From michaelwest.com.au: Commonwealth Bank will disregard certain student debts, specifically HECS-HELP debts, when assessing mortgage applications for borrowers expected to pay off their debts within 12 months.

This change aims to enhance borrowing capacity, potentially allowing couples earning $140,000 to borrow an additional $36,000, while those earning $240,000 could access up to $187,000 more.

The adjustment comes amid rising home values, which have increased by approximately $230,000 over the past five years, making it more challenging for first-time buyers to enter the housing market.