Extra Home Loan Repayments Calculator

How much could you potentially save on your mortgage, both in money and time, by boosting your regular payments? Try our home loan extra repayments calculator to find out. Enter your current loan details, or proposed loan details if you don’t already have a mortgage. You can also nominate when you will start your increased repayment.

Please note: The calculations do not take into account all fees and charges. The results provided by this calculator are an estimate only, and should not be relied on for the purpose of making a decision in relation to a loan. Interest rates and other costs can change over time, affecting the total cost of the loan. Consider whether you need financial advice from a qualified adviser. Check your mortgage contract to see whether you can change your repayments without incurring costs.

5-Star Rated Home Loans on Canstar’s database

If you’re in the market for a new home loan, the comparison table below features a snapshot of some of the outstanding value variable rate home loans on our database with links to lenders’ websites. These are sorted by comparison rate (lowest-highest) and then alphabetically by provider name. Products shown are principal and interest home loans available for a loan amount of $500K in NSW with an LVR of 80% of the property value and where the borrower is allowed to make additional repayments. Choose between the First Home, Next Home, Investing and Refinance tabs to view results most relevant to you. Before committing to a particular home loan product, check upfront with your lender and read the applicable loan documentation to confirm whether extra repayments are permitted under the terms of the loan, whether any additional fees or charges may apply and whether the terms of the loan meet your needs and repayment capacity.*Comparison rate based on loan amount of $150,000 and a term of 25 years. Read the Comparison Rate Warning. Use Canstar’s home loan selector to view a wider range of home loan products.

Frequently Asked Questions

What are extra repayments on a mortgage?

Extra repayments on a mortgage are any payments you make on top of the minimum regular repayment amount that is listed on your home loan contract. Depending on the loan, you may be able to increase your regular repayment so that you’re paying off a bit extra each week, fortnight or month. Alternatively, you may be able to make one-off extra lump sum repayments in the event that you have some extra cash at a particular time (e.g. when you get your tax return).

Canstar’s home loan extra repayments calculator allows you to ‘try out’ many different calculations about additional repayments you could make on a home loan.

Bear in mind, extra repayments can be limited or altogether not allowed on some loans (this can be the case with some fixed rate loans), or there may be penalties if you make payments beyond the minimum in your contract. It’s a good idea to check what’s allowed on your particular home loan before you commit to making extra repayments.

Is it worth making extra repayments on my home loan?

There are many potential benefits to making extra repayments on your mortgage. First and foremost, paying extra can reduce the number of years you’ll end up paying for your loan. Another major benefit is that if your loan has an offset or redraw facility, you’ll also be reducing the interest rate you’re paying.

According to the Federal Government website Moneysmart, most of your payments during the first five to eight years of a typical principal and interest home loan go towards paying off the interest. So by making extra repayments, you not only potentially reduce the amount of time on your mortgage, you can also reduce the total interest amount you pay.

But keep in mind that some home loans charge a fee for making extra repayments. If you’re unsure, it’s a good idea to ask your lender about any potential costs before making any extra repayments.

Can I withdraw my extra repayments?

Not all home loans allow you to withdraw extra repayments you may have made. If you want this flexibility, consider a home loan with a redraw facility. A redraw facility feature allows you to withdraw part or all extra repayments you may have made. Typically, home loans with this feature also offsets your interest rate based on the total balance of your loan, meaning your total rate will reduce the more you repay your loan. But this also means that withdrawing extra repayments may impact your loan balance and increase your loan interest rate.

It’s also important to note that there may be restrictions on when and how much you can redraw. This will depend on your lender, so be sure to read all important documentation when considering loans, such as the product disclosure statement (PDS), target market determination (TMD), key facts sheet and any other terms and conditions.

Compare home loans with a redraw facility

Can I make extra repayments on a variable rate home loan?

Yes, generally speaking, most lenders will allow you to make extra repayments on a variable rate loan without a penalty. One trade-off for this is that variable rate home loans tend to come with higher fees than fixed rate ones, due to the extra features available. These features typically include offset accounts and redraw facilities, that allow you to lower the balance owing on your home loan and thereby lower your interest repayments.

Can I make extra repayments on a fixed rate loan?

Not all lenders allow you to make extra repayments to a fixed rate home loan, and those that do usually come with a few restrictions. Fixed rate loans that allow for additional repayments will typically have a limit on the total amount of extra repayments you’re allowed to make. If you exceed the limit, your lender will likely charge you a fee. For split rate home loans, the fixed rate portion of the loan will usually also have a limit, that is if it allows for extra repayments.

To find out whether your fixed rate loan allows for extra repayments and the maximum limit on additional repayments, read your product disclosure statement (PDS). You can also always contact your lender directly for further details on the terms and conditions.

Home loan calculators to help you work out your financial position

In addition to trying out Canstar’s home loan extra repayments calculator, you may want to use some of our other calculators. These can help you do your sums for borrowing to buy a property, such as how much you can afford to borrow and how much your repayments will be.