Moving from Melbourne to Southport — a real home loan example

1) Southport in 2025 — who this example fits

Southport sits on the central Gold Coast, with a mix of high-rise apartments, townhouses and established homes near the Broadwater, Griffith University and major health and education hubs. As at late 2025, many freestanding homes suitable for families trade somewhere around the $1.1–$1.2 million mark, with a wide range either side depending on pocket, land size and condition.

The Southport QLD 4215 Property Report 2025 digs into medians, rents, stock levels and yields. This case study zooms in on a common pattern we see right now: Melbourne upgraders moving to the Gold Coast, using equity in their current home to buy into Southport while balancing cash flow, buffers and timing.

It's not a forecast for the suburb. It's a worked example of how different loan structures and timing decisions change repayments, risk and lifestyle when you're upgrading into Southport from interstate.

2) Meet Liam and Josie and their starting point

Liam (37) works in IT and Josie (35) is a physiotherapist. They live in Melbourne's inner north with their two young kids in a three-bedroom townhouse. Their combined pre-tax income is around $235,000 per year.

Their Melbourne home is estimated at about $900,000, with an outstanding home loan balance near $520,000. After a few years of extra repayments and offset saving, they've built up both equity and a modest cash buffer.

Between likely sale proceeds (after selling costs) and savings, they expect to walk away with roughly $330,000–$350,000 they could put towards their Southport home, assuming they sell first.

After several trips to the Gold Coast, they've settled on Southport as the best fit: close to the Broadwater, schools, Griffith University and health precincts, with easy access to the light rail and Surfers Paradise. The type of home they keep coming back to sits around the $1.15 million mark.

Their core questions for Rate Challenge are:

To answer that, we build two realistic structures based on lender policy, Southport price bands and our Rate Review Calculator, then overlay their budget, buffers and appetite for risk.

3) Scenario A — sell in Melbourne, then buy in Southport

First, we model the more conservative path: sell first, then buy. Liam and Josie list their Melbourne townhouse, move into a short-term rental once it sells, then buy in Southport with a clean 80% LVR loan and no bridging.

Sale, net equity and deposit

Working with rounded figures:

• Likely Melbourne sale price: $900,000.
• Existing loan to be repaid: about $520,000.
• Allow ~$30,000–$35,000 for selling costs (agent, advertising, legals).
• Net equity available post-sale: roughly $345,000 (before any cash buffer they choose to keep aside).

Buying in Southport with 80% LVR

On a target Southport purchase price of $1.15 million:

• 80% LVR loan: about $920,000.
• 20% deposit/equity contribution: about $230,000.
• Allow ~$50,000 for Queensland transfer duty, conveyancing, inspections and moving costs (rounded working figure only).

That uses around $280,000 of their equity, leaving roughly $60,000–$70,000 in cash buffers and emergency savings.

Loan size and repayments — 80% LVR principal-and-interest

On these numbers:

• Southport home loan amount: about $920,000.
• Illustrative owner-occupied P&I rate: around 5.79% p.a. (rounded, not an offer).

Over 30 years at 5.79% p.a. principal-and-interest, the monthly repayment is roughly $5,400 per month.

Add a reasonable allowance for rates, insurance, utilities and maintenance and their total home-related outgoings might sit near $6,000–$6,200 per month.

The upside is a clean structure with one home, one loan and a clear budget from day one. The trade-off is they may need to move twice and risk missing the exact Southport home they want if the market moves quickly.

4) Scenario B — buy first with a bridging loan

Next, we look at a more complex path: buying the Southport property first using a bridging loan, then selling in Melbourne after they've secured and moved into their new home.

Peak debt with bridging

With a bridging structure, the lender typically looks at:

• The existing Melbourne home loan (~$520,000).
• The new Southport purchase price (~$1.15 million).
• Purchase costs and sometimes a contingency for interest during the bridging period.

On rounded numbers, that puts peak “on paper” debt at roughly $1.70–$1.75 million before the Melbourne sale. Lenders then stress-test Liam and Josie at higher assessment rates to make sure that is workable.

