Borrowing power calculator

Your borrowing power estimate

We have calculated your estimated borrowing power based on the income, expenses and other information you supplied. It is provided as a guide only. It is used solely for the purpose of providing you with an indication of the loan amount you may be approved for and the minimum principal and interest repayments that may be payable if you took out a loan for that amount.​ It is not a loan approval. The estimate doesn't take into account our loan eligibility criteria, nor consider your complete financial position.

If you apply for finance with NAB, we will need to make adjustments to your income, expenses and liabilities in line with our Credit Policy to determine your eligibility for a home loan. For example, there may be instances where we don’t include all your income in an application because the amount of income is not considered consistent (e.g. overtime, commission). This may impact the actual amount you can borrow.​

We have also made a number of assumptions when calculating your borrowing power which can affect your estimated borrowing power. Our main assumptions are set out below.​

Expenses

If the expenses you entered are less than those we think you should have using the "Household Expenditure Measure", we will use the Household Expenditure Measure figure when estimating your borrowing power. Note: Household Expenditure Measure is sourced from the Melbourne Institute, opens in new window

Interest rate buffers

We include an interest rate buffer in our calculations. This allows us to factor in, to a degree, the effect of interest rate increases when working out how much you may be able to afford.

Existing liabilities

When calculating your existing liabilities (if any), we have assumed that any existing loan involves both principal and interest repayments for the life of the loan. This may not be indicative of your situation if your loan has an interest only period and may overstate your estimated borrowing power.

Repayments, Product and Interest rate

Minimum repayment amounts are indicative only. When calculating estimated repayments, we have made a number of assumptions which may affect the accuracy of the amounts shown. They include:​

• We have used the Product (and associated interest rate with the relevant buffer applied) that you’ve selected in the Borrowing Power Calculator and assumed that you’ll be making principal and interest repayments on that loan for the selected loan term​.
• That the interest rate displayed will not change and will apply for the full loan term. We do this as we can't predict what rates will do in the future.​ For NAB products, the rate that will initially apply to a home loan will be the prevailing rate for the product at the settlement of the loan (subject to any rate lock arrangement). As variable interest rates are indicative and subject to change, the rate that is current for a product today may not be the rate that applies to your loan.
• Minimum repayment amounts are calculated on a monthly basis. If you have chosen to view a weekly or fortnightly minimum repayment amount, we have taken the monthly minimum repayment amount, multiplied it by 12 and then divided it by 26 (for a fortnightly amount) or 52 (for a weekly amount). As there are not exactly 26 fortnights, or 52 weeks, in a year, this is not a precise conversion.
• Interest is charged to the loan account at the same frequency and on the same day as the repayments are made (this may not be the case for your loan).
• Only your initial minimum repayment amount is calculated. We assume that this repayment amount is payable for the loan term which may not reflect your home loan arrangement. Repayment amounts can change for a variety of reasons, including to reflect variable interest rate changes and any changes to your repayment type. Repayments will also change at the end of any fixed rate period or interest only period. This calculator does not take these changes into account, and the information provided is a guide only.
• We have not taken into account any fees or charges when determining the minimum loan repayment. Other bank fees or government fees may apply (including stamp duty and potentially lender’s mortgage insurance) and would increase the overall cost of the home loan.

This calculator is not intended to be relied on for the purposes of making a decision in relation to a financial product and you should consider obtaining advice from a financial adviser before making any financial decisions.