Loan Comparison Calculator
Compare two home loans side by side to find the best deal for your situation
Loan Details
Loan Option 1
Loan Option 2
How to Use This Calculator
Step-by-Step Guide
- 1Enter loan details: Input your loan amount, term, and payment frequency.
- 2Configure loan options: Enter interest rates, fees, and names for each loan.
- 3Compare results: See side-by-side comparison with total costs and savings.
What to Consider
Frequently Asked Questions About Loan Comparison
How do I compare two home loans effectively?
To compare home loans effectively, look at the total cost over the loan term, not just the interest rate. Consider the interest rate, fees (application fees, annual fees, ongoing fees), loan features (offset accounts, redraw facilities), and flexibility. Our loan comparison calculator shows the total cost including fees, helping you see which loan is truly cheaper. A loan with a slightly higher rate but lower fees may cost less overall.
What fees should I include when comparing loans?
Include all fees: application/establishment fees ($500-$1,500), annual fees ($0-$400), ongoing monthly fees, valuation fees, settlement fees, and any exit fees. Some lenders offer fee-free loans but may have higher interest rates. Our calculator includes fee fields so you can see the true cost difference. Remember that even small annual fees add up over a 30-year loan term.
Should I choose a fixed or variable rate loan?
Fixed rate loans provide payment certainty and protection against rate rises, but offer less flexibility. Variable rate loans typically offer lower initial rates, more flexibility (extra repayments, offset accounts), but payments can change. Many borrowers choose a split loan (part fixed, part variable) to get benefits of both. Use our calculator to compare fixed vs variable options and see which suits your financial situation better.
How much can I save by choosing a better loan?
Even a small difference in interest rates can save thousands over the loan term. For example, on a $500,000 loan over 30 years, a 0.5% lower rate can save over $50,000 in interest. Our loan comparison calculator shows exact savings, helping you make informed decisions. Consider refinancing if you can get a better rate, but factor in refinancing costs to ensure it's worthwhile.
What loan features should I consider?
Important loan features include: offset accounts (reduce interest by offsetting savings), redraw facilities (access extra repayments), ability to make extra repayments without penalty, loan portability (transfer to new property), and flexible repayment options. While these features may come with slightly higher rates or fees, they can provide significant value if used effectively. Our calculator helps you compare loans with different features.
When should I refinance my home loan?
Consider refinancing if you can get a rate at least 0.5% lower, your financial situation has improved (better credit score, higher income), you want better loan features, or you want to consolidate debt. Factor in refinancing costs (discharge fees, new application fees, valuation fees) to ensure savings outweigh costs. Use our refinance calculator to see if refinancing makes financial sense for your situation.