If you’re on the hunt for a new home, the term ‘borrowing capacity’ is something you’ll want to familiarise yourself with.

It’s a crucial factor in the world of home loans, so let’s dive into what it means, how lenders determine it, and how it affects your finance application.

What is Borrowing Capacity?

Essentially, it is the maximum loan amount a lender is willing to offer based on your finances. 

It’s the key to your home loan application, determining the highest funds available for your property purchase.

Self-employed borrowers often come up against the challenge of not being able to present a raft of payslips and tax returns to back up their loan applications, but this need not stop you buying your dream home.

If it is time to refinance or you are moving on to your next home we have plenty of options to maximise your savings. As well as achieving the best interest rate, service is important before and after the fact.

Why is it that some lenders actually get praise by borrowers and others are so unpopular?

We are a Darwin mortgage broker who have access to over 30 lenders, so getting a Darwin home loan could not be easier. If you live anywhere across the Northern Territory we can help.