How much did the September 2026 rate hike reduce home loan qualifying amounts?
The South African Reserve Bank raised the repo rate by 25 basis points to 7.25% on 23 September 2026, taking prime to 10.75% from 10.50%, effective 25 September 2026. Banks generally cap a bond instalment at around 30% of an applicant's gross monthly income, so the same instalment now supports a smaller loan than it did before the hike. On a R 30 000 gross monthly income over a 20-year term, bond.co.za calculated that the maximum qualifying bond fell from R 901 460 to R 886 500 — about R 14 961 less, as at 25 September 2026.
How much home loan can you get on a R60,000 salary now?
At 10.75% prime over 20 years, a R 60 000 gross monthly income supports a maximum bond of about R 1 772 999 under the 30%-of-income rule, a bond.co.za calculation using the SARB rates effective 25 September 2026. Before the hike, at 10.50%, the same salary supported about R 1 802 921 — a drop of roughly R 29 922. Existing debt, other monthly expenses and the bank's own credit assessment can move the real number up or down.
How much must you earn to qualify for a R2 million bond at 10.75% prime?
Working backwards from the 30%-of-income rule, a R 2 000 000 bond over 20 years at 10.75% prime needs a gross monthly income of about R 67 682, up from about R 66 559 at 10.50% before the hike — roughly R 1 123 more income required for the same bond size (bond.co.za calculation, 25 September 2026). This assumes no other debt; real affordability assessments also weigh existing expenses and credit record.
How much less can you borrow at each income level?
The table below is bond.co.za's own calculation of the maximum qualifying bond at the 30%-of-income rule, over 20 years, before and after the September 2026 hike, as at 25 September 2026.
| Gross monthly income | Max instalment (30%) | Bond at 10.50% | Bond at 10.75% | Less borrowing power |
|---|---|---|---|---|
| R 20 000 | R 6 000 | R 600 974 | R 591 000 | R 9 974 |
| R 30 000 | R 9 000 | R 901 460 | R 886 500 | R 14 961 |
| R 50 000 | R 15 000 | R 1 502 434 | R 1 477 499 | R 24 935 |
| R 75 000 | R 22 500 | R 2 253 651 | R 2 216 249 | R 37 402 |
| R 100 000 | R 30 000 | R 3 004 868 | R 2 954 998 | R 49 870 |
Why does a higher interest rate reduce how much you can borrow?
A bank sizes your bond by working backwards from the maximum instalment it will approve, using the interest rate on offer and the loan term. At a higher rate, more of each monthly instalment goes toward interest and less toward the loan principal, so the same instalment cap supports a smaller loan amount. The instalment cap itself does not change when rates move — only the loan size it can carry. Use bond.co.za's home loan affordability calculator to see this worked through for your own income and expenses.
Will my own qualifying amount match these figures?
Probably not exactly. These figures assume no existing debt and no deposit, applied evenly across the 30%-of-income rule of thumb. Your own qualifying amount also depends on your expenses, existing debt, deposit, credit record and the term and rate a specific bank offers you — see bond.co.za's how much home loan can I get guide for the full list of factors. The SARB's next decision is on 2026-11-19; no outcome is forecast here.
Rates: SARB, re-verified 2026-09-23. Loan amounts: bond.co.za calculation, 20-year term, 30%-of-gross-income instalment cap, interest compounded monthly, as at 25 September 2026. Last verified: 2026-09-29.