The answer, of course, can be different depending on the lender and the applicant. Everyone is in their own unique financial situations, and there isn't a one size fits all solution for home loans.
It can be difficult to estimate your borrowing capacity without approaching a mortgage broker and having a consultation with them about your circumstances.
There are, however, common requirements that stretch across the broad spectrum of lenders, as well as a few things you can do personally to help increase your chances of getting the maximum amount possible to put towards your investment dreams.
One of the first things to do is jump online and access a home loan calculator. Inputting details like your income and expenses can help to give you an estimate of the amount of money you are able to borrow.
However, as mentioned earlier, the best way to ensure you get the highest borrowing capacity possible is to get in contact with a professional mortgage broker.
As home loan experts, mortgage brokers are in the perfect position to give you in-depth advice and knowledge about the range of products on the market and which one will be right for your situation.
Furthermore, there are a few things you can personally do to help secure yourself a great home loan deal.
First, closing any outstanding credit cards or inactive accounts you have can go a long way to helping your credit rating. Paying off any outstanding personal debts or lines of credit is also advisable.
Setting up a realistic budget can help you with your application process, as well as prepare you for the monthly mortgage repayments you will have to make if you're home loan bid is successful.
However, chatting with a mortgage broker before approaching a lender will net you with some fantastic advice for how to ensure you achieve the greatest borrowing capacity possible.
You can contact a Smartline Mortgage Adviser on 13 14 97 for home loan advice. Or complete our call request form and we’ll call you!
DISCLAIMER: The information contained in this article is correct at the time of publishing and is subject to change. It is intended to be of a general nature only. It has been prepared without taking into account any person’s objectives, financial situation or needs. Before acting on this information, Smartline recommends that you consider whether it is appropriate for your circumstances. Smartline recommends that you seek independent legal, financial, and taxation advice before acting on any information in this article.