Reduce Home Loans home loan repayment calculator

Thinking about taking out a home loan with Reduce Home Loans? Use our home loan calculator to see how much you’d have to repay under different borrowing scenarios. You can also see how Reduce Home Loans home loans compare with other options.

I am an

With a repayment type

Borrow amount

$

Deposit amount %

Loan term

Your estimated repayments

at interest rate 1.77 %

Total interest payable

$0

Total amount payable

$0

Pros and cons

  • Low interest rates.
  • Flexible loan options.
  • Loans are suitable to borrowers with smaller deposits.
  • Some loans have low fees.
  • No branch access.
  • Loans have application fees.

Reduce Home Loans home loans rates

Product
Advertised Rate
Total estimated upfront fees
Comparison Rate*
Ongoing fee
Go to site
Company

1.77%

Variable

$890

1.83%

$0
Reduce Home Loans
More details

1.99%

Variable

$890

2.05%

$0
Reduce Home Loans
More details

1.99%

Variable

$580

2.06%

$0
Reduce Home Loans
More details

2.19%

Variable

$697

2.24%

$0
Reduce Home Loans
More details

2.19%

Variable

$697

2.24%

$0
Reduce Home Loans
More details

2.19%

Variable

$697

2.24%

$0
Reduce Home Loans
More details

2.19%

Variable

$697

2.24%

$0
Reduce Home Loans
More details

2.29%

Variable

$580

2.35%

$0
Reduce Home Loans
More details

2.29%

Variable

$580

2.36%

$0
Reduce Home Loans
More details

2.29%

Variable

$697

2.36%

$0
Reduce Home Loans
More details

2.29%

Variable

$580

2.36%

$0
Reduce Home Loans
More details

2.45%

Variable

$150

2.48%

$0
Reduce Home Loans
More details

2.49%

Variable

$150

2.51%

$0
Reduce Home Loans
More details

2.49%

Variable

$697

2.54%

$0
Reduce Home Loans
More details

2.49%

Variable

$697

2.54%

$0
Reduce Home Loans
More details

2.49%

Variable

$697

2.54%

$0
Reduce Home Loans
More details

2.49%

Variable

$697

2.54%

$0
Reduce Home Loans
More details

2.55%

Variable

$150

2.55%

$0
Reduce Home Loans
More details

2.49%

Variable

$580

2.56%

$0
Reduce Home Loans
More details

1.99%

Fixed - 3 years

$697

2.61%

$0
Reduce Home Loans
More details

2.59%

Variable

$697

2.64%

$0
Reduce Home Loans
More details

1.94%

Fixed - 2 years

$150

2.65%

$0
Reduce Home Loans
More details

2.59%

Variable

$580

2.65%

$0
Reduce Home Loans
More details

2.59%

Variable

$580

2.66%

$0
Reduce Home Loans
More details

2.69%

Variable

$697

2.69%

$0
Reduce Home Loans
More details

1.94%

Fixed - 1 year

$150

2.71%

$0
Reduce Home Loans
More details

2.69%

Variable

$580

2.76%

$0
Reduce Home Loans
More details

2.79%

Variable

$0

2.79%

$0
Reduce Home Loans
More details

2.79%

Variable

$1170

2.86%

$0
Reduce Home Loans
More details

2.89%

Variable

$150

2.92%

$0
Reduce Home Loans
More details

2.89%

Variable

$1170

2.96%

$0
Reduce Home Loans
More details

2.36%

Fixed - 3 years

$697

2.99%

$0
Reduce Home Loans
More details

2.99%

Variable

$150

3.02%

$0
Reduce Home Loans
More details

2.99%

Variable

$697

3.04%

$0
Reduce Home Loans
More details

2.99%

Variable

$580

3.05%

$0
Reduce Home Loans
More details

2.37%

Fixed - 2 years

$697

3.06%

$0
Reduce Home Loans
More details

2.37%

Fixed - 1 year

$697

3.09%

$0
Reduce Home Loans
More details

3.09%

Variable

$697

3.09%

$0
Reduce Home Loans
More details

3.09%

Variable

$697

3.14%

$0
Reduce Home Loans
More details

3.09%

Variable

$697

3.14%

$0
Reduce Home Loans
More details

3.14%

Variable

$250

3.14%

$0
Reduce Home Loans
More details

3.19%

Variable

$0

3.19%

$0
Reduce Home Loans
More details

3.24%

Variable

$697

3.24%

$0
Reduce Home Loans
More details

2.57%

Fixed - 2 years

$697

3.26%

$0
Reduce Home Loans
More details

2.57%

Fixed - 3 years

$697

3.26%

$0
Reduce Home Loans
More details

2.57%

Fixed - 1 year

$697

3.33%

$0
Reduce Home Loans
More details

3.34%

Variable

$697

3.34%

$0
Reduce Home Loans
More details

3.49%

Variable

$697

3.49%

$0
Reduce Home Loans
More details

Reduce Home Loans customer service

As Reduce Home Loans is an online-only lender, customers won’t have access to bricks and mortar branches. Customers can contact Reduce Home Loans by calling the customer contact centre, emailing the bank directly or by filling out an online enquiry form. Home loan applicants will be assigned a personal finance manager who will guide them through the process all the way to settlement. Customers are also able to chat with a support representative through the Reduce Home Loans website.

  • Customer service (phone, email)
  • Live Chat
  • Mobile banking staff

How to Apply

Borrowers wanting to apply for a Reduce Home Loan can either complete a loan enquiry form online or call customer support for assistance with the application. Before applying for a Reduce Home Loans home loan, think about what you can afford to borrow and what other costs you need to consider. To apply for a Reduce home loan, you will need to supply the following information:

  • Personal identification material.
  • Proof of income and employment.
  • Information regarding your current debts, liabilities and assets.

