Split Loan Calculator
Have you considered a split home loan for your property purchase? Enjoy the stability of a fixed interest rate loan and the lower rates of a variable rate loan combined in one loan product!
A split home loan will assign a portion of the loan to a fixed interest rate. You know how much you need to pay for this portion each month.
The remaining portion of the home loan will fall under a variable interest rate. You can enjoy lower interest rates typically associated with variable interest rate loans!
Use our split loan calculator and discover the benefits of a split loan on your bank balance! Enter the total loan amount and the relevant portions assigned to a fixed rate and a variable rate.
The split loan calculator will separate your home loan repayments into a fixed monthly repayment and a variable monthly repayment. In total, you will discover your split rate loan repayment figure, which you can then contrast with standard fixed and variable deals.
Discover the advantages of choosing a split rate loan with our split loan calculator, today!
Frequently Asked Questions
A split loan in Australia is a mortgage that allows borrowers to divide their loan into two or more portions with different interest rates or loan features. Typically, one portion is on a fixed interest rate, while the other is on a variable interest rate.
Splitting a home loan offers borrowers the advantage of combining the stability of a fixed rate with the flexibility of a variable rate. It allows borrowers to manage interest rate fluctuations and provides a level of protection against potential interest rate increases.
Yes, borrowers can usually choose the proportion of their split loan. Common splits are 50-50, 60-40, or 70-30, but some lenders may allow more custom splits based on your preferences.
Yes, some lenders may offer the option to split your home loan into more than two portions. However, this may vary between lenders, and additional fees or restrictions could apply.
In most cases, you cannot switch between fixed and variable rates within a single split loan. Each portion of the split loan retains its respective interest rate and loan features until the fixed-rate period expires (if applicable).
The fixed-rate portion of the split loan remains constant for the specified period, regardless of market interest rate changes. On the other hand, the variable-rate portion fluctuates with changes in the official cash rate and market conditions.
The ability to make extra repayments may vary between lenders and the type of split loan. Generally, variable-rate portions often allow extra repayments without penalties, but fixed-rate portions may have limitations on additional repayments.
Yes, split loans may come with fees, such as application fees, split fees, or ongoing fees for each portion. It’s important to carefully review the loan terms and fees with your lender.
Redraw facilities may be available on variable-rate portions of the split loan, allowing you to access extra repayments made. However, redraw options on fixed-rate portions are less common and may be subject to restrictions or fees.
A split home loan can be a suitable option for borrowers who want to balance the benefits of both fixed and variable rates. However, the suitability of this type of loan depends on individual financial goals, risk tolerance, and market conditions.