How Can I Boost My Borrowing Capacity?
Most of us need the help of a loan when it comes to buying property. This means that the amount lenders are willing to give you will determine which houses you can afford.
How much you can borrow will depend on your borrowing capacity. You can get a general idea of this by entering your income and expenses details into a how much can I borrow calculator.
Once you have this figure, you may wonder how you can make it bigger. There are no guarantees as every lender is different, but there are a few ways you can increase the likelihood of having more borrowing power.
Lending institutions will take your credit cards into account even if you don’t use some of them, so it is a good idea to cancel those ones that you don’t use.
Have a look also at your personal debt. Personal loans with a high interest rate can affect your borrowing capacity, so consolidating these with other debt can help reduce the impact that they have.
For more personalised advice about how much you can borrow, be sure to consult a mortgage broker.
These independent experts can advise you on the many factors affecting your capacity to borrow and can help you find a home loan finance solution.
To get more detailed information on your situation, talk to a Loan Market mortgage broker today.