The loan is repaid in equal monthly installments, using the selected compounding convention: nominal annual rate ÷ 12 for monthly, or (1 + annual rate ÷ 2)^(1/6) − 1 for semi-annual (rates as decimals). Monthly housing cost adds entered annual costs ÷ 12 and monthly costs to principal and interest.
Country selection sets the currency, not local tax or lending rules. PMI, property taxes and insurance are not added automatically. Variable rates, interest-only loans, fees and lender eligibility require separate review.
How much will your monthly mortgage cost? Calculate AUD repayments, total interest and housing costs with loan assumptions for Australia.
How much will your monthly mortgage cost? Calculate AUD repayments, total interest and housing costs with loan assumptions for Australia.
The loan is repaid in equal monthly installments, using the selected compounding convention: nominal annual rate ÷ 12 for monthly, or (1 + annual rate ÷ 2)^(1/6) − 1 for semi-annual (rates as decimals). Monthly housing cost adds entered annual costs ÷ 12 and monthly costs to principal and interest.
Country selection sets the currency, not local tax or lending rules. PMI, property taxes and insurance are not added automatically. Variable rates, interest-only loans, fees and lender eligibility require separate review.
Enter the interest rate, not the comparison rate. This model uses monthly repayments and does not model daily interest, an offset account, redraw or interest-only periods. Check your lender’s repayment frequency and fees.
Fixed educational comparison in AUD, independent of the inputs above.
Hypothetical AUD example: property $300,000.00, deposit $60,000.00, loan $240,000.00, repayment period 25 years, annual housing costs $2,400.00 and additional monthly costs zero. Compare 4% and 6% nominal annual interest with monthly compounding. Rates stay constant for all 300 monthly payments; these are not lender quotes.
| Interest rate | Monthly loan payment | Monthly housing total | Total loan interest |
|---|---|---|---|
| 4% | $1,266.81 | $1,466.81 | $140,042.53 |
| 6% | $1,546.32 | $1,746.32 | $223,897.01 |
The higher rate adds $279.51 to the monthly budget and $83,854.48 in modeled interest. The $200.00 monthly share of annual costs is in the housing total, not in loan interest. Extending repayment can lower the monthly payment while increasing total interest; compare both figures.
Reproduce the example with monthly compounding, then shorten the repayment period to 20 years. Keep the amount and rate fixed so the difference reflects repayment time. Check which costs your lender collects and avoid adding the same charge twice.
ASIC MoneySmart · Mortgage calculator ↗
EconoPi calculation and explanation reviewed October 27, 2026. The referenced institution did not prepare or endorse this example.
Yes. The same fixed-rate amortization formula works with the selected country’s currency. Enter the rate and actual costs of your own loan.
No. Insurance requirements vary by country and contract. Add actual insurance costs only when they apply.
No. This is a payment scenario. It does not apply country-specific lending caps, affordability rules, tax relief or approval criteria.
All math runs in your browser and your inputs are never sent to a server. Settings are saved locally and share links encode the state in the URL. For information only — not investment or tax advice.