Combination or Split Home Loans in Australia
Combination or Split home loans offer security from potential rate rises by allowing borrowers to take part of their loan as a variable rate and the other as a fixed rate. While each part of the loan is treated separately when the loan contract is drawn up, the overall loan amount is still considered your “total”.
As each individual situation is different, talk to your local mortgage broker to find out if a combination or split home loan is right for you.
Find out what combination or split home loan options are right for you
Find out which combination or split home loan options are right for you and get your local mortgage broker to help you negotiate a better loan deal. Simply call us on 13 LOAN (or direct on +61 2 9249 3739) or email us the form on this page and we will return your call within 2 business hours.
Advantages and disadvantages of combination or split home loans
| Pros | Cons |
| In times of interest rate rises, you can hedge your bets by having the interest rate security of a fixed loan coupled with the repayment flexibility of a variable rate loan | If interest rates rise, the repayments on the variable portion will also rise. |
| If interest rates drop, the repayments on the fixed rate portion will remain on the higher fixed amount. |
What will my repayments be under a combination split home loan
Your home loan repayments and total interest payable will be different depending on the amount you’ve placed under the fixed rate and the amount that’s under the variable rate. Use the split home loan calculator from our list of home loan calculators to work out your repayments under different scenarios.
More information and home loan help
For more information on how and where to find a better home loan deal from an extensive panel of Australian banks and secure mortgage lenders, or to speak to your local area mortgage expert, contact us on 13 LOAN (direct +61 2 9249 3739)
