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Loan comparison calculators

Discussion in 'Property Finance' started by Fortune Favors the Bold, 10th May, 2016.

  1. Fortune Favors the Bold

    Fortune Favors the Bold Well-Known Member

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    Hi folks,

    I'm looking for a way to compare three different loan offers, from three different lenders, side by side.

    Each has different terms which I need to be able to plug in including:
    • Loan amount
    • Variable, fixed, and split rates
    • Fixed period
    • Interest only period
    • Total loan term
    This shouldn't be hard to find, but I haven't been able to find it in my own search.

    Most of the calculators I've found will only let me select variable or fixed, but not split. Likewise they won't let me select an interest only period. I also haven't found any tools that will let me compare more than two loans side by side.

    Can anyone point me in the right direction?

    Thanks!
     
    Last edited: 11th May, 2016
  2. Jamie Moore

    Jamie Moore MORTGAGE BROKER - AUSTRALIA WIDE Business Member

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    If the repayments are interest only it shouldn't be too difficult to whip something up in an excel spreadsheet.

    Cheers

    Jamie
     
  3. apk

    apk Well-Known Member

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    I am using this android app for Stamp duty calc and P&I or Int calculation, like it.
    Property Calculator Australia - Android Apps on Google Play
     
  4. Scott No Mates

    Scott No Mates Well-Known Member

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    I'd give Cougar or Yardi a try. These do advanced modelling.
     
    anneravel likes this.
  5. Peter_Tersteeg

    Peter_Tersteeg Finance broker and strategist Business Member

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    Most of the software myself and other brokers use have the ability to show different loans side by side. Makes for a very easy comparison.

    As Jamie said, it's not much more than a very simple Excel spreadsheet.
     
  6. Peter_Tersteeg

    Peter_Tersteeg Finance broker and strategist Business Member

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    Most of the software myself and other brokers use have the ability to show different loans side by side. Makes for a very easy comparison.

    As Jamie said, it's not much more than a very simple Excel spreadsheet.
     
  7. Fortune Favors the Bold

    Fortune Favors the Bold Well-Known Member

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    Thanks for this. It's simple, but helpful. Unfortunately it won't factor in stuff like IO period, fixed/variable/split rates and periods, etc
     
  8. Fortune Favors the Bold

    Fortune Favors the Bold Well-Known Member

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    Yes. Unfortunately I am rubbish with Excel. I would have thought that there'd be plenty of free tools to do this sort of thing.
     
  9. Peter_Tersteeg

    Peter_Tersteeg Finance broker and strategist Business Member

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    Equity Release Calc is something I knocked up very quickly last year to compare equity release scenarios across different lenders. I've unprotected it so you can see the actual calculations involved (they're very simple for interest only repayments).

    Product Comparison is the output from the software I use. It's just raw data, no calculations (that's done by my software). It wouldn't be hard to program this to actually perform calculations though.
     

    Attached Files:

  10. D.T.

    D.T. Adelaide Property Manager Business Member

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    Rather than trying to do all this stuff yourself, why not use a broker who can help you decide the best bank to use based on your circumstances?
     
  11. Fortune Favors the Bold

    Fortune Favors the Bold Well-Known Member

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    HI DT - yes, you're absolutely right. The problem is that I messed up and didn't use a broker from the start, and now I'm trying to sort out the consequences. The picture is:

    - Broker pushing a loan from BankWest
    - ANZ mobile lender pushing a loan from ANZ
    - Westpac relationship pushing a loan from Westpac

    Because they are each pushing their own product, including the broker, I am stuck trying to figure out what best fits my needs.

    My experience with the broker has actually been really good. The problem is that I went to him once I was in a jam, rather than from the start. He's identified BankWest as a solution to my problem, in that they're willing to offer us a loan based on my wife's income alone. Unfortunately he's been unable, of his own accord, to get other banks to play, including ANZ and Westpac.

    The reason why ANZ is willing to offer us a loan is because we've had a long-term relationship with the mobile lender and had a pre-approval some months back, before all the recent changes. The lender has done a huge amount of work to convince ANZ to loan to us despite the recent changes, and has barely squeaked it by. Our broker, mentioned above, was unable to get ANZ interested.

    With Westpac, we've also had an existing relationship through their premium banking relationship manager. At this point their willing to offer us a loan, based on my wife's income alone, but not up to the full 80% LVR we had been aiming for.

    Each is offering us different terms - and there's a lot to consider and compare. Unfortunately I can't say to the broker - "So here's what I've got through ANZ and Westpac. Comparing them with your loan through BankWest, which is better?" and really expect an unbiased reply. It would be different if he were offering loans through them as well, but unfortunately he's not.

    At this point BankWest is offering the best rates, but I haven't analyzed the bigger picture with fees, rules, etc, and I'm aware that many people on this forum don't think too highly of BankWest as a lender.
     
  12. Fortune Favors the Bold

    Fortune Favors the Bold Well-Known Member

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    Thanks Peter, I really appreciate this.
     
    Last edited: 11th May, 2016
  13. Peter_Tersteeg

    Peter_Tersteeg Finance broker and strategist Business Member

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    Obviously you're not going to get an unbias recommendation dealing directly with the banks, they can only recommend their own products and they want your business as much as anyone.

    Any broker should be able to recommend all of the lenders you've outlined (plus more), but you're afraid it will also be unbias. Any broker should be able to get rates match with ANZ or Westpac branch offers (in fact we're often able to beat those offers).

    Have you actually asked why BankWest over other lenders? Have you enquired about the longer term implications of using BankWest vs other lenders? Your broker should be able to describe very clearly to you why they're making a particular recommendation. You're asking questions on the forum which your broker should be able to answer for you with your specific circumstances in mind.

    The longer term implications of one lender over another isn't something you're going to find in a comparison spreadsheet. All you're going to see on this is how much the loan is going to cost you and you've already indicated that the BW recommendation is rate based.

    You need to understand the longer term implications of the recommendations. You won't ever truely get this information from a bank rep. You can't figure this out on your own either. If your broker isn't able to give you this info then it's probably time to move on from there as well.
     
  14. Fortune Favors the Bold

    Fortune Favors the Bold Well-Known Member

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    Thanks Peter. I appreciate the good, clear, frank, and direct advice. That's what I needed to hear.