“Due to serviceability buffers, a $600,000 loan typically requires an income of $110,000 to $120,000 for a single borrower.”
The income needed to qualify for a $600,000 loan in 2026 is higher than it was in 2022 because three RBA rate rises have lifted the serviceability assessment rate. Lenders now test your ability to service the loan at approximately 9.4% — the current rate plus the APRA 3% buffer.
The baseline income requirement
For a single borrower with no dependents, no debt, and no existing credit commitments, most lenders will approve $600,000 on an income of approximately $110,000–$125,000 gross per year. At $100,000, the approved amount typically falls short of $600,000 by $20,000–$50,000 depending on the lender.
For couples
A couple with a combined income of $150,000–$170,000 can typically support a $600,000 loan with a clean financial profile. The combined living expense benchmark used by most lenders is meaningfully lower per dollar of income than for a single applicant, which is why a couple earning $150,000 combined often borrows more than a single applicant earning $150,000.
The debt factor
Debt is the variable most likely to push your assessment below $600,000 at this income level. A $20,000 car loan reduces borrowing capacity by $40,000–$60,000. Closing or reducing credit card limits before application is the most reliable way to recover capacity at incomes close to the threshold.
Lender variation at the $600,000 threshold
At $110,000–$120,000 salary, some lenders will comfortably approve $600,000 while others won’t. The serviceability models vary meaningfully at this income level. Running the scenario through a broker who has access to the full lender panel — not just the major banks — often uncovers options that aren’t available through direct channels.
→ You may wish to speak with a licensed mortgage broker to assess your personal circumstances. This is general information only. Individual circumstances vary and scheme details change regularly. Verify current eligibility, caps, and terms with official sources before making decisions. Speak with a licensed mortgage broker for advice tailored to your situation. All loans are subject to lender approval.
Sources: APRA, Letter to ADIs — Mortgage Serviceability, October 2021; ASIC MoneySmart, Borrowing Power Calculator; National Consumer Credit Protection Act 2009.
