Are you looking to buy a property or refinance your existing home loan? Understanding the impact of the serviceability buffer on your borrowing power is crucial in today’s economic climate. The Australian Prudential Regulation Authority (APRA) has set the serviceability buffer at a minimum of 3%, making it harder for borrowers to secure a mortgage. In this article, we explore what the serviceability buffer is and how it affects your borrowing power. We also provide steps you can take to navigate the changes and still achieve your property ownership dreams. Additionally, we look at APRA’s recent decision to maintain the 3% serviceability buffer amid economic uncertainty. Stay informed and empowered in your property ownership journey.