COMMERCIAL PROPERTY FINANCE PLANNER
Commercial Property Loan Calculator
Estimate repayments, your contribution, cash needed and how rent or business income may support the loan. Choose the property, location and how it is used, then change any suggested setting to suit your scenario.
No sign-upEditable assumptionsRepayment cover checkOfficial duty links
COMMERCIAL PROPERTY PLANNING CALCULATOR
Build a simple picture of the transaction.
Enter what you know and leave optional fields blank. Suggested figures are planning starting points only—not lender limits, approval or a promise of finance.
1
Tell us about the property
Choose what you are doing, how the property will be used and the type of property.
Choose the transaction you want to model. Purchases and major works show purchase costs. A refinance or equity release focuses on the existing property and loan.
Rental income is counted only when the property is leased to an outside tenant. For premises used by your own business, enter business cash available for repayments instead.
The property type changes the suggested loan percentage, income buffer target and vacancy allowance. Every suggested figure can still be changed.
The tenant or business can affect income stability, approvals, future costs and the information a lender may ask for—even when the building itself is standard.
This describes how easy it may be to find another buyer or tenant. Stronger demand may support a higher starting loan percentage; a smaller market may need more caution.
Choose whether the property and income are established, new, vacant or being changed. New or uncertain income usually needs a larger safety margin.
2
Loan details and planning settings
Enter the property value, loan and repayment details. You can change every suggested setting.
For a purchase, enter the price or expected lender valuation. For a refinance, enter the current estimated value. A lender may use a different valuation.
Enter the loan you want, or the current balance for a refinance. The calculator compares it with the property value and the income available.
Enter the interest rate you want to test. This calculator does not search for or recommend a lender rate.
The number of years used to estimate principal-and-interest repayments.
Principal and interest reduces the loan over time. Interest only has lower payments at first, followed by higher principal-and-interest payments over the remaining term.
How long the loan is interest only before principal repayments begin.
Full repayment check compares available income with principal-and-interest repayments.
Interest-only check compares available income with interest only.
A target of 1.50× means the model looks for $1.50 of available yearly income for each $1.00 of estimated yearly loan cost.
This is an editable planning assumption, not a lender rule.
Adds this many percentage points to the entered rate for a higher-rate safety check. Example: 7.00% plus 2.50% tests 9.50%.
A 70% setting means the property-value limit is 70% of the value entered.
This is sometimes called the loan-to-value ratio. It is a planning assumption only and can be changed.
3
Rent, property costs and business income
Add rent or business cash available for repayments, plus any property costs paid by the owner.
Use actual rent only when there is real lease income you want counted. Market rent is shown for context and is not counted in the income test.
Choose the way the lease states rent. The calculator converts the amount to a yearly figure.
Enter the rent before GST. The calculator converts it to a yearly amount.
Enter the yearly rent before GST.
Enter the yearly rent for each square metre. Also enter the property area.
Used only when rent is entered per square metre per year.
Enter costs paid by the owner and not recovered from the tenant, such as rates, insurance or maintenance.
Choose how often the property-cost amount is paid.
Reduces rent to allow for empty periods, tenant changeover or downtime. The suggested percentage can be changed.
For premises used by your own business, enter a simplified estimate of cash flow available for loan repayments after normal business costs.
For an investment, use this only for genuine additional income you want to test. It does not replace financial statements or a lender assessment.
Choose whether the cash amount entered is weekly, monthly or yearly.
A capitalisation rate (property yield) can be used to show a rough value check based on net rental income.
This is optional and is not a property valuation.
4
Purchase costs and cash needed
Open the official duty page, then enter duty and the other costs you expect.
Select the location so the button opens the correct official government duty calculator or guidance page.
Select the state or territory, open the official government page in a new tab, complete its questions, then return and enter the estimate.
The official page may use the words transfer duty, land transfer duty, conveyance duty or stamp duty.
Open the official government calculator or guidance page, then enter the estimate here.
