Introduction
This home loan repayment calculator shows what your mortgage will cost. Type in your loan amount, interest rate, and loan term. You will see your repayment right away: weekly, fortnightly, or monthly.
You can also test different choices. Add extra repayments, an offset account, or one or more lump sums, and see how much interest you save and how much sooner your loan ends. Pick principal and interest or interest only, and choose an owner-occupied or investment loan. If you have a split loan with a blended rate, you can enter the fixed portion and its rate, and the rest of the loan is treated as variable.
The results include a chart of your loan balance over time, a full year-by-year table, and a "what if rates change" tool that shows how a rate rise or cut would change your repayment. There is also an affordability meter that compares your repayment to your income, plus a step-by-step section that shows the math behind every number.
All amounts are estimates to help you plan. Your real repayment may differ once fees, rate changes, and lender rules are added.
How to use our CBA Home Loan Repayment Calculator
Enter your loan amount, term, interest rate and repayment choices. The calculator shows your repayment, total interest, total repayments, your loan end date and a full year-by-year schedule.
Loan amount: Type how much you want to borrow, or drag the slider. If you are buying, this is usually the price of the home minus your deposit.
Loan term: Enter how many years you want to pay the loan off, up to 30 years. A longer term means smaller repayments but more interest.3
Annual interest rate: Enter the rate your lender charges each year, like 6.14%.
Comparison rate: Enter the rate that includes most fees, if you know it. Leave it blank to hide it.
Loan purpose: Pick Owner-occupied if you will live in the home, or Investment if you will rent it out.
Repayment type: Pick Principal & interest to pay down the loan, or Interest only to pay just the interest for a while.
Interest only period: If you chose Interest only, pick how many years it lasts. The calculator then shows the higher repayment that starts after it ends.
Repayment frequency: Choose Monthly, Fortnightly or Weekly to match your pay cycle.
Extra repayment: Enter any extra money you can pay each period. The calculator shows the interest you save and how much sooner you finish.
Average offset balance: Enter the usual amount you keep in your offset account. This money cuts the interest you are charged.
Lump sum amount: Enter a one-off payment you plan to make, such as a bonus or tax refund. Click Add Another Lump Sum to add more, up to 12 in all, each with its own year.
Paid after: Enter how many years from now you will make that lump sum payment.
Split loan switch: Turn this on if part of your loan is fixed and part is variable.
Fixed rate portion: Enter the dollar amount on the fixed rate. The rest is treated as variable.
Fixed rate, fixed period and variable rate: Enter the fixed rate, how many years it is locked in, and the variable rate that applies after.
Interest rate change buttons: Tap a rate move, like +0.50%, to see how much your repayment would go up or down.
Graph view and Table view: Switch between the balance chart and the year-by-year table of principal, interest and closing balance.
Gross monthly income: Pick your income before tax. The meter shows what share of your income the required repayment takes, not counting extra repayments. On an interest only loan it uses the higher repayment that starts after the interest only period.
Calculate and Reset: Press Calculate to update the results, or Reset to start again.
Home Loan Repayments Explained
A home loan repayment is the set amount you pay your lender each week, fortnight or month. On a principal and interest loan, every payment is split into two parts: principal (the money you borrowed) and interest (the fee the bank charges you to borrow it).3 Early on, most of your payment goes to interest.2 Later, more of it goes to principal, and your balance drops faster.
What Changes Your Repayment Amount
- Loan amount: A bigger loan means a bigger repayment.
- Interest rate: Even a 0.25% move can change your payment by a lot over 30 years.
- Loan term: A longer term lowers each payment but costs more interest in total.3
- Repayment type: Principal and interest pays the loan off. Interest only does not.3
Principal and Interest vs Interest Only
With principal and interest (P&I), your balance shrinks with every payment, so the loan ends on time. With interest only (IO), you pay just the interest for a set period, usually 1 to 5 years. Your payments are smaller, but the balance stays the same. When the IO period ends, payments jump, because you must repay the whole loan in less time.4 If you are an investor, IO could also mean higher tax deductions on an investment property.4
Owner-Occupied vs Investment Loans
An owner-occupied loan is for the home you live in. An investment loan is for a property you rent out. Lenders in Australia usually charge a higher rate on investment loans because they see them as riskier.
Repayment Frequency
You can pay monthly, fortnightly or weekly. Splitting your payment into smaller, more frequent chunks can help you match your pay cycle. If you pay half your monthly amount every fortnight, you end up making the equal of an extra monthly repayment each year, because a year has 26 fortnights.2 That is 13 monthly payments a year instead of 12, which pays the loan off sooner.
Ways to Pay Less Interest
- Extra repayments: Any money above your set payment helps you pay off your loan faster and cuts the interest you pay. Check with your lender that extra repayments are allowed and whether any fees apply.2
- Offset account: Money in this account is subtracted from your loan balance before interest is worked out.2 Keep $20,000 in offset on a $450,000 loan and you only pay interest on $430,000.
- Lump sum: A one-off payment, such as a bonus or tax refund, cuts the balance right away, so you pay less interest over the life of the loan.2
Comparison Rate
The interest rate alone does not show the full cost. A comparison rate rolls the interest rate plus most standard fees into one number, so you can compare loans fairly.1 Always check both.
How Much Can You Afford?
A common guide is to keep home loan repayments under 28% of your gross monthly income. Between 28% and 35% is tight. Paying more than 30% of household income in mortgage repayments and other housing costs is often described as mortgage stress.5 Above 35% leaves little room if rates rise or your income drops. Most Australian home loans are variable rate, so your repayment can go up. To give yourself some breathing room, check what your repayment would be if rates went up by 3%.3
Split Loans
A split loan puts part of your debt on a fixed rate and part on a variable rate. The fixed part keeps your payment steady for a set number of years.3 The variable part often lets you make extra repayments and may let you use an offset account. It is a middle path between safety and freedom. Also consider your loan-to-value ratio, since it affects the rate you are offered and whether lenders mortgage insurance applies.
These figures are estimates only. Your lender's actual rate, fees and approval terms may differ.