Home Loan Repayment Calculator.
What will it actually cost you each month?
Every bank has a repayment calculator that returns one number. The number worth knowing is the second one: what an extra hundred dollars a month, or the balance that sits in your offset, actually takes off the loan. Both are below, alongside what a one-percent rate rise would do to the repayment - the question every borrower should ask before signing and most calculators leave out.
The loan
Getting ahead
Your monthly repayment
On a $600,000 loan at 5.90% over 30 years. Move the two sliders below to see what getting ahead is worth.
Total interest
$681,175
Interest saved
-
Paid off in
30y 0m
If rates rise 1%
$3,952/mo
What you actually pay over the life of the loan
How this is calculated＋
Standard monthly amortisation. The repayment is the fixed amount that clears the loan over the term at your rate; the payoff figures then run the loan month by month, charging interest on the balance less your offset and applying any extra repayment straight to principal.
- An offset shortens the term rather than the repayment - the scheduled amount does not change, so the surplus goes to principal every month. That is why a modest balance is worth years.
- Interest only keeps the balance flat for the first five years, then repays over what is left of the term - lower now, materially more interest overall. The figures above show both.
- Above 80% LVR expect LMI, which is usually capitalised onto the loan and so raises the repayment. What you really need saved works that out.
- Fees, redraw rules and rate changes over 30 years are not modelled. No 30-year projection survives contact with 30 years.
The rate in this calculator is the one you set. LINK Advance goes and gets you a real one, across 35+ lenders.
Talk to Advance →A guide only - not a quote, loan offer or credit assessment. Actual repayments depend on your lender, product, fees and rate. LINK Advance are licensed finance brokers.
Questions people ask
- How are home loan repayments calculated?
- A principal and interest repayment is the fixed monthly amount that clears the balance over the term at your rate. Early on most of it is interest, because interest is charged on what you still owe; as the balance falls the split tips toward principal, which is why extra repayments made early are worth so much more than the same money paid later.
- How much does an extra $100 a month really save?
- More than most people expect, because every dollar goes straight to principal and stops accruing interest for the rest of the loan. On a typical 30-year loan a few hundred a month can take years off the term and six figures off the total interest. Move the slider above to see it on your own numbers.
- Does an offset account reduce my repayment?
- No, and that is the point. An offset reduces the balance interest is charged on without reducing what you owe, so your scheduled repayment stays the same and the surplus goes to principal every month. It shortens the loan rather than the payment, which is why a modest average balance is worth years.
- Is an interest-only loan cheaper?
- Lower now, materially more expensive over the life of the loan. The balance does not move during the interest-only period, so the whole principal is then repaid over a shorter remaining term at a higher repayment - and you pay interest on the full amount for longer. The calculator shows both figures so it is a decision rather than a default.
While you're here
These are guides. For a number that accounts for your income, your lender and your situation, LINK Advance will run it properly - or book a discovery call.