Mortgage Calculator Overview

The Mortgage Loan Calculator determines the repayment schedule based on the input values provided, including loan amount, loan term, and annual interest rate. The selected mortgage product may define a default interest rate. This calculator also estimates how much interest and time can be saved if extra repayments are made regularly. These extra repayment features are only available for mortgage products that allow them. All calculations are done using the repayment frequency specified, with respect to the original mortgage loan parameters.

Mortgage Calculator Assumptions

Monthly Period Assumption

Each month is assumed to have the same number of days. In practice, mortgage interest often accrues daily, which means actual interest amounts may vary depending on the number of days in each month.

Annual Repayment Cycles

The calculator assumes a year consists of exactly 52 weeks or 26 fortnights. This simplifies the year to 364 days, even though actual years have 365 or 366 days.

Repayment Rounding

Repayment amounts are typically rounded to the nearest cent. However, the calculator uses unrounded values to provide smoother charts and more precise interest calculations over the full mortgage term. This allows for consistency when visualizing repayment data, though actual final repayment amounts may differ slightly.

Time Savings Rounding

Time saved from making extra repayments is shown in years and months, or in weeks or fortnights depending on the chosen repayment frequency. Partial final payments are included in the calculation of time saved.

Interest Savings Estimation

The amount of interest saved is an estimate based on the reduction in loan term and the original mortgage details. Actual savings may differ depending on lender terms and amortization practices.

Important Disclaimer

This calculator is intended for informational purposes only and does not constitute a loan offer or pre-approval. Mortgage terms, interest rates, and fees vary by lender. Assumptions used in this tool may not match those used by your financial institution, and all figures are subject to change.