To inform development of a model for health-related quality of life (HRQoL) in people with psychotic disorders, we aimed to assess correlations between utilities and dimension scores for the Assessment of Quality of Life (AQoL)-4D with functioning and social experiences; ascertain if patient housing and clinical status affected correlations; and determine aspects of functioning that jointly predict HRQoL. We analyzed data for 1642 people with an ICD-10 psychotic disorder from the 2010 Australian National Survey of Psychosis. Global functioning was measured with the Personal and Social Performance scale, independent functioning with the Multidimensional Scale of Independent Functioning and social functioning through level of social dysfunction. Social experiences comprised perceived loneliness and experienced stigma. We assessed Spearman’s rank correlation coefficients and undertook linear regression analyses. Moderate associations were found between AQoL-4D utilities and all variables, except experienced stigma. Perceived loneliness had the strongest association. The AQoL-4D social relationships dimension was most strongly associated with social variables; its independent living dimension with global and independent functioning. Correlations between utilities and all variables, except for social dysfunction, were modified by housing. Course of disorder impacted correlations with utilities and independent functioning. Global functioning and social dysfunction were found to jointly predict HRQoL. In conclusion, as the AQoL-4D can differentiate between functioning and social experiences individually and when categorized by housing and clinical status in people with psychosis, predictive models of HRQoL in this population are feasible, and only need include select aspects of functioning and social experiences, particularly perception of loneliness.