Quickly and easily calculate home loan repayments based on loan amount, loan term and interest rate. Both principal and interest repayments are included in the estimate of the loan repayment calculator.

Estimate your repayments

Interest rate and interest repayments

The home loan repayment calculator estimates your repayments based on the interest rate you enter, however, interest rates change over time and affect your repayment amount.

When estimating your loan repayments you should give yourself a little wriggle room in case interest rates increase in the future. You can always make additional repayments on eligible home loans to bring down the loan balance and reduce the loan term and interest payable.

Reducing your interest repayments

Principal and interest repayments are both included in the loan repayment calculator. There are many ways you can reduce the interest repayments component of your loan which can potentially save you thousands over the life of the loan and help you pay off the loan sooner.

You only pay interest on the balance of the loan, whether it is a fixed or variable loan. You can bring down the loan balance by making extra repayments, a lump sum payment or by using an offset account.

An offset account is an everyday bank account linked to your home loan. Generally offset accounts are only available with variable rate loans. Northern Inland Credit Union offers a fixed rate loan with an offset account. Contact us to arrange an appointment with a Lending Specialist to discuss further.

When interest rates rise

With a variable interest rate loan, increases to the interest rate may increase your minimum repayments to keep the loan within its original term. Interest rate increases can also increase other expenses. If the cost of living also increases then you could find yourself in mortgage stress if your budget is already tight.

Fixed rate loans can provide you with protection from interest rate rises increasing your regular loan repayments (during the fixed period) compared to variable rate home loans. For a full comparison of loan types, see our fixed vs variable interest home loans article.

Additional home loan costs

In addition to principal and interest repayments, a home loan may also consist of account fees. When banks and credit unions advertise interest rates they must also advertise the 'comparison rate' which includes any associated home loan keeping fees.

Not included in the comparison rate are other fees such as early repayment fees or redraw fees. When calculating your home loan repayments, it's important to factor in these potential fees.

This article is general in nature and does not constitute personal advice. Consider your circumstances and read terms and conditions and Target Market Determination, before making a decision. Always speak with your accountant and/or financial planner for personal advice which is tailored to your circumstances.