Example methods and systems for capability-aware service request distribution are described. In one example, a network element may obtain a set of capability information associated with multiple load balancers capable of service request handling and identify varying capability levels among the multiple load balancers. The network element may assign unequal path cost information to the multiple load balancers to indicate the varying capability levels. The unequal path cost information may include (a) a first path cost that is assigned to the first load balancer; and (b) a second path cost that is assigned to the second load balancer and different to the first path cost to indicate the lower capability level of the second load balancer compared to the first load balancer. In response to detecting a service request, the service request may be steered towards one of the multiple load balancers based on the unequal path cost information.