Offset mortgages are a type of mortgage where your savings or current bank account is linked with your mortgage account. Here, the money you saved is used to offset your mortgage repayments. This savings account linked to your mortgage account is referred to as the “offset account.”
One of the biggest reasons why borrowers opt for an offset mortgage is that it helps them cut down the interest to be paid on their mortgage. When you get yourself an offset mortgage, the lender will deduct money in your savings account from your outstanding mortgage balance to give you a net balance. Then, the mortgage interest is charged on this net balance instead of the total outstanding mortgage balance. This reduces the mortgage interest and helps you save more money.
How do offset mortgages works?
Offset mortgages can help you reduce your monthly payments or your mortgage term. If you choose to reduce monthly payments with an offset account then your monthly mortgage payment will keep on reducing over the mortgage period, but your mortgage terms will not be reduce.
If you choose to reduce the term of your mortgage by using an offset account then your monthly mortgage payment will not change, resulting in overpayments which help to pay off your mortgage early.

Some important things to consider before getting an offset mortgage:
Take help from a mortgage broker.
Especially if you are investing in a property, make sure you take help from a skilled and experienced mortgage broker. Mortgage brokers help you scan the entire market and get you deals that are the most suitable under your circumstances.
A good mortgage broker will understand your needs and help you make the most out of an offset mortgage. If you are willing to switch to an offset mortgage, get in touch with a suitable mortgage broker near you.

Choose the right lender.
Before you go ahead with getting an offset mortgage, it is important to know that there are subtle differences between the mortgages and deals offered by different mortgage lenders. Make sure you are aware of these differences before finalising a lender.

Pros and cons of an offset mortgage:
Pros

An offset mortgage helps you save on your interest payments.
Most offset mortgages allow you to use your savings.
It is a good way to help your family members get on the property ladder.

Cons

An offset mortgage often comes with higher interest rates compared to traditional mortgage deals.
You will not be able to earn interest on the money stored in your savings account.
Borrowers often prefer using their cash savings to pay off a part of their mortgages (to lower the LTV) instead of getting an offset mortgage.

What Our Clients Say

Made The Process Easy.

I came across Milton and his team after some research - I was looking to avoid the big money houses after a few disappointing experiences. Milton made the process easy and was transparent throughout. Thanks to the team!

Ashley

8 Jul 2026

Excellent customer service

Excellent customer service, recommend for anyone looking for mortgage.

Kannan S

19 Jun 2026

Very happy with the service provided and...

Very happy with the service provided and would highly recommend it to others.

Chaim B

15 Jun 2026

I had a fantastic experience with Mariannafs...

I had a fantastic experience with Mariannafs. From the very beginning, they were knowledgeable, responsive, and always willing to answer any questions I had. They took the time to explain everything clearly, kept me updated at every stage, and worked hard to secure a mortgage offer that suited my circumstances. Their guidance and support made everything feel simple and manageable. I would highly recommend their services to anyone looking for a reliable, professional, and supportive mortgage broker. Thank you for all your help in making my first home purchase a reality.

Leila

12 Jun 2026

After going through a few mortgage advis...

After going through a few mortgage advisors we’d given up on purchasing a home. Until a family friend who themselves have got their mortgage done through MariannaFS got us in touch with Milton. Sent him the relevant documents and we were assured of a mortgage within a week. Like to thank Nelson as well.

Keith

29 May 2026

I had an excellent experience with Mariannafs...

I had an excellent experience with Mariannafs. Milton and Jeanal assisted us in a every step. They were professional, knowledgeable, and incredibly supportive throughout the entire process. They explained everything clearly, answered all my questions promptly, and made what could have been a stressful experience feel smooth and straightforward. Their attention to detail and commitment to finding the best mortgage deal for my situation was outstanding. I always felt informed and confident at every stage. I would highly recommend their services to anyone looking for a reliable and trustworthy mortgage advisor.

Vishal P

27 May 2026

Great Service, very responsive

Great Service, very responsive - helped us in securing a very good mortgage!

Lisa Sophie

23 May 2026

Amazing Service

Amazing Service and very efficient, would recommend for any financial and mortgage advice

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