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Find and compare extra repayment home loans

Loan purpose

Loan amount

$

Minimum deposit

Loan term

151015202530

25 years

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Loan purpose
Loan amount
$
Deposit
Loan type
151015202530

25 years

Repayment type
Features
Specials
Fees
States
Providers

Type of lender

Online Partner

Show Online Partners Only?

We provide links to our Online Partners. If you click through to an Online Partner, you can get more product information, apply for or purchase the product and RateCity may earn a fee for referring you. This is one of the ways RateCity makes money and how we can offer our comparison service to you for free. See how we make money for more.

Product

Investment Neat Home Loan

Real Time Rating™

4.22

/ 5
Interest Rate

3.39

% p.a

Variable

Comparison Rate*

3.41

% p.a

Company
Repayment

$1,484

monthly

Features
Redraw facility
Offset Account
Borrow up to 60%
Extra Repayments
Interest Only
Owner Occupied
Real Time Rating™

4.22

/ 5
Go to site
Product

Own Home Loan Fixed

Real Time Rating™

4.06

/ 5
Interest Rate

4.69

% p.a

Fixed - 1 year

Comparison Rate*

3.78

% p.a

Company
Repayment

$1,700

monthly

Features
Redraw facility
Offset Account
Borrow up to 80%
Extra Repayments
Interest Only
Owner Occupied
Real Time Rating™

4.06

/ 5
Go to site
Product

Investment Home Loan Fixed

Real Time Rating™

4.01

/ 5
Interest Rate

4.89

% p.a

Fixed - 1 year

Comparison Rate*

3.89

% p.a

Company
Repayment

$1,735

monthly

Features
Redraw facility
Offset Account
Borrow up to 80%
Extra Repayments
Interest Only
Owner Occupied
Real Time Rating™

4.01

/ 5
Go to site
Product

Variable Rate Investment Loan – Refinance Only

Real Time Rating™

4.18

/ 5
Interest Rate

3.44

% p.a

Variable

Comparison Rate*

3.36

% p.a

Company
Repayment

$1,492

monthly

Features
Redraw facility
Offset Account
Borrow up to 80%
Extra Repayments
Interest Only
Owner Occupied
Real Time Rating™

4.18

/ 5
Go to site

special

Receive an extra 0.01% p.a. discount every year, up to a maximum discount of 0.30% p.a.
Product

Green Home Loan

Real Time Rating™

4.46

/ 5

Winner of Best Green Home Loan, RateCity Gold Awards 2022

Interest Rate

3.63

% p.a

Variable

Comparison Rate*

4.05

% p.a

Company
Repayment

$1,523

monthly

Features
Redraw facility
Offset Account
Borrow up to 90%
Extra Repayments
Interest Only
Owner Occupied
Real Time Rating™

4.46

/ 5
Go to site

Winner of Best Green Home Loan, RateCity Gold Awards 2022

Product

Owner Occupier Accelerates - Liberate (Principal and Interest)

Real Time Rating™

4.16

/ 5
Interest Rate

3.89

% p.a

Variable

Comparison Rate*

3.84

% p.a

Company
Repayment

$1,565

monthly

Features
Redraw facility
Offset Account
Borrow up to 80%
Extra Repayments
Interest Only
Owner Occupied
Real Time Rating™

4.16

/ 5
Go to site
Product

Smart Booster Home Loan Discounted Variable - 2yr

Real Time Rating™

4.17

/ 5
Interest Rate

3.60

% p.a

Intro 24 months

Comparison Rate*

3.96

% p.a

Company
Repayment

$1,584

monthly

Features
Redraw facility
Offset Account
Borrow up to 80%
Extra Repayments
Interest Only
Owner Occupied
Real Time Rating™

4.17

/ 5
Go to site
Product

Investor Accelerates - Celebrate (Principal and Interest)

Real Time Rating™

4.07

/ 5
Interest Rate

4.09

% p.a

Variable

Comparison Rate*

4.09

% p.a

Company
Repayment

$1,598

monthly

Features
Redraw facility
Offset Account
Borrow up to 60%
Extra Repayments
Interest Only
Owner Occupied
Real Time Rating™

4.07

/ 5
Go to site

Embed

The simplest way to reduce the amount of time it takes to pay off a home loan while simultaneously decreasing the total amount paid over the life of the loan is by making extra repayments. Most home loan providers offer the ability to make extra repayments on a home loan. However, many come with restrictions as to the extra amount you can pay or are only attached to variable interest rate home loans.

