Australian home loan calculations and comparisons

Before the internet, comparing home loans could be a very taxing and time consuming task. That's because you'd have to either visit or phone multiple branches to get home loan rate quotes and manually compare options. But with the introduction of comparison websites such as RateCity, it's takes the leg work out of the task and allows you to easily find home loans that can potentially save you thousands of dollars.

While you can compare a great range of Australian home loans online it's also important to know what you can afford to borrow. Using the home loan repayment calculator, you can also calculate your mortgage repayments, which will estimate what you can comfortably afford to borrow and pay off. All you have to do is enter how much you would like to borrow and over which period you would like to pay it back. The loans calculator then offers you a range of suitable home loans.

The RateCity home loan calculator will also let you experiment with making (regular) additional, as well as lump sum, repayments. What you will discover is that if you are in a position to make regular additional repayments, over and above the minimum required, you could slice years off the home loan and save thousands of dollars in interest.

Pay more often

Making regular extra repayments is a sure way to reduce the interest you will pay over the term of a home loan, and using the home loan calculator will show you by just how much. It’s a very useful and instructive tool.

Pay in lump sums

Lump sum payments, such as your annual tax refund or a work bonus, can also assist in reducing the additional interest you might pay over the life of the mortgage. As with regular extra repayments, the more lump sum deposits you make, the more you’ll save on interest. But not all lenders will allow lump sum payments, so it's worth checking this is a feature of a home loan before you sign up.

Calculate a shorter loan

The standard home loan term in Australia is usually 25 or 30 years. Our home loan calculator shows what you would pay in interest overall if you adjust the loan term – and you will see that by reducing the loan by 5 or 10 years, it’s possible to save thousands in interest. Be aware though that the shorter the home loan is, the higher the regular repayments will be.

To assess your current financial situation and access some of Australia's best home loans start using the home loan comparison tool and home loan repayment calculator now. Make them do the work for you!


This is an information service. By browsing on the website and/or using our search tools, you are asking RateCity to provide you with information about products from multiple financial institutions. We will try to show you a range of products in response to your request for information. The search results do not include all providers and may not compare all features relevant to you, for further details refer to our FSCG. The rating shown is only one factor to take into account when considering these products. See the rating methodology. We are not a credit provider, and in giving you product information we are not making any suggestion or recommendation to you about a particular credit product. If you decide to apply for a product, you will deal directly with a financial institution, and not with RateCity. Rates and product information should be confirmed with the relevant financial institution, and you should review the PDS before you decide to purchase. See our terms of use for further details. This advice is general and has not taken into account your objectives, financial situation or needs. Consider whether this advice is right for you.