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Mortgage Repayment Calculator

Calculate your monthly home loan repayments, total interest and compare principal & interest vs interest-only options.

Data stays on your deviceATO sourced data

Disclaimer

This calculator provides estimates for general information purposes only. Results should not be relied upon as professional financial, tax, or legal advice. Tax rates and thresholds are based on publicly available ATO data and may change. Always consult a qualified tax agent or financial adviser for advice specific to your circumstances.

Frequently Asked Questions

What is the average mortgage interest rate in Australia?
As of 2025-26, average variable home loan rates in Australia range from 6.0% to 7.0% p.a. Fixed rates vary depending on the term. Rates change frequently based on RBA cash rate decisions.
What is the difference between principal and interest vs interest only?
With principal and interest (P&I), each repayment covers both the loan amount and interest, paying off the loan over time. Interest-only means you only pay the interest — the loan balance doesn't decrease. Interest-only is typically available for 1-5 years.
How much deposit do I need for a home loan?
Most lenders require at least 5% deposit. With less than 20%, you'll need to pay Lenders Mortgage Insurance (LMI), which can cost thousands. A 20% deposit avoids LMI and often secures better interest rates.

What is Mortgage Repayment?

A mortgage repayment calculator shows how much you'll pay each month on a home loan, including both principal (the amount you borrowed) and interest (the cost of borrowing).

How this calculator works

This calculator uses the standard amortisation formula used by Australian banks. For principal and interest loans, each monthly payment is the same amount, but the split between principal and interest changes over time — early payments are mostly interest, while later payments are mostly principal. The amortisation chart visualises this progression. For interest-only loans, you only pay the interest each month and the loan balance doesn't decrease. The calculator also compares both options so you can see the total cost difference.

All calculations are performed in your browser — your data never leaves your device. Results are for general guidance only and should not be considered professional financial advice.

Built and maintained by Konstantin Iakovlev. Data sourced from the ATO and official Australian government sources.