Buying a home is exciting, but it’s a big financial commitment. This checklist helps you assess your readiness. Be honest with yourself!
Section 1 – Income and expenses
| What is your current monthly take home income (after taxes)? | $ |
| Do you have other reliable income sources? (Eg rental income, regular side gig) | $ |
LIST YOUR ESSENTIAL MONTHLY EXPENSES
| Rent/board | $ |
| Groceries | $ |
| Utilities: energy/gas | $ |
| Transport | $ |
| Subscriptions/memberships | $ |
| Entertainment | $ |
| Mobile phone and streaming services | $ |
| Pets | $ |
| Gifts and donations | $ |
| Other (childcare, child support etc) | $ |
| Total essential expenses | $ |
Section 2 – Savings and debt
| How much have you saved for a deposit? | $ |
| Do you have other savings you could access if needed? | $ |
LIST YOUR CURRENT DEBTS
| Credit + store cards | $ |
| BNPL (Afterpay, ZipPay etc) | $ |
| HECS/help loans | $ |
| Car loans | $ |
| Other loans | $ |
| Total debt | $ |
Section 3 – Financial calculations
Debt to Income Ratio (DTI) rules:
- 6 X your income – for an owner-occupier
- 7 X your income – for a property investor.
Potential mortgage estimate
For a quick estimate, we need:
- Your estimated deposit
- Potential purchase price
- Monthly income
- Monthly outgoings
Section 4 – Reflection
| How comfortable are you with the potential mortgage payments? Could you handle them if rates rise or your income changes? |
|
| Are you prepared for the upfront costs of buying? (Stamp duty, legal fees etc) |
|
| Do you have a stable job and income outlook? Lenders like consistency. |
|
| Are you willing to adjust your lifestyle if needed? Homeownership may mean cutting back on discretionary spending. |
IMPORTANT:
- This is a starting point, not a guarantee.
- Speak to our finance team to make these calculations for you.
- Market conditions and lender requirements change, so stay up to date.
Reach out if you wish to refine this further or would like an estimate of your borrowing capacity.