Consumer & residential

LVR & Lenders Mortgage Insurance Calculator

Work out your loan-to-value ratio and estimate the Lenders Mortgage Insurance premium payable above 80% LVR, including what it costs once capitalised onto the loan.

Published rates notice: this calculator uses published scales (duty brackets or insurance premium bands) that change with government budgets and insurer pricing. They are indicative. Confirm the current figures with the relevant state revenue office or lender before relying on the result.

Frequently asked questions

Why is 80% LVR the threshold?

Loss data shows default losses rise sharply once equity thins, so above 80% lenders require mortgage insurance to cover the shortfall if the property sells for less than the debt.

Is capitalising the premium a bad idea?

It preserves cash but you pay interest on the premium for the life of the loan. On a large premium carried for 30 years the interest can exceed the premium itself.

General advice warning: This calculator provides general information only. It does not take into account your objectives, financial situation or needs, and it is not personal credit or financial advice.

Results are estimates based on the inputs and assumptions shown. Any interest rate used is an example and is not an offer of credit. Speak to a licensed credit representative before acting on these figures.