About Reduce Home Loans

Reduce Home Loans offers home loans for the following types of borrowers:

  • First home buyers
  • Upgraders
  • Investors
  • Refinancers
  • Renovators
  • Self-employed (low-doc loans)

There are a variety of interest rates options available to Reduce Home Loan customers:

  • Variable interest rates
  • Fixed interest rates
  • Principal-and-interest home loans
  • Interest-only home loans
  • Split loans

Reduce Home Loans has several mortgages that would suit borrowers with small deposits, and also offers the ability for parents to sign on as guarantors.

Unlike the big banks that lend out extremely high amounts to eligible customers, Reduce Home Loans has set maximum amounts for its home loans. Several products require loans to be between $50,000 and $2,000,000.

With mortgage terms of up to 30 years, customers can make repayments weekly, fortnightly or monthly.

Reduce Home Loans allows extra repayments to be made without penalty and many of its products come with offset accounts. All mortgages come with redraw facilities, although varying fees apply.

Reduce home loan rates

Like the name suggests, this home loan lender is about “reducing” home loans. Overall, Reduce Home Loan interest rates are very low to moderately low compared to other lenders in Australia.

When it comes to owner-occupiers paying principal and interest as well as interest-only, Reduce Home Loans offer very low to moderately low interest rates.  

Reduce Home Loans investor loans are also at the lower end of the home loan market in Australia. Its principal and interest investor loans are very low, while Reduce Home Loan investor interest-only mortgages are moderately low.

When it comes to fees, there are varying costs, depending on what Reduce Home Loans product a customer chooses. Overall, their upfront fees are moderately high, however the ongoing fees are generally very low.

Reduce Home Loans review

Reduce Home Loans is up against the big banks that offer face-to-face customer service at branches and a much wider variety of financial services. It keeps its interest rates low to stay competitive, with Reduce Home Loan business primarily coming from customers comparing home loan rates online and looking for the best deal for them.

With its simple online model, Reduce Home Loans can service customers anywhere in Australia. Although most of its business is done online, Reduce Home Loans customers can make phone calls to the customer service centre.

Reduce Home Loans has streamlined its application and approval process for home loans, so compared to many of its competitors, it’s straightforward and quick. Customers are assigned a personal finance manager to guide them through this process.

Although it’s only been around since 2010, Reduce Home Loans has consistently won awards for its competitive mortgage products.

Learn more about Reduce Home Loans

Mortgage Calculator, Loan Purpose

This is what you will use the loan for – i.e. investment. 

How does a redraw facility work?

A redraw facility attached to your loan allows you to borrow back any additional repayments that you have already paid on your loan. This can be a beneficial feature because, by paying down the principal with additional repayments, you will be charged less interest. However you will still be able to access the extra money when needed.

Remaining loan term

The length of time it will take to pay off your current home loan, based on the currently-entered mortgage balance, monthly repayment and interest rate.

What is a redraw fee?

Redraw fees are charged by your lender when you want to take money you have already paid into your mortgage back out. Typically, banks will only allow you to take money out of your loan if you have a redraw facility attached to your loan, and the money you are taking out is part of any additional repayments you’ve made. The average redraw fee is around $19 however there are plenty of lenders who include a number of fee-free redraws a year. Tip: Negative-gearers beware – any money redrawn is often treated as new borrowing for tax purposes, so there may be limits on how you can use it if you want to maximise your tax deduction.

Interest Rate

Your current home loan interest rate. To accurately calculate how much you could save, an accurate interest figure is required. If you are not certain, check your bank statement or log into your mortgage account.

Savings over

Select a number of years to see how much money you can save with different home loans over time.

e.g. To see how much you could save in two years by switching mortgages,  set the slider to 2.

Mortgage Calculator, Property Value

An estimate of how much your desired property is worth. 

What is a construction loan?

A construction loan is loan taken out for the purpose of building or substantially renovating a residential property. Under this type of loan, the funds are released in stages when certain milestones in the construction process are reached. Once the building is complete, the loan will revert to a standard principal and interest mortgage.

How often is your data updated?

We work closely with lenders to get updates as quick as possible, with updates made the same day wherever possible.

Mortgage Calculator, Repayments

The money you pay back to your lender at regular intervals. 

What factors does Real Time Ratings consider?

Real Time RatingsTM uses a range of information to provide personalised results:

  • Your loan amount
  • Your borrowing status (whether you are an owner-occupier or an investor)
  • Your loan-to-value ratio (LVR)
  • Your personal preferences (such as whether you want an offset account or to be able to make extra repayments)
  • Product information (such as a loan’s interest rate, fees and LVR requirements)
  • Market changes (such as when new loans come on to the market)

Mortgage Calculator, Repayment Frequency

How often you wish to pay back your lender. 

How common are low-deposit home loans?

Low-deposit home loans aren’t as common as they once were, because they’re regarded as relatively risky and the banking regulator (APRA) is trying to reduce risk from the mortgage market.

However, if you do your research, you’ll find there is still a fairly wide selection of banks, credit unions and non-bank lenders that offers low-deposit home loans.

What is bridging finance?

A loan of shorter duration taken to buy a new property before a borrower sells an existing property, usually taken to cover the financial gap that occurs while buying a new property without first selling an older one.

Usually, these loans have higher interest rates and a shorter repayment duration.

How is the flexibility score calculated?

Points are awarded for different features. More important features get more points. The points are then added up and indexed into a score from 0 to 5.