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How much will a mortgage cost me

To answer this simply, a lot. Hundreds of thousands of dollars, usually. To answer in a more detailed fashion, a home loan will cost more than just the purchase price of the property. You’ll also need to pay:

  • Interest on the loan
  • Upfront home loan and property buying fees
  • Ongoing home loan fees

Our home loan total cost calculator can help you work out how much a mortgage will really cost you.

Interest on the loan

This will likely be the largest home loan cost. Even the lowest home loan interest rates on the market can add hundreds of thousands of dollars to the total cot of a home loan.

Upfront costs

There are a few “upfront costs” to factor in before you even start paying the mortgage, such as:

  • The deposit
  • The establishment fee
  • Lenders Mortgage Insurance (LMI)
  • Transfer fees
  • Settlement fees
  • Application fees
  • Discharge fees

And more. Not all of these are applicable, but in general, the different property buying costs can cost up to 5% of the property’s value.

Ongoing costs

As well as upfront costs, ongoing costs exist, and can include things like:

  • Annual loan fees
  • Redraw and offset account fees
  • Property maintenance costs
  • Insurance
  • Council rates and strata fees

In addition to ongoing fees, there can be hidden home loan fees like discharge fees if you switch to a different home loan.

You need to factor these costs into the total cost of a home loan too.

Home loan total cost calculator

If you want to know the true cost of your home loan over the years after factoring all of these things in, then enter each of them where applicable into our total home loan cost calculator to find out. This can give you a better idea of whether you can truly afford a certain mortgage or not - you might instead feel it’s better to wait till you’ve saved a bigger deposit, or to look around for a cheaper interest rate.


Looking for a home loan?

Buying a home or looking to refinance? The table below features home loans
with some of the lowest interest rates on the market for owner occupiers.

Rates
Features
Fees
Other
Lender
VariableMore details
Online ExclusiveUp To $4K Cashback Includes NOV RBA Rate Increase
  • Immediate cashback upon settlement
  • $2000 for loans up to $700,000
  • $4000 for loans over $700,000
Online ExclusiveUp To $4K Cashback Includes NOV RBA Rate Increase

loans.com.au – Variable Basic Cashback Home Loan (Principal and Interest) (LVR < 70%)

  • Immediate cashback upon settlement
  • $2000 for loans up to $700,000
  • $4000 for loans over $700,000
More details
VariableMore details
Refinance OnlyApply In Minutes
  • No application or ongoing fees. Annual rate discount
  • Unlimited redraws & additional repayments. LVR <80%
  • A low-rate variable home loan from a 100% online lender. Backed by the Commonwealth Bank.
Refinance OnlyApply In Minutes

Unloan – Variable Rate Home Loan – Refinance Only

  • No application or ongoing fees. Annual rate discount
  • Unlimited redraws & additional repayments. LVR <80%
  • A low-rate variable home loan from a 100% online lender. Backed by the Commonwealth Bank.
More details
VariableMore details
  • Up is 100% owned by Bendigo Bank.
  • Up to 50 offset accounts
  • New joiners get $10 by signing up to the app using code UPHOMESAVINGS. (T&Cs apply)

Up – Up Home Variable (Principal & Interest) (LVR ≤ 90)

  • Up is 100% owned by Bendigo Bank.
  • Up to 50 offset accounts
  • New joiners get $10 by signing up to the app using code UPHOMESAVINGS. (T&Cs apply)
More details
VariableMore details

Reduce Home Loans – Rate Cutter Home Loan (LVR < 60%)

    More details
    VariableMore details
    4.6 Star Customer RatingsIncludes Nov RBA Rate Increase
    4.6 Star Customer RatingsIncludes Nov RBA Rate Increase

    loans.com.au – Variable Home Loan (LVR < 90%)

      More details
      VariableMore details
      • $0 application fee
      • Fast turnaround times
      • Estimate your borrowing power in as little as 1 minute