Duty can depend on the contract date, property use, buyer type and other transaction details.
Enter your estimate for legal, conveyancing and registration costs.
Enter your estimate for valuation, application, lender and settlement fees.
Include other known costs that are not already entered, such as due diligence or specialist reports. Avoid counting the same cost twice.
Ready
General information only. This calculator uses the figures you enter and editable planning assumptions. It does not assess your full finances, the property, a lender’s policy, tax or legal position, or whether finance will be approved.
YOUR PLANNING RESULT
Commercial property planning result
The result follows from the figures and assumptions entered. It is not a lender decision or an offer of finance.
Your result will appear here.
Complete the calculator to compare the property-value limit with the income-based limit.
Lower planning limit
—The lower of the property-value limit and the income-based limit. It is not a lender offer or approval.
How your loan compares
—Shows whether the loan entered is below or above the lower planning limit.
Monthly payment now
—Estimated from the loan, rate, term and repayment type entered.
Payment after interest only
—Estimated principal-and-interest payment after the interest-only period ends.
Income buffer now / higher rate
—Available yearly income divided by estimated yearly loan costs, shown at the entered rate and again at the rate plus the safety buffer.
Loan % / your contribution
—Loan divided by property value, plus the difference between the property value and loan.
Estimated cash needed
—Your contribution plus transfer duty and the other transaction costs entered.
Main limiting factor
—Shows whether property value or income produces the lower planning limit.
Income and repayment check
Things to check for this property
Property value, contribution and costs
Settings used in this result
Next useful check
A relevant guide will appear here after calculation.
Would you like this checked against the real transaction?
The optional review form sends the property type, business or tenant type, key settings and result summary securely to Rate Challenge. It does not create a lender application or credit enquiry.
No sign-up is required to calculate, view or print the result.
The loan is tested against both property value and available income.
The calculator works out a property-value limit and an income-based limit. It then shows the lower of the two as the more cautious planning figure.
Net rent and income buffer
Net rental income is rent after the vacancy allowance and property costs paid by the owner. The income buffer result compares available income with the estimated yearly loan cost.
Loan percentage and contribution
The loan percentage is the loan divided by the property value. If a lender values the property lower than expected, the percentage rises and more cash may be needed.
Property and business details
The same building can present different risks depending on its use, tenant or operator, approvals, major future costs and demand from other buyers or tenants.
How does the property type change the calculator?
It changes the suggested loan-percentage range, vacancy allowance, income buffer target and the items shown for review. All suggested figures remain editable.
Does the suggested loan percentage mean a lender will offer it?
No. It is a planning starting point only. The actual loan depends on the borrower, property, valuation, lease, purpose, lender and supporting information.
Why are property type and business type separate?
An office used by a medical practice can have different income and operating risks from the same office used by an accounting firm. The property and the income source both matter.
What is the difference between the two income checks?
The full repayment check compares yearly income with principal-and-interest repayments. The interest-only check compares yearly income with interest only. Lenders may call these DSCR and ICR.
How does the calculator treat premises used by my own business?
Tenant rent is not counted in the income test. The business cash field is used as a simplified planning input and does not replace financial statements or a lender assessment.
How do I estimate transfer duty?
Select the state or territory, open the official government calculator or guidance page, complete its questions, then enter the estimate in this calculator. Duty is not calculated inside the Rate Challenge tool.
Can I model a refinance or equity release?
Yes. Choose refinance or equity release as the transaction. Transfer duty is not included by default, and you can enter the legal, lender, valuation and other costs that apply.
Will using the calculator affect my credit score?
No. The calculator does not lodge a credit application or create a credit enquiry. A credit enquiry occurs only if a formal application is later lodged with a lender.
Use the result to ask better questions before a contract or refinance deadline.
Rate Challenge can review the borrower, property, lease, business or tenant, valuation, supporting information and loan structure together. The calculator remains general until the actual transaction is assessed.