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Here are four criteria that can vary between banks:

• Test Rates
  Test rates are used by banks to determine whether you would be able to pay your mortgage if interest rates potentially increased and these test rates can vary between banks. Sometimes the variation might be less than 0.5% but it can make a substantial difference. The higher the test rate, the less you can borrow.
• The CCCFA and Expenses
  The Credit Contracts and Consumer Finance Act (the CCCFA) is in place so that lenders have to act responsibly to prevent consumers amassing debts that they can’t pay back. In order to do this they will take a look through all your expenses to see where it is going. Do you spend a lot on ‘buy now pay later’ schemes? Is a large proportion of your money going on child support? How specific expenses are treated varies from bank to bank, resulting in different amounts being lent. Around three months before you apply for a loan it can be a good idea to cut back on unnecessary spending like unused subscriptions and live as you would if your loan was approved.Banks might also determine living costs differently. For example, one bank might consider a family of three’s living expenses to be $2700 a month, whereas another might think it’s $2000 and another will ask for your actual living expenses.
• Over 80% Lending
  Low equity lending (for those with a deposit less than 20%) requirements and the servicing requirements differ between lenders and they can cost or save you thousands.
• Employment
  Having stable employment and income is the most favourable for banks, but how they view those who are self employed, contractors or business owners can vary so it’s worth bearing this in mind.

In conclusion, it’s essential to reach out to a Mortgage Adviser who can help determine the best lending amount to meet your financial goals.