      Macquarie Bank – Offset Package Home Loan (Principal and Interest) (LVR 60%-70%)

      • $0 application fee
      • Fast turnaround times
      • Estimate your borrowing power in as little as 1 minute
      More details
      VariableMore details

      ubank – Neat Variable Home Loan (Principal and Interest) (LVR 70%-80%)

        More details
        VariableMore details
        • $0 application fee
        • Fast turnaround times
        • Estimate your borrowing power in as little as 1 minute

        Macquarie Bank – Basic Home Loan (Principal and Interest) (LVR 70%-80%)

        • $0 application fee
        • Fast turnaround times
        • Estimate your borrowing power in as little as 1 minute
        More details
        FixedMore details

        Reduce Home Loans – Home Owners Dream Fixed Cashback 1 Year (LVR < 80%)

          More details
          FixedMore details

          Westpac – Premier Package Fixed Options Home Loan (Principal and Interest) 1 Year (LVR < 70%)

            More details
            FixedMore details

            Commonwealth Bank – Fixed Rate Home Loan (Principal and Interest) 3 Years

              More details
              VariableMore details

              NAB – Base Variable Home Loan (Principal and Interest) (New Customer)

                More details
                FixedMore details

                ANZ – Fixed Rate Home Loan (Principal and Interest) 5 Years (LVR < 80%)

                  More details
                  FixedMore details
                  • Up is 100% owned by Bendigo Bank.
                  • Up to 50 offset accounts
                  • New joiners get $10 by signing up to the app using code UPHOMESAVINGS. (T&Cs apply)

                  Up – Up Home Fixed 4 Years (Principal & Interest) (LVR ≤ 90)

                  • Up is 100% owned by Bendigo Bank.
                  • Up to 50 offset accounts
                  • New joiners get $10 by signing up to the app using code UPHOMESAVINGS. (T&Cs apply)
                  More details
                  VariableMore details
                  Unlimited Redraws
                  • No annual fees – None!
                  • Get fast pre-approval
                  • Unlimited additional repayments free of charge
                  • Redraw freely – Access your additional payments when you need them
                  • Home loan specialists available today
                  Unlimited Redraws

                  ubank – Neat Variable Home Loan (Principal and Interest) (LVR < 60%)

                  • No annual fees – None!
                  • Get fast pre-approval
                  • Unlimited additional repayments free of charge
                  • Redraw freely – Access your additional payments when you need them
                  • Home loan specialists available today
                  More details
                  VariableMore details

                  Heritage Bank – Discount Variable Home Loan ($150k+) (LVR < 70%)

                    More details
                    VariableMore details

                    P&N Bank – & Basic Home Loan (LVR < 60%)

                      More details
                      FixedMore details

                      Newcastle Permanent – Premium Plus Package Fixed Rate Home Loan Special (Principal and Interest) 2 Years

                        More details
                        VariableMore details

                        MOVE Bank – Straightforward Plus Home Loan (LVR < 80%) (New Customer)

                          More details
                          FixedMore details

                          HSBC – Package Fixed Rate Home Loan (Principal and Interest) 4 Years (LVR < 80%)

                            More details
                            • Immediate cashback upon settlement
                            • $2000 for loans up to $700,000
                            • $4000 for loans over $700,000

                            More details
                            Important Information and Comparison Rate Warning

                            Base criteria of: a $400,000 loan amount, variable, fixed, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. However, the ‘Compare Home Loans’ table allows for calculations to be made on variables as selected and input by the user. Some products will be marked as promoted, featured or sponsored and may appear prominently in the tables regardless of their attributes. All products will list the LVR with the product and rate which are clearly published on the product provider’s website. Monthly repayments, once the base criteria are altered by the user, will be based on the selected products’ advertised rates and determined by the loan amount, repayment type, loan term and LVR as input by the user/you. *The Comparison rate is based on a $150,000 loan over 25 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of December 2, 2023. View disclaimer.

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