{"id":26595,"date":"2020-08-06T10:47:30","date_gmt":"2020-08-05T22:47:30","guid":{"rendered":"https:\/\/propertynoise.co.nz\/au\/?p=26595"},"modified":"2020-08-06T10:47:30","modified_gmt":"2020-08-05T22:47:30","slug":"loan-repayments-on-a-1-million-loan-how-much-would-that-cost-a-month","status":"publish","type":"post","link":"https:\/\/propertynoise.co.nz\/au\/loan-repayments-on-a-1-million-loan-how-much-would-that-cost-a-month\/","title":{"rendered":"Loan repayments on a $1 million loan: How much would that cost a month?"},"content":{"rendered":"

PHOTO: $1 million Dollar Mortgage<\/strong><\/p>\n

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So you\u2019ve found your dream home and it means you\u2019ll have to borrow $1 million. How much is that going to cost you in monthly repayments? And how can you make sure that you don\u2019t pay too much? We take a look.<\/div>\n<\/div>\n
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The median house prices in most parts of Australia have been tracking upward over recent years, although the COVID-19 pandemic is risking putting a dint in that growth pattern. However, it\u2019s not hard to find a house to buy that requires a million dollar loan \u2013 particularly if you live in a capital city. For example, Realestate.com.au data showed that there were 209 suburbs across Sydney, 119 suburbs in Melbourne and 23 suburbs in Brisbane that had a median house value of more than $1 million (as of July, 2020).<\/p>\n<\/div>\n

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It\u2019s a substantial amount of money \u2013 so, how much would it cost to repay a $1 million home loan? Canstar has crunched the numbers, and the findings reveal how important it is that borrowers look to take advantage of the competitive home loan deals now on offer.<\/p>\n<\/div>\n

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\"Tammy<\/a><\/div>\n
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The house that Instagram built! Tammy Hembrow, 26, purchases a Gold Coast waterfront mansion<\/a><\/h2>\n<\/header>\n<\/div>\n

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Repayments on a $1 million home loan<\/h2>\n<\/div>\n
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Home loan rates have never been so low, but there is still a big difference between what interest rates are on offer across the market. At the time of writing, there is a 3% difference between the highest and lowest variable rates on the Canstar database.<\/p>\n<\/div>\n

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The below table illustrates what difference that could make to a $1 million variable-rate home loan.<\/p>\n<\/div>\n

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Monthly Repayments and Interest Costs of a $1,000,000 Loan (Owner-occupier, P&I)<\/strong><\/td>\n<\/tr>\n
<\/td>\nRate<\/strong><\/td>\nMonthly Repayment<\/strong><\/td>\nTotal Interest Paid<\/strong><\/td>\n<\/tr>\n
Lowest Variable Rate<\/td>\n2.39%<\/td>\n$3,894<\/td>\n$401,932<\/td>\n<\/tr>\n
Average Variable Rate<\/td>\n3.42%<\/td>\n$4,446<\/td>\n$600,527<\/td>\n<\/tr>\n
Highest Variable Rate<\/td>\n5.39%<\/td>\n$5,609<\/td>\n$1,019,264<\/td>\n<\/tr>\n
Difference between Highest and Lowest<\/strong><\/td>\n3.00%<\/td>\n$1,715<\/td>\n$617,332<\/td>\n<\/tr>\n
Source: www.canstar.com.au \u2013 9\/07\/2020. Based on variable owner-occupier loans available for a loan amount of $1,000,000, at 80% LVR with principal & interest repayments; excluding introductory and first home buyer-only loans.\u00a0 Repayment and interest calculations assume a total loan term of 30 years and that rates remain the same throughout that time. Fees not taken into account.<\/em><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

READ MORE VIA CANSTAR<\/a><\/p>\n

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