Loan Comparison Calculator
Loan Comparison Calculator
The Loan Comparison Calculator is used to help home buyers identify the most suitable home loan type. Determine if a variable, fixed or introductory loan type will yield the most savings, and play around with different scenarios. Furthermore, compare different interest rates, repayment frequencies, initial and ongoing expense amounts and loan terms before making any final decisions.
How Does the Calculator Compute?
The calculator computes by making certain assumptions including:
- All months are supposed alike and thus of equivalent length
- It supposes that a year consists 364 days, calculating 26 fortnights or 52 weeks
- No rounding of totals is done throughout the term of the loan which is contradictory to real practice
- All amounts payable use unrounded repayment amounts and converts it to rounded totals to the nearest dollar
- Savings are calculated using unrounded payment amounts under the lower cost loan, and thereafter converted to unrounded totals.
It is also important to note that the converted amounts are based on a monthly repayment frequency regardless of the inputs given.
Operating the Loan Comparison Calculator
Individuals will be required to make a selection of possible scenarios through various user friendly dropdown menus. Each loan tab will allow for any of the following inputs:
- Loan type:
- Introductory
- Fixed
- Variable
- Initial interest rate
- Initial interest rate
- Introductory
- Ongoing and for how long
- Upfront fees
- Monthly fees
- Loan amount
- Loan term
- Repayment frequency:
- Monthly
- Fortnightly
- Weekly
The two comparisons, Loan 1 and Loan 2, appear on different tabs next to one another on the calculator.
How It Works
The Loan Comparison Calculator can be accessed online and consists of extremely user friendly navigation menus and a clear visual graph and results. Simply select all the relevant details on both loan tabs, and immediately receive accurate information to help make important long term decisions. The calculator allows for various input figures, so play around without being pressed for time as the calculator can be accessed anytime of the day 7 days a week all in the comfort of one’s home or office.
Conclusion
The Loan Comparison Calculator is a valuable budgeting tool for any home buyer as it could save you thousands of dollars in the long term. It is such a simple tool, yet can accurately help the buyer with long term planning, knowing that the final decision in home loan type was a realistic and well educated one. Armed with this information, choose the most suitable option, commit to the repaying the home loan and initiate proceedings with peace of mind.
Related posts:
- Interest Only Mortgage Calculator
- Home Loan Repayment Calculator – Apple Widget Download
- Rent vs Buy Comparison Calculator
- Mortgage Switching Calculator
- How To Benefit From A Home Loan Calculator
- Bridging Loan Calculator
- Using the Comparison Loan Rate
- Home Loan Interest Calculator
- What are Home Loan Comparison Rates & How to use them
- Introductory Variable Rate Home Loan Comparison
Top Home Loans
| Home Loan | Details | Interest Rate (p.a.) | Comp Rate^ (p.a.) | App Fee / Ongoing Fee | Max LVR | Min & Max Borrowing | |
|---|---|---|---|---|---|---|---|
 Loans.com.au - Dream Catcher | A home loan offer with a $0 application fee and one of the lowest available home loan interest rates. | 5.85% | 6.21% | $0 / $375 | 80% | $50,000 / $750,000 |
 
|
 Bankwest Online Home Loan | A low interest rate home loan with a $0 application fee and ongoing maintenance fees. This offer is exclusively available by applying online. | 5.97% | 5.97% | $0 / $0 | 80% | $100,000 / $1,000,000 |
|
 Illawarra Home Loans Bank Beater Home Loan | A low variable rate, beaten down even further by 0.05% p.a. after 5 years. | 6.07% | 6.35% | $0 / $345 | 90% | $250,000 / $1,000,000 |
|
 State Custodians Mortgage Company Standard Variable Offset Loan | Awarded the 2011 Non bank Lender of the Year this feature-packed loan rewards customers with a bonus rate drop of 0.25% after 5 years. | 6.02% | 6.23% | $0 / $345 | 95% | $150,000 / $1,000,000 |
|
Ask A Question