It is always important to compare home loans and check the extra fees or charges and the restrictions before agreeing to take up the home loan.

How do extra repayments work?

Making extra repayments means paying more funds into your home loan account than the minimal repayments stipulated by your home loan provider. This is the easiest way to reduce interest paid on the loan and is often recommended as the most financially responsible if you have disposable cash in your savings account. Extra repayments can be made in irregular lump sum amounts or regular amounts above the minimum monthly repayment. How you proceed will depend on your personal financial position and what your home loan provider allows.

Do all home loans have the facility to make extra repayments?

The ability to make extra repayments mostly goes hand in hand with some variable interest rate home loans. In saying this, several providers do have fixed interest rate home loans but they often come with extra fees, charges or increased interest rates. They may also come with restrictions, with only a limited amount of extra repayments being allowed per year.

It is always important to weigh up via a mortgage calculator whether it would be more beneficial for you to make extra repayments or to have added expenses on the loan. Plus, home loan providers may also remove other payment options to include the extra repayment option on fixed interest and variable interest loans. Some features, such as, redraw facility or offset accounts may not be available to you.

Why should I make extra repayments?

Even if it just an extra $50 a month, putting extra repayments into a home loan is the best way to save money in the long term and reduce the life of the home loan. Also, having the home loan paid off sooner decreases the financial burden of retirement. Making the effort to arrange extra repayments into a home loan may also promote budgeting behaviours in all parts of your life, making your financial position better overall.

Are there fees and charges for making extra repayments?

Your chosen home loan provider should specify any additional fees and charges for making extra repayments. Many variable interest rate loans or fixed rate loans with higher rates of interest will offer the service without the added cost as an incentive. Many providers also have restrictions on the amount you can repay over the minimum amount, and if you go over this you may be charged.

Also, watch out for early repayment fees and early exit fees if you end up paying before you need to or if you terminate your home loan early by paying off the balance.

This article was reviewed by Personal Finance Editor Mark Bristow before it was published as part of RateCity's Fact Check process.

What are extra repayments?

Additional payments to your home loan above the minimum monthly instalments, which can help to reduce the loan’s term and remaining payable interest.

How do you compare home loans?

To compare home loans, you can assess the components of the loan against your own financial situation and other mortgages in the market.

Look at the interest rate, rate type (fixed or variable), loan fees, features, loan term, repayment frequency and more to find a home loan that fits with your budget and property goals.

Then, use comparison tools like comparison tables, calculators, or RateCity's Real Time RatingsTM to create a short list of home loan options, and decide which home loan best suits your needs.

What is a mortgage rate?

The interest rate on a home loan is sometimes called the mortgage rate. This percentage indicates how much interest the lender will charge you with each home loan repayment. Your interest rate is effectively the “cost” of “buying” the money you’re using to buy a property – the higher your mortgage rate, the more your home loan repayments may cost.

Using a home loan calculator, you can estimate how much your home loan repayments may cost, based on your mortgage rate, loan term, and loan amount. This may also be affected by whether you’re making principal and interest repayments or interest-only repayments, if you have a fixed rate or variable rate mortgage, and any fees and other charges that may apply.

What is a home loan?

A home loan is a finance product that allows a home buyer to borrow a large sum of money from a lender for the purchase of a residential property. The home is then put up as "security" or "collateral" on the loan, giving the lender the right to repossess the property in the case that the borrower fails to repay their loan.

Once you take out a home loan, you'll need to repay the amount borrowed, plus interest, in regular instalments over a predetermined period of time.

The interest you're charged on each mortgage repayment is based on your remaining loan amount, also known as your loan principal. The rate at which interest is charged on your home loan principal is expressed as a percentage.

Different home loan products charge different interest rates and fees, and offer a range of different features to suit a variety of buyers’ needs.

How do you find cheap home loans?

With so many interest rate options and repayment types available, finding the cheapest home loan may depend on the type of loan you choose.

Whether you’re looking for an owner-occupier or investor loan, with interest-only or principal and interest repayments, on a fixed or variable interest rate, the cheapest home loan rate available may vary greatly.

One way to find the cheapest option for you is to narrow down your search and compare the options that best suit your individual requirements. RateCity’s home loan comparison tables can help you get started on your search and take the hassle out of shopping around.

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