Mortgage Repayment Calculator
Buying a home or refinancing an existing project is a long-term strategy and culmination of months or even years of saving and planning. A progressive and exciting step in the process is investigating your borrowing power. Using a mortgage repayment calculator, you can find out how much your repayments will be and the amount of interest you will pay during the loan repayment time-frame.
Important Disclaimer: This is intended as a guide only. Details of terms and conditions, interest rates, fees and charges are available upon application. Mortgage House’s prevailing credit criteria apply. Please note that your actual fortnightly repayment would be equal to the monthly repayment amount divided by two. Weekly repayments would equal the monthly repayment amount divided by four. If you choose to pay fortnightly or weekly, your actual repayments will be higher than repayments shown on this page. You can reduce the term of your loan if you choose to make repayments fortnightly or weekly. We recommend you seek independent legal and financial advice before proceeding with any loan.
What Other Home Loan Calculators Are Available?
The Mortgage Repayment Calculator Australia above shows you exactly where you stand financially in relation to your potential investment. The calculator doesn’t lie, providing a realistic appraisal for every purchaser, from first home buyers to seasoned investors. Mortgage House supports products that create a level playing field for all home buyers, with the mortgage repayment calculator an important strategic component. Please note, the home loan calculator has two options:
- Mortgage Repayment Calculator Interest Only
- Mortgage Repayment Calculator Interest + Principle
Our ‘Top 5’ additional home loan calculators we recommend using are:
The borrowing power calculator is the most popular Mortgage House feature. You can find out how much you can borrow and associated graph based on ten factors. You can adjust any of these borrowing power calculator details to see the impact on the total monthly repayments and borrowing volume. It’s important when using the borrowing power calculator to have the correct figures such as your income to ensure the borrowing number is correct,
Find the best mortgage rate for you based on your estimate property value, loan amount, type and choice of fixed or variable rate. You can then see all of the Mortgage House home loans available and their interest rate, annual fe, comparison rate and repayments.
Stamp duty can be a ‘hidden cost’ of buying a home that needs to be calculated before you put in that offer. This calculator help calculate this amount based on the location of the property, use, type, value and if your a first home buyer. Not only will you see the total estimate but you can also see a breakdown of the costs using this stamp duty calculator
If your thinking of switching to Mortgage House or changing the home loan mortgage product you have, this calculator is for you. It works by calculating your current property value (estimate), loan amount, period and repayment frequency. Any termination fees can also be added. The end result will be a summary of how much you will save by switching your home loan.
The comparison is shown in the bottom right table
The budget can help guide you to save towards a home loan deposit or help manage your finances to make home loan repayments. The calculator breaks down your budget by week or month and helps you re-allocate expenditure to discover more funds.
What information does a loan repayment calculator give me?
A loan (mortgage) repayment calculator will give you information that frames purchasing decisions. It will also provide insight into managing a mortgage and overcoming obstacles. A degree of honest self-appraisal is required, as the ability to make regular repayments without suffering undue financial hardship is essential. The calculator is an impressive guideline tool that provides an overview of payments during the entire lifetime of the loan, helping borrowers to plan and adjust financial arrangements along the way.
Initially, a loan or mortgage repayment calculator can help you understand important considerations:
- How much can I afford to repay?
- How much will a bank or lender allow me to borrow?
- Do I have sufficient savings for a house deposit?
- How much will the government help improve my borrowing power?
For established home owners and investors, the mortgage repayment calculator can guide ongoing decisions related to managing and paying off the mortgage. Considerations include:
- Should I review the mortgage and investigate possible savings?
- Is it a good time to refinance the loan?
- Should I top up the loan?
- Do I need loan insurance?
What difference do fortnightly mortgage repayments make?
The Mortgage House repayments calculator provides the option to factor in weekly, fortnightly or monthly payments. The savings achieved by making more regular repayments add up over time, allowing you to pay off the loan sooner. Your repayment schedule will impact the loan in several ways, including:
- How much regular repayments will be
- How long it will take to pay off your loan
- How much you will pay overall
To put things simply, if your repayments are fortnightly instead of monthly, you will pay off your loan sooner. For example, making monthly payments of $1000 adds up to $12000 a year in repayments. Fortnightly payments of $500 (half the monthly payment) on the other hand, add up to $13000 per year ($500 x 26 repayments).
The savings may seem minor initially, but they add up dramatically over the course of a 30- year loan. The Mortgage House repayment calculator will show you exactly what impact fortnightly repayments make. By paying your mortgage sooner, you are lowering interest repayments and paying off more of the principal loan amount, potentially saving a lot of money.
