Struggling to borrow enough for your next home or investment?
You’re not alone. With lending criteria tightening and interest rates still a factor in 2026, many Sunshine Coast buyers are finding their borrowing capacity lower than expected.
The good news is there are practical ways to improve your borrowing power, and in many cases, small changes can make a big difference.
Borrowing capacity refers to the amount a lender is willing to lend you based on your financial situation.
It’s influenced by your:
If you’re unsure where you currently stand, you can start by understanding your borrowing power in more detail on our
👉 How Much Can I Borrow Sunshine Coast page.
Lenders are more cautious than ever.
They now assess:
This means even if your income hasn’t changed, your borrowing capacity might have.
Even unused credit cards reduce how much you can borrow.
Lenders often assume a percentage of your limit is being used, so lowering limits or closing cards can improve your position quickly.
Personal loans, car finance, and buy now, pay later accounts all impact your borrowing power.
Reducing these liabilities can significantly increase what lenders are willing to offer.
Applying for new credit before a home loan can hurt your borrowing capacity and your credit score.
Try to keep your financial position stable in the lead-up to applying.
Lenders want to see that you can manage money well.
A strong savings history can improve your borrowing position and strengthen your application.
This could include:
Even a small increase in income can improve your borrowing capacity.
Combining multiple debts into one lower repayment can reduce your monthly commitments and improve serviceability.
Different lenders calculate borrowing capacity differently.
At Fundli, we:
This can make a significant difference compared to going directly to a bank.
Many buyers unknowingly limit themselves by:
Avoiding these mistakes can put you in a much stronger position.
Online calculators can give a rough guide, but they don’t take your full situation into account.
For a more accurate estimate, speak with a mortgage broker who can assess your full financial picture.
👉 Learn more about your borrowing potential here
Borrowing capacity is the amount a lender is willing to lend you based on your income, expenses, debts, and financial situation. It determines how much you can spend on a property.
You can improve your borrowing capacity by reducing debts, lowering credit card limits, avoiding new credit applications, and showing consistent savings. Even small changes can make a noticeable difference.
Yes. Even if you don’t use them, lenders assess your credit card limits as potential debt. Reducing or closing unused cards can improve your borrowing power.
There’s no fixed amount, as it depends on your expenses, debts, and deposit. Two people with the same income can have very different borrowing capacities based on their financial situation.
Yes. Mortgage brokers compare multiple lenders and structure your application to maximise your borrowing capacity. Different lenders can offer different outcomes.
Yes. Lenders review your bank statements to assess your living expenses and financial behaviour. High or inconsistent spending can reduce your borrowing capacity.
Yes. A larger deposit reduces the amount you need to borrow and can improve your chances of approval. It may also help you avoid lenders mortgage insurance (LMI).
No. Borrowing capacity is an estimate, while pre-approval is a formal assessment from a lender based on your financial documents.
