Home loans

How to manage a home loan and a young family

3 min read

Home loans

How to manage a home loan and a young family

3 min read

Nappies, childcare, doctors, food, toys - for many young Aussie families, the list of everyday expenses can seem endless. Combine this with home loan repayments often on one income, staying afloat can be a struggle.

However, there are a few ways you can get some financial breathing space by taking control of your home loan repayments and budgeting for the future.

Create a budget

Having a member of the household not working while caring for a young child can be tough. It can seem like there’s no light at the end of the financial tunnel, however, there will probably come a time where both you and your partner can return to work. During this time you can risk falling behind on your home loan given other immediate household expenses. That’s why keeping to your repayments should be a priority.  

While creating a budget for a young family to live by can seem overwhelming, cutting the little things out of your daily spending can help you save money in the long run. This could mean renting toys from the toy library rather than taking a trip to the toy store, sacrificing your barista-made morning coffee, or meal prepping for the week ahead rather than taking the family out for dinner.

Change spending habits

Just because you’re budgeting on the small stuff, doesn’t mean you can’t still enjoy life’s pleasures. Simply adjusting the way you spend money can be useful in saving. Planning a holiday? Why not explore a ‘house-swap’ with other families, and save on accommodation. Staying in with the kids during winter or summer holidays but afraid to flick on the heater or the air conditioning? Consider shopping around for a cheaper energy plan. Are you and your partner both thinking about going back to work but can’t afford a nanny for school pick-ups? Try to find  other families in the neighbourhood interested in sharing a nanny .

Making minor adjustments like these can help you and your family live comfortably even when you’re paying off a home loan.

Make your mortgage work for you: Offset mode and home loan Cashback

You can take advantage of your mortgage by using it as a resource to manage your cash flow. Luckily, Suncorp Bank offers a 100% Offset mode and loan Cashback for our Standard Variable Home Loan.

Offset your mortgage

Offset accounts are a great way for you to put a dent in your mortgage by using the balance from a savings account, like your Suncorp Bank Everyday Options Account, to offset the remaining balance of your home loan and pay less interest. By keeping a large balance in your everyday account, this will reduce the interest (how much you’re being charged to borrow) and can help to reduce the time it takes to repay it.

Home loan Cashback

If you’ve made some extra payments to your loan, applying for a home loan Cashback can be a great way to access those extra payments in times of need, like upgrading to a family-sized car or paying for school fees.

It’s important to note that fixed interest rate home loans can’t be used in offset mode and aren’t eligible for a home loan Cashback. However, at Suncorp Bank you can ‘split your loan’, allowing you to get the security of a fixed rate loan and the flexibility of a variable rate loan. The way you split is totally up to you!

Plan ahead with a fixed interest rate loan

For those on a tight budget, switching to a fixed interest loan can give you more clarity on your loan repayments and help you avoid being caught out by fluctuating interest rates. This can help you paint a clearer financial picture for the future and help you to budget for upcoming expenses like extracurricular activities for the kids, Christmas shopping and even putting some money aside for a family holiday or home renovations.

Get an estimate of your repayments


If you’ve had the same home loan for years, it could be a good time to refinance. Explore your options by booking an appointment with one of Suncorp Bank’s experienced Mobile Lenders. They can work with you to help figure out the best solution for your needs – potentially saving you thousands.

Book an appointment with a lending specialist

Published 02 September 2022

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Home Loans are provided by Suncorp-Metway Ltd ABN 66 010 831 722 AFSL No. 229882 Australian Credit Licence 229882 (“Suncorp Bank”) to approved applicants only. Please read the relevant Product Information Document, Lending Fees and Charges and Home Package Plus Terms and Conditions before making a decision regarding any Suncorp Bank products. Fees, charges, terms and conditions apply and are available on request or on our Product Information Documents and Forms page.

The information is intended to be of a general nature only and any advice has been prepared without taking into account your particular objectives, financial situations or needs, so you should consider whether it is appropriate for you before acting on it. We do not accept any legal responsibility for any loss incurred as a result of reliance upon it – please make your own enquiries.