The Latest Mortgage Repayment Articles
Can a repayment calculator be used for all different home loan options?
The options available on the Mortgage House repayment calculator allow you to hone in on the loan that suits your needs. You can focus on fixed interest rates that can be locked in, usually for between 1 and 10 years, or choose variable rate loans where interest rates fluctuate in keeping with broader financial markets. Influences include the Reserve Bank’s official cash rate and the impact of inflation.
You will also need to consider the cost of refinancing your loan with your bank or lender, should you choose to do so. Moving from fixed interest to variable interest rates, or visa versa, can result in a fee, sometimes making refinancing a cost-prohibitive move. Adjustments to your repayment schedule can at times be made without paying additional fees, as long as your contractual obligations are upheld.
The repayment calculator factors in the results of variable rate changes. Simply by increasing or decreasing the interest rate tab on the calculator, you will notice the repayment amounts changing. This is handy for any savvy purchaser who needs to know exactly what their regular repayments will be. Considerations include the amount you can afford interest rates to climb before it puts a strain on your budget. The Mortgage House repayment calculator provides all the information required for identifying different loan repayment scenarios of principal and interest loans, and interest-only loans, suitable for all purchasers.
What if I make extra repayments?
For those who can afford it, effective debt management includes making extra loan repayments. Household debt and income levels remain at historical highs, so lowering overall debt while finances are in good shape makes sense. When investigated minutely, we understand that every dollar owed to a bank or lender is accruing monthly interest. The impact of compound interest means that any extra money you use to pay off your debt now will continue to save you interest for the life of your loan. In other words, your loan will be paid off sooner, as shown in the chart below:
Your investment will ultimately double as capital savings in time. Making an additional lump sum payment will immediately improve your overall financial position for two major reasons:
- Interest rates for loans are higher than savings interest rates.
- Using the money for loan repayments means you are not being taxed on savings interest.
If you are paying off a mortgage but also have money saved, there is a way your savings and offset accounts can work for you by lowering home loan interest repayments.
Mortgage repayment calculators don’t generally take extra payments into consideration. The fine details are best worked out in consultation with your lender.
The Mortgage House repayment calculator gives you the opportunity to examine information in isolation, compare various factors, and check the financial benefits for you when entering into different types of loan agreements. With the clear advice you can make calculated decisions, and with Mortgage House on your side, the future looks bright.
Are there other ways I can save on my loan?
The mortgage repayment calculator will help you ascertain your financial position and borrowing power. It’s worth also considering additional strategies that will ultimately save you money. Here are just a few examples.
Pay fees and charges up front: During the loan process, you will encounter establishment fees, legal fees and possibly lenders mortgage insurance. Paying all fees and charges at the outset rather than factoring them into your loan can save thousands of dollars over the lifetime of the loan.
Investigate loans that offer features without charge: Banks and lenders offer all types of products, including loans that charge a fee for making redraws and extra repayments. It can also cost you to switch rates between fixed and variable and make other adjustments. It’s worth finding a loan that doesn’t charge fees for the services you are likely to use.
Negotiate for additional savings: To the surprise of many people, it’s still possible to negotiate with banks and lenders for getting a better deal on interest rates and fees. Mortgage House can help you focus on areas where you can save, with establishment fees and interest rates a good place to start.
Cut back on expenditure: Although not directly linked to your mortgage product, financial habits that include impulsive buying and unnecessary purchases can put a strain on finances. Simple lifestyle changes that leave money in your wallet will help take the weight off loan repayments.
Consider looking beyond the bigger banks: Contrary to popular opinion, the big banks don’t always offer the best deals. Smaller banks and lenders form a significant percentage of the market, with enough influence and resources to drive tempting offers.
Align repayments with your income stream: Apart from ensuring you don’t miss payments and incur penalties, you will be able to take advantage of money that sits in your account for as long as possible.
Don’t lower repayments to match falling interest rates: Although it’s tempting to lower repayments on occasion, keeping repayments at the usual level will shave a substantial amount of the principal off your loan. If rates continue to drop, even more savings will be noticed.
At Mortgage House, we offer home loan options that don’t penalise you. In today’s fast-changing world, flexibility is just another way to keep up with the times, so we provide loan products that are adaptable for every type of customer. Our mortgage repayment calculator is just the start, providing a clear picture and facilitating sound financial decisions. From the time you take out a loan until you are debt free, Mortgage House is on your side to provide the best deals possible.