How this calculation works
The affordable repayment is the lower of your remaining monthly cash after debts, expenses and property costs, or your chosen gross-income cap. We invert the monthly loan repayment formula to estimate a loan and add your deposit to obtain a property budget.
A worked example
At 0% over 240 months, a R10 000 affordable monthly repayment supports an illustrative R2 400 000 loan. A R200 000 deposit increases the purchase budget to R2 600 000, before transaction costs.
Assumptions & limitations
- The default 30% cap is an adjustable planning assumption, not a South African legal or bank lending rule.
- Transfer duty, conveyancing and bond registration costs are excluded from the budget. Set aside separate cash for these.
- Credit approval depends on lender checks, verified income, credit history and applicable credit regulations. Rates, levies, maintenance and insurance must be budgeted separately.
