Australia·Calculators·Mortgage

Mortgage repayment calculator

Repayments use the standard amortisation formula: P x [r(1+r)^n] / [(1+r)^n - 1]. Enter the loan amount, rate and term to calculate.

Your numbers

Loan amount

A$AUD

Interest rate

% p.a.

Loan term

years

Extra repayment

A$AUD / month

Monthly repayment:

A$2,923

12 payments a year over 25 years

Total interestA$376,885

Total repaidA$876,885

Interest per dollar borrowed0.75

Rate5.00%

Principal and interest, variable or fixed rate, rate held for the fixed period. Consumer mortgages in Australia typically allow extra repayments. Payments, interest, balances and totals are estimates rounded separately for display. Calculations use unrounded payments and interest, so displayed payments may not sum to the total. This is not a lender cash-flow schedule. Amounts over 90 trillion are past what this calculates.

Principal against interest over 25 years57.0% principal · 43.0% interest

PrincipalA$500,00057.0%InterestA$376,88543.0%

Which term should you fix for?

Every row uses the 5.00% rate you entered, held the same for every term. This site publishes no separate market rate for each fixed term, so no best rate is shown. Repayments are monthly, and the interest and total repaid cover that fixed period only.

Repayment schedule by fixed term
Term	Monthly repayment	Interest over term	Total repaid
6 months	A$2,923	A$12,447	A$17,538
1 year	A$2,923	A$24,766	A$35,075
2 years	A$2,923	A$49,004	A$70,151
3 years	A$2,923	A$72,688	A$105,226
5 years	A$2,923	A$118,278	A$175,377

Source: Reserve Bank of Australia published lending indicator ratesUsing Reserve Bank of Australia rates

How it works

The calculator uses the standard amortising loan formula. Each repayment covers the interest accrued since the last one, and whatever is left over reduces the balance. Early on, most of the payment is interest. Later, most of it is principal.

Changing frequency recalculates the payment, not the loan term. Interest uses the annual rate divided by payments per year, so total interest varies slightly with frequency.

The formula

Nothing is hidden here. This is the calculation running behind the number above.

payment = P × r ÷ (1 − (1 + r)⁻ⁿ)

Pthe amount borrowed

rthe interest rate for one period — annual rate ÷ payments per year

ntotal number of payments — years × payments per year

A worked example

Borrow A$500,000 at 5.00% over 25 years, repaid monthly. The period rate is 5.00% ÷ 12, and there are 300 payments.

Amount borrowedA$500,000

Payments300

Each paymentA$2,922.95

Interest over the termA$376,885

Common questions

Is this the whole cost of the loan?

It covers principal and interest. Application fees, insurance and anything your lender bundles into the payment sit outside this calculation.

What happens when my fixed period ends?

You move to whatever rate applies then. This calculator assumes one rate for the whole term, so treat long-term totals as a shape rather than a promise.

Do extra repayments help?

Every extra amount comes straight off the balance, so it removes every future interest charge on that amount. Check whether your loan caps extra repayments first.

Why does my lender quote a different number?

Rounding, fee treatment and daily versus per-period interest all differ between lenders. Expect a small gap, not a large one.