Calculator
Affordability Calculator
Find out how much you can afford to spend on a property based on your income and expenses. Banks typically allow up to 30% of your gross income for bond repayments.
Debt-to-Income Rule
30% Max
Your Financial Details
Monthly Income
R
Your salary before deductions
R
Rental income, bonuses, commission, etc.
Monthly Expenses & Debt
R
R
Minimum monthly payments
R
R
Store accounts, student loans, etc.
Loan Parameters
%
Current Prime: 11.25%
R
You Can Afford a Property Up To
R 0
Including your R 0 deposit
Max Loan Amount
R 0
Monthly Repayment
R 0
Debt-to-Income
0%
Income Allocation
Max Bond Payment
R 0
0% of income
Current Debt
R 0
0% of income
Remaining
R 0
0% of income
Affordability Scenarios
| Scenario | Monthly Payment | Max Loan | Property Price |
|---|
Rate Forecast: Your Buying Power as Rates Decrease
Great news for buyers! As interest rates decrease toward the SARB's 3% inflation target, your buying power increases significantly. The same monthly payment qualifies you for a more expensive property!
| Timeline | Prime Rate | Max Property Price | Extra Buying Power |
|---|
Additional Buying Power
R 0
Best Case Buying Power
R 0
Strategy tip: If you're not in a rush, waiting for rate cuts could let you afford a better property. Alternatively, buy now and refinance later when rates drop to lower your payments!
Tips to Improve Affordability
How Banks Calculate Affordability
30%
Debt-to-Income Ratio
Banks typically allow a maximum of 30% of your gross income for all debt repayments, including your bond.
Credit Score Impact
A good credit score can get you a better interest rate, effectively increasing what you can afford.
Living Expenses
Remember to budget for rates, levies, insurance, and maintenance - typically 1-2% of property value annually.
Need More Calculations?
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