The figures from your Westpac Funds Position (14 July 2026) are
fixed and shown in grey. The assumptions you can adjust are editable: the offset
balance and monthly top-up, and the capital-growth rate. Type over any editable value
(k/m shorthand is supported, e.g. 30k). This is a
principal-and-interest loan, modelled on conservative assumptions.
1Funds & Acquisition
These figures are drawn directly from your Westpac Funds Position and are fixed. The assumptions you can adjust appear further down, in the Offset Account and Growth sections. A key advantage of this purchase: because it is a split house-and-land contract, Victorian stamp duty is assessed on the land value only, not the full purchase price.
Purchase price…
Total loan base + LMI…
Loan-to-value ratio (LVR)…
Monthly repayment principal & interest…
Government charges…
Cash to complete deposit + duty + fees; LMI capitalised…
Stamp-duty saving vs an established home
…
Duty assessed on the land value ($…) rather than the full purchase price is the advantage of a split contract.
2Construction Phase
Land settles first, then the loan is released to the builder in stages as construction reaches each milestone (deposit, slab, frame, lock-up, fixing and completion). Interest is charged only on the funds released to date, so the interest cost begins small and grows as construction progresses. No rental income is received until the build is complete.
Interest during construction out of pocket, no rent yet…
Avg. monthly interest through build…
Est. total holding cost to completion…
3Offset Account
Every dollar held in your offset account reduces the balance the bank charges interest on, while remaining fully accessible to you. Because your repayment on a principal-and-interest loan stays the same, more of each repayment goes towards the principal, so the loan is repaid sooner and the total interest is reduced.
Interest you’re saving at this balance
…
for as long as that balance stays in the offset
Per day
…
Per week
…
Per month
…
Per year
…
Loan cleared with offset + top-ups…
Paid off earlier by…
Total interest, no offset…
Total interest, with offset…
Total interest saved…
Loan, no offset
Loan, with offset
Offset balance
Why an offset suits a portfolio strategy. Where the goal is to build equity and progress to a
further investment, an offset account is well suited: it reduces interest just as an equivalent
repayment would, while keeping those funds available to redraw towards a future deposit. You
benefit from the interest saving and retain flexibility. The interest saved assumes the rate remains at the current level; if it changes, the saving will change accordingly. Projected interest figures are rounded to the nearest $100. These are estimates only, not a guarantee.
4Growth & Equity, 10 Year View
Modelled on a conservative capital-growth rate. For reference, recent 2026 Melbourne bank forecasts ranged from CBA 2% to Westpac 7% (ANZ 6.6%, Domain house 6%, KPMG house 6.8%).
Projected position, end of year 10
…
…
…
Property value
Equity
Loan balance
| Year | Property value | Loan balance | Equity | Equity gain |
|---|
Equity is the property’s value less the loan balance. It grows in two ways at once: the value rising with
capital growth, and the loan reducing as each principal-and-interest repayment pays down the principal. This view
covers the property and loan only; it excludes rental income, holding costs and tax.
Please note: these figures are estimates only and are not a guarantee of how the property will
perform. They’re based purely on the numbers you enter and published bank forecasts. Actual capital growth,
interest rates and returns will vary. Projected figures are rounded to the nearest $100.
Helpful guides
Short Mortgage Choice fact sheets explaining the parts of this summary. Each opens as a PDF in a new tab.
Construction loans
How a split house-and-land loan is drawn down in stages.
Open PDF
What is LMI?
Lenders Mortgage Insurance on loans above 80% of the value.
Open PDF
Home loan features
Offset accounts, redraw, extra repayments and more.
Open PDF
Property purchase costs
Stamp duty, government fees, inspections and insurance.
Open PDF
The home lending process
The steps from application through to settlement.
Open PDF
Prepared by Troy Gunasekera · Mortgage Choice Karrinyup ·
Credit Representative 392556 authorised under Australian Credit Licence 382869.
Indicative only, not a formal credit quote, tax advice, or a property valuation. Figures are estimates
based on the inputs shown and assumptions that will vary in practice; obtain a quantity-surveyor depreciation
schedule and independent tax advice before relying on any figure. Mortgage Choice Pty Ltd ABN 57 009 161 979
ACL 382869 and Smartline Operations Pty Ltd ABN 86 086 467 727 ACL 385325 are owned by REA Group Ltd.
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