender policies
✓ Long-term portfolio plans A
PRA’s separate 3 percentage point mortgage serviceability buffer also remains in place.mBecause a strong investment strategy starts with understanding what your complete portfolio can comfortably support.
Planning your next Australian property investment? Connect with Koala Invest.
[ Australian property investment, APRA DTI limit 2026, debt-to-income ratio Australia, investor borrowing capacity, new build property Australia, property finance strategy ]
General information only. This content does not constitute financial, credit, tax or legal advice. Individual circumstances and lender policies vary.
