Bridging Loan Calculator
This bridging loan calculator works out the peak debt while you own both properties and the debt left once your current home sells. Compare capitalised and monthly-paid interest, then test a lower sale price or a later settlement.
Purchase funding
The balance owing on the property you are selling.
Stamp duty, legal, registration and lender fees funded by the loan.
Savings or other cash you put towards the purchase.
Sale of your current property
Agent commission, marketing and legal costs paid from the sale.
Bridging interest
The example rate is hypothetical. Enter the annual rate quoted for the bridging loan.
Count from the purchase settlement. Enter 0 if both settle on the same day.
Capitalised interest raises peak debt and end debt. Paid interest keeps the balance flat but costs cash each month.
Scenarios to test
Extra months beyond your expected sale settlement.
Selling costs stay at the dollar amount you entered.
Results
Correct the marked input to calculate the bridging debt.
Peak debt
$1,396,232.18
Highest balance before the sale, including capitalised interestBridging interest
$51,232.18
Interest charged until the sale settlesDebt after sale
$616,232.18
After net sale proceeds repay the bridging debtCost of a later sale
$26,343.31
Extra interest for the sale delay you testDebt peaks at $1,396,232.18 before the sale. Net sale proceeds of $780,000.00 reduce it to $616,232.18.
How the debt builds and reduces
The purchase is funded first. Net sale proceeds then reduce the combined debt once.
| Item | Amount |
|---|---|
| Existing mortgage | $400,000.00 |
| New property purchase price | $950,000.00 |
| Purchase costs | $45,000.00 |
| Less cash contributions | -$50,000.00 |
| Debt at purchase settlement | $1,345,000.00 |
| Capitalised interest | $51,232.18 |
| Peak debt | $1,396,232.18 |
| Expected sale price | $800,000.00 |
| Less selling costs | -$20,000.00 |
| Net sale proceeds | $780,000.00 |
| Interest paid separately | $0.00 |
| Surplus after sale | $0.00 |
| Debt after sale | $616,232.18 |
Sale price and timing scenarios
Each scenario keeps the same purchase, costs, cash and interest rate.
| Scenario | Sale price | Months to sale | Bridging interest | Debt after sale | Surplus |
|---|---|---|---|---|---|
| Base case | $800,000.00 | 6 | $51,232.18 | $616,232.18 | $0.00 |
| Sale 3 months later | $800,000.00 | 9 | $77,575.49 | $642,575.49 | $0.00 |
| Sale price 10% lower | $720,000.00 | 6 | $51,232.18 | $696,232.18 | $0.00 |
| Sale price 10% lower and 3 months later | $720,000.00 | 9 | $77,575.49 | $722,575.49 | $0.00 |
Bridging debt by month
Base case. Capitalised interest adds to the closing debt. Paid interest leaves it unchanged.
| Month | Opening debt | Interest charged | Interest paid | Closing debt |
|---|---|---|---|---|
| 1 | $1,345,000.00 | $8,406.25 | $0.00 | $1,353,406.25 |
| 2 | $1,353,406.25 | $8,458.79 | $0.00 | $1,361,865.04 |
| 3 | $1,361,865.04 | $8,511.66 | $0.00 | $1,370,376.70 |
| 4 | $1,370,376.70 | $8,564.85 | $0.00 | $1,378,941.55 |
| 5 | $1,378,941.55 | $8,618.38 | $0.00 | $1,387,559.93 |
| 6 | $1,387,559.93 | $8,672.25 | $0.00 | $1,396,232.18 |
The entered rate applies to the whole bridging debt from purchase settlement until the sale settles. Interest is charged monthly at one twelfth of the annual rate and rounded to cents. A lender that calculates interest daily can produce slightly different amounts.
Results show debt from your entered amounts. They exclude lender fees you do not enter, valuation limits, approval and the repayments on the end debt. PDF opens your browser's print dialog. CSV includes every month and scenario.
Peak Debt and End Debt
Peak debt is the highest amount owed while you hold both properties. Add the existing mortgage, the new purchase price and purchase costs, then subtract cash contributions. Capitalised interest adds to that debt until the sale settles.
End debt is what remains after the sale. Subtract selling costs from the sale price to get net sale proceeds, then apply them to the peak debt. The existing mortgage already sits inside the peak debt, so the same proceeds repay it once.
Take a hypothetical $200,000 existing mortgage, a $500,000 purchase, $20,000 of purchase costs and $100,000 of cash. Debt at purchase settlement is $620,000. A $450,000 sale with $10,000 of selling costs gives $440,000 of net proceeds and leaves end debt of $180,000.
Using the gross sale price instead shows $170,000, which understates end debt by the selling costs. Deducting the existing mortgage a second time is a larger error. It turns the $180,000 of end debt into a $20,000 surplus that does not exist.
Interest During the Bridging Period
Bank bridging loans are usually interest-only until the sale. The interest is either capitalised or paid monthly. Capitalised interest is added to the loan each month, so peak debt and end debt both rise. Interest paid monthly comes from your cash and leaves the balance unchanged.
The starting example has $1,345,000 of debt at purchase settlement, a hypothetical 7.5% rate and a 6-month overlap. Capitalised interest adds $51,232.18, so peak debt reaches $1,396,232.18. Net sale proceeds of $780,000 leave end debt of $616,232.18.
Paying the interest monthly costs $8,406.25 a month, or $50,437.50 over 6 months. Peak debt stays at $1,345,000 and end debt falls to $565,000. Capitalising costs $794.68 more because later months also charge interest on the interest already added.
A longer overlap adds another month of interest for every month the sale takes. Under capitalisation, that interest stays in the end debt that the ongoing home loan must carry.
Sale Price and Timing Scenarios
The scenario table keeps the purchase, costs, cash and rate fixed and changes only the sale. It shows how much of the end debt depends on the sale price and when the sale settles.
In the starting example, the base case sells for $800,000 after 6 months and leaves end debt of $616,232.18. Selling 3 months later adds $26,343.31 of capitalised interest and lifts end debt to $642,575.49.
A 10% lower price of $720,000 leaves $700,000 after the same $20,000 of selling costs. End debt rises to $696,232.18. If the lower price also settles 3 months later, end debt reaches $722,575.49.
Enter a delay and price fall that match the risks in the file. Selling costs stay at the dollar amount you enter, so update them when the agent's commission is a percentage of the price.
Lender Examples and Limits
Searches for a Westpac, ANZ, CBA, NAB or St.George bridging loan calculator lead to the same peak-debt and end-debt maths. Enter each lender's quoted rate and interest treatment to compare their structures on one set of figures.
NAB's bridging loan guide works an example with a $250,000 remaining mortgage and $800,000 of purchase funds. Peak debt is $1,050,000, and $600,000 of sale proceeds leaves end debt of $450,000. Enter those amounts with $0 for costs and cash and 0 months to reproduce both figures. NAB's example leaves out interest and costs.
Westpac's bridging loan page and St.George's relocation loan page list interest-only capitalised repayments, with no repayments during the bridging period. CommBank's bridging loan page and ANZ require interest-only repayments while the bridge runs. CommBank calculates interest daily and charges it monthly, so its figures can differ slightly from this monthly model.
Westpac, St.George, ANZ and CommBank each publish a 12-month maximum bridging term. Use the sale delay to see the interest cost as a sale approaches that limit.
The calculator does not assess eligibility, valuations or lender approval. For how bridging loans are structured and approved, read what a bridge loan is in Australia. To compare lenders on peak debt, term and capitalised interest, see the best bridging finance lenders.