How Much Can I Borrow on $240,000? (2026–27)
A single person earning $240,000 could borrow about $1,262,000 for a home loan. See how rates, children and a partner change it.
How much can I borrow on $240,000?
Earning $240,000 a year, you take home about $13,444 a month after tax and the Medicare levy. After typical living costs for a single person on your income of about $3,283 a month, and with no other debts, you'd have about $10,161 a month spare when a lender tests your repayments at 9.00%. Over 30 years, that supports a loan of roughly $1,262,000, about 5.3 times your salary. The six times income cap would allow up to $1,440,000, so your budget at the test rate is what limits you.
Borrowing power at different interest rates
Lenders add a 3 percentage point buffer to the rate before checking what you can afford.
| Your rate | Tested at | Borrowing power | Monthly repayment |
|---|---|---|---|
| 5.50% | 8.50% | $1,321,000 | $7,500 |
| 5.75% | 8.75% | $1,291,000 | $7,534 |
| 6.00% | 9.00% | $1,262,000 | $7,566 |
| 6.25% | 9.25% | $1,235,000 | $7,604 |
| 6.50% | 9.50% | $1,208,000 | $7,635 |
| 6.75% | 9.75% | $1,182,000 | $7,666 |
| 7.00% | 10.00% | $1,157,000 | $7,698 |
With children, or as a couple
Dependants raise the living costs a lender counts. A couple earning $240,000 between them (half each) pays less tax than one person on the same total, but has higher living costs.
| Dependants | Expenses counted (single) | Single on $240k | Couple on $240k combined |
|---|---|---|---|
| No children | $3,283 | $1,262,000 | $1,366,000 |
| 1 child | $3,783 | $1,200,000 | $1,304,000 |
| 2 children | $4,283 | $1,138,000 | $1,242,000 |
If your living costs are higher
Lenders use your own expenses if they are above the benchmark.
| Your living expenses | Borrowing power |
|---|---|
| $3,500 a month | $1,235,000 |
| $4,000 a month | $1,173,000 |
| $5,000 a month | $1,049,000 |
Nearby salaries
$210k · $220k · $230k · $250k · all salaries
Assumes a single Australian resident, 2026–27 tax rates with the low income tax offset and Medicare levy, a 6.00% principal and interest loan over 30 years tested at 9.00%, no other debts or credit cards, and our household expense benchmark. Every lender is different, so treat this as an estimate only. See also repayments by loan size and $240,000 after tax.
Frequently asked questions
How much can I borrow on a $240,000 salary?
Roughly $1,262,000 as a single applicant with no debts or dependants, at a 6.00% rate tested at 9.00% over 30 years. Repayments would be about $7,566 a month.
How much house can I afford on $240,000?
With a 20% deposit of about $315,500, a $1,262,000 loan would buy a home worth about $1,577,500, before stamp duty and fees, which also come out of your savings.
Can a couple on $240,000 combined borrow more?
A couple earning $240,000 split evenly could borrow about $1,366,000. Two people pay less tax on the same total income, but lenders also count higher living costs for a couple.
Last reviewed October 2026. Estimates for general information only, based on 2026–27 rates. Check important figures with the relevant government agency or a licensed professional.