Home Loan rate rise calculator

Home loan rate rise calculator

What is your repayment type?

Principal and interest

Interest only

What is your remaining loan amount?

$

What is your current interest rate?

%

How much is your rate going up by?

%

What is your loan term?

With a new interest rate of , your monthly repayments will increase by .

You could save a month based on Finder's lowest refinance interest rate of

Compare your options in under a minute.

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How to use the rate rise calculator

Enter the following details into the calculator (or estimate them if you don't know):

1. Select your repayment type. Most borrowers have principal-and-interest repayments. This means you're paying back the loan plus interest. If you're not sure, just select that option for now. If you have an interest-only loan you're just paying the interest charge every month but not actually repaying the loan yet.
2. Enter your remaining loan amount. Check your latest home loan statement and see how much you have left to repay on your home loan.
3. Enter your current interest rate. Again, your home loan statement should have your current interest rate.
4. Enter the rate change. This is the amount your rate will be changing by. This is usually 0.25%, but some lenders can vary their rate changes by more or less.
5. Enter your remaining loan term. Most home loans have a 30-year term. Estimate how long you have left on your loan, to the nearest year.

What impact does a rate rise have on my home loan?

Even a small increase in interest rates can have a big impact on your monthly repayments.

The impact of a 0.25% increase on a home loan

The Reserve Bank of Australia (RBA) has started 2026 by increasing the cash rate. Changes to the interest rate are usually 0.25% each time.

Let's take a look at how much one increase could impact home loan repayments.

Here's the original loan:

Now let's try that again with a 0.25% higher rate. Every other loan detail is the same.

Here we see that one rate hike of 25 basis points would increase loan repayments by $94 a month. Over a year, that works out to $1,128 more. That's just from one rate increase.

Frequently asked questions about calculating a rate change

• My interest rate hasn't been cut: What are my options?

  Lenders don't always pass on rate cuts and if they do it's not always in full. That's particularly the case if the market is expecting multiple cuts in a short period of time: like this year.

  This doesn't mean you're stuck. There are always better deals on the market.

  Even though your lender may not have passed on the rate cut, other lenders have. And many of those will have very attractive offers for new customers.

  This gives you 2 options:

  1. Call your lender and ask for a better deal. This is a pretty simple trick and often works great if you see that your lender has a lower interest rate for new borrowers on its website. Just make sure your loan type is the same as the new one, so it's a fair comparison. Call your lender and ask for a better deal. If your lender won't budge, tell it you're going to refinance.
  2. Refinance your home loan. Switching mortgages is easier than you think. Start by checking out interest rates and then start the refinancing process by applying for the new loan.

• How do you calculate an increase in interest rate?

  To work out how much a rate hike will cost you, you need your loan amount, remaining loan term and the old and new interest rates.

  Then you can use the calculator above to get a simple estimate. The calculator simply tells you the difference in monthly repayments between the old and new rate.

  This doesn't include the cost of any ongoing loan fees you may have, but it's a simple way to calculate the impact of rate changes.

• Will interest rates keep rising?

  It is possible that interest rates will rise further throughout 2026, but it's hard to know at this point in time. The cash rate is decided based on a few different economic factors, so the RBA will wait to see how those play out over the coming months.

  Until the last few months of 2025 it was expected there would be further rate decreases, proving how quickly the landscape can change.

To make sure you get accurate and helpful information, this guide has been edited by Jason Loewenthal as part of our fact-checking process.

Written by

Richard Whitten

Senior Money Editor

Richard Whitten is Finder’s Senior Money Editor, with over eight years of experience in home loans, property, credit cards and personal finance. His insights appear in top media outlets like Yahoo Finance, Money Magazine, and the Herald Sun, and he frequently offers expert commentary on television and radio, helping Australians navigate mortgages and property ownership. Richard started his career in education and textbook publishing in South Korea. He holds multiple industry certifications, including a Certificate IV in Mortgage Broking (RG 206) and Tier 1 and Tier 2 certifications (RG 146), as well as a Bachelor of Education from the University of Sydney and a Graduate Certificate in Communications from Deakin University. See full bio

Richard's expertise

Richard has written 691 Finder guides across topics including:

• Home loans
• Credit cards
• Personal finance
• Money-saving tips