Interest Rate Rise Stress Test Calculator
Test a mortgage against higher rates before a lender does. Australian lenders must assess you at your actual rate plus a serviceability buffer, so the repayment that decides your application is well above the one you would actually pay.
Your details
APRA has required 3 percentage points since late 2021.
| Loan amount | $700,000 |
| Current rate | 6.10% |
| Current repayment | $4,242 |
| Repayment at +1% | $4,704 |
| Repayment at +2% | $5,185 |
| Repayment at the assessment rate | $5,683 |
| Extra per month at assessment rate | $1,441 |
| Extra per year | $17,290 |
| Repayments as a share of income today | 31.8% |
| Rate move | Rate | Repayment | Increase | % of income |
|---|---|---|---|---|
| Today | 6.10% | $4,242 | +$0 | 31.8% |
| +0.50% | 6.60% | $4,471 | +$229 | 33.5% |
| +1.00% | 7.10% | $4,704 | +$462 | 35.3% |
| +2.00% | 8.10% | $5,185 | +$943 | 38.9% |
| +3.00% | 9.10% | $5,683 | +$1,441 | 42.6% |
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Frequently asked questions
What is the serviceability buffer?
APRA requires lenders to check you could still afford repayments if rates rose by at least 3 percentage points above the rate you are offered. It is why a loan you can comfortably afford today might still be declined - the assessment is run at roughly 9% when rates are around 6%.
What counts as mortgage stress?
The common benchmark is repayments above 30% of gross household income. It is a rough measure - it ignores whether the income is one salary or two, and how much is left after living costs - but lenders and regulators still watch it.
General advice warning: This calculator provides general information only. It does not take into account your objectives, financial situation or needs, and it is not personal credit or financial advice.
Results are estimates based on the inputs and assumptions shown. Any interest rate used is an example and is not an offer of credit. Speak to a licensed credit representative before acting on these figures.