Daniel Matuludi at GetGo Home Loans

24/03/2026

16/03/2026

How Banks calculate affordability.

So how do banks actually calculate affordability?
It starts with gross income, but that’s only the first step.
From there, lenders assess:
💚 Net income after deductions
💚 Existing monthly debt commitments
💚 Verified living expenses
💚 Credit behaviour and utilisation patterns

Each factor influences the loan amount offered, and sometimes even the interest rate.

Affordability is calculated holistically, not optimistically.

Understanding this process helps property professionals guide buyers more accurately and structure stronger applications from the start.

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