How much house can I afford?
Affordability is more useful than simply asking how much a lender might lend. Start with the payment you can comfortably sustain, then consider the deposit and purchase costs.
Page checked: 21 October 2026
The key point
Affordability is more useful than simply asking how much a lender might lend. Start with the payment you can comfortably sustain, then consider the deposit and purchase costs.
Leave room for real life
Home ownership includes insurance, maintenance, property tax and normal living costs. A theoretical maximum can be a poor target if it leaves no buffer.
Keep checking the numbers
Use the calculators for your own balance, rate, term and affordability.
Open the calculators →Sources & important note
Information is for general information only. Mortgage rules, rates, lender criteria and costs can change. Always confirm the current position with the relevant lender or official source before making a financial decision.
Affordability is more than a mortgage multiple
A useful affordability check has two separate questions: how much could a lender potentially lend? and how much would still feel affordable every month? The first is influenced by income and lending rules; the second depends on your household budget and resilience to rate or cost increases.
Start with your gross household income, buyer type, deposit and existing debts. Then test the resulting mortgage at different terms and interest rates. If the payment leaves very little room for normal spending or unexpected costs, the headline maximum is probably not the right target.
Costs people often forget
- Mortgage protection and home insurance
- Property tax and utilities
- Legal and valuation costs
- Stamp duty and other purchase costs
- Repairs, maintenance and furnishing
- Existing loans, credit cards and other commitments
These don't necessarily appear in a simple salary multiple, but they can materially affect what a household can comfortably afford.
Use a stress test before choosing your budget
If a repayment only works at today's rate, it may leave little margin for change. Compare your payment at a higher interest rate using the rate-rise guide and mortgage stress-test guide.