Todd PolkeInvestment Strategist l Wealth Coach l Speaker, Todd Polke · Investment Strategist l Helping Investors and Business Owners grow their Wealth Faster

What is the limit of your purchasing power? #shorts #investing #properties #buy

3 Aug 2023 · 0 min

Watch on YouTube

0:27

In this brief YouTube short, the speaker explains that a buyer's purchasing power—determined by their serviceability (ability to meet loan repayments) and available capital—sets the ceiling on the price of a property they can purchase. He emphasizes that once you decide to buy, your purchasing power directly dictates the maximum property value you can afford, linking financial capacity to real‑estate buying decisions.

If you're in a position where you can buy a property and that's something that you want to do because you have the serviceability, you have the capital to do that, then what's the maximum amount that you can buy based on your buying power and your purchasing power? So if you identified you're going to buy a property, your purchasing power dictated what's the maximum amount that you can buy. Does that make sense? Yes. The maximum value that you can buy, your purchasing power dictated that.