Find out how much you will need to pay every month for your dream home, if you're not a full cashbuyer.
What is a home affordability calculator?
When planning on buying a home, it is essential to know exactly how much you can afford before you start your property search. A home affordability calculator uses your monthly income to determine the maximum home loan amount that you could get from a bank or a non-bank home mortgage lender like DCANS Investments LLC, a sister company - our inhouse home mortgage provider.
How do lenders calculate my bond affordability?
Lenders usually calculate the home loan amount you qualify for by looking at:
• Gross income
This is your total income before deductions like tax, healthcare and pension.
• Net income
The is your income after all deductions
• Total expenses
These are all your monthly expenses like car repayments, internet costs, pay tv costs
• Interest rate
This is usually set by default to the prime lending rate. Depending on the bank’s lending criteria you may qualify for a higher of lower rate.
• Number of years
Most home loans in Ghana are over 20 years but you may choose a longer or shorter term.
Your affordability is ultimately based on around 45% of your gross monthly income and on your disposable income.
Remember that a home affordability calculator is a useful tool to determine the maximum loan value and monthly repayment that you qualify for but is not a guarantee that you will be granted a home loan. You will need to apply for a home loan and it is at the discretion of the bank to grant it or not.
• Typical Home Mortgage Calculator (Capital/Principal + Interest)
• Interest-Only Calculator (Pension Mortgages)