Home Affordability Calculator
Calculate how much house you can afford in South Africa based on your income, deposit, and the 28% bond-to-income rule used by SA banks.
How to Use This Calculator
Enter your gross monthly income (before tax), existing monthly debt repayments (car finance, personal loans, etc.), your available deposit, and the expected interest rate. The calculator applies the standard South African 28% bond repayment rule to determine the maximum property price you can afford.
- Gross Monthly Income: Your total income before PAYE and deductions.
- Other Monthly Debt: Include all current loan and credit card minimum payments.
- Deposit: The cash amount you can put down upfront.
- Interest Rate: Linked to SA prime rate — currently around 11.25%.
The Extended Calculator below adds Single Income, Dual Income, and Investor scenarios with a max bond by income chart. The Professional Calculator provides full DTI analysis and an upfront cost breakdown.
The 28% Bond Rule Explained
South African banks use a debt-to-income (DTI) ratio to assess home loan applications. The guideline is that your monthly bond repayment should not exceed 28% of your gross monthly income. Total debt repayments (including the bond) should not exceed 36-40% of gross income.
For example, if you earn R35,000 per month gross, your maximum bond repayment would be R9,800 (28% of R35,000). With a 20-year bond at 11.25%, this translates to a bond of approximately R890,000.
SA Home Affordability Example
| Scenario | Gross Income | Max Bond Payment | Max Bond (20yr @ 11.25%) | Max Property (10% dep) |
|---|---|---|---|---|
| Entry Level | R20,000/mo | R5,600 | ~R508,000 | ~R564,000 |
| Mid-Range | R35,000/mo | R9,800 | ~R889,000 | ~R988,000 |
| Upper-Mid | R55,000/mo | R15,400 | ~R1,397,000 | ~R1,552,000 |
| Premium | R80,000/mo | R22,400 | ~R2,031,000 | ~R2,257,000 |
Figures are approximate and assume no other debt and a 20-year term at 11.25%.
Tips to Improve Bond Affordability
- Pay off existing debt — clearing a car loan or personal loan significantly increases what banks will lend you.
- Increase your deposit — a 20% deposit vs 10% can reduce your repayment by thousands per month.
- Improve your credit score — a good credit score may qualify you for a rate below prime.
- Choose a longer term — 25 or 30 years lowers monthly payments (though total interest increases).
- Apply with a co-borrower — joint applications combine both incomes.
Upfront Cost Breakdown
| Item | Amount |
|---|---|
| Deposit | R 200 000 |
| Transfer Duty (SARS) | R 41 625 |
| Bond Registration Fees | R 18 000 |
| Conveyancing Fees | R 22 000 |
| Deeds Office Fees | R 1 100 |
| Total Cash Needed | R 282 725 |