During the bridging period

Assume:

• Combined peak debt: around $1.72 million.
• Illustrative interest-only bridging rate: about 7.29% p.a. (rounded, not an offer).

At those levels, interest-only repayments during the bridging period could sit around $10,400 per month (covering both properties), before rates, insurance and other costs.

Liam and Josie wouldn't necessarily feel that full amount as extra outgoings (because they'd no longer be paying rent), but it's a meaningful short-term lift in monthly commitments that needs a solid buffer behind it.

After the Melbourne sale

Once their Melbourne townhouse sells for around $900,000, the sale proceeds are used to clear the old home loan and pay down the bridging facility. In this worked example, their end state is a long-term Southport loan of roughly $900,000–$920,000, very similar to Scenario A.

At that point, if the rate and term are similar (around 5.79% p.a. over 30 years), repayments land in the same $5,300–$5,500 per month range as Scenario A. The big difference is the higher, shorter-term cost and stress during the bridging period.

5) Southport move — cash flow and buffer comparison

The table below compares the two structures for the same $1.15 million Southport purchase, plus a third option of renting first. Figures are rounded, before tax and based on worked examples only. Actual pricing and servicing will depend on your situation and lender.

**Rates are illustrative and not a quote or offer. Actual pricing and assessments change regularly.
***Buffer estimates are rounded and will vary with your real sale price, costs, rent, lifestyle and savings habits. Always check Queensland transfer duty, land tax and tax treatment with your own adviser.

In practice, we run multiple versions of these scenarios through different lenders, compare them using the Rate Review Calculator and then stress-test them at higher rates and longer bridging periods before recommending a path.

6) What Liam and Josie actually chose (and why)

After working through the numbers with Rate Challenge and their accountant, Liam and Josie decided not to run a full bridging loan. Instead, they committed to a slightly slower move:

• They listed their Melbourne townhouse and secured a sale with a flexible settlement.
• They arranged a short period in temporary accommodation on the Gold Coast.
• They targeted an 80% LVR owner-occupied loan for their Southport purchase.

The main reasons:

• They preferred a structure where their monthly repayments would be predictable rather than spiking during a bridging period.
• They liked entering Southport with a meaningful cash buffer in case of job changes, childcare costs or future renovations.
• They were happy to move twice if it meant avoiding the psychological pressure of needing to accept any Southport home just to end the bridge.

Liam and Josie ultimately bought a four-bedroom home in Southport for about $1.13 million, with a long-term loan just under $900,000. They agreed to review their loan structure every 18–24 months using the Rate Challenge Rate Review Calculator and, if needed, the Refinance Southport pathway.

7) When this kind of Southport move can make sense

The goal of this case study isn't to declare that selling first is “better” than bridging, or that Southport is right for everyone. It's to show the trade-offs for a realistic Melbourne-to-Southport upgrade.

A more conservative sell-then-buy path can fit when:

• You want to know your exact equity position before committing to a Southport purchase.
• You'd lose too much sleep carrying two properties and a large bridging limit at once.
• You're okay with a short stint of renting or temporary accommodation while you find the right home.

A bridging loan might be worth exploring when:

• You've found a very specific Southport property and don't want to risk missing it.
• Your income, buffers and risk tolerance comfortably support higher short-term repayments.
• You have a realistic view of how quickly your current home is likely to sell in the Melbourne market.

If both options feel tight or rely on very optimistic sale prices, timelines or interest rates, that's often a sign to pause, build more buffer or adjust the Southport budget before committing.

8) Next steps, calculators and Southport help

If you're weighing up a move to Southport or elsewhere on the Gold Coast, it helps to turn the “what if” into a simple, structured plan:

Step 1: Map your current home loan, equity, other debts and how much monthly repayment you're genuinely comfortable with.
Step 2: Read the Southport QLD 4215 Property Report 2025 so you understand typical prices, stock and rents in the pockets you're targeting.
Step 3: Use the Rate Review Calculator to compare your current lender against what might be possible on a Southport purchase or refinance.
Step 4: Work through the broader Home Loan Guide to understand how banks view upgraders, bridging and buffers. 
Step 5: Speak with a broker who understands both Melbourne and the Gold Coast and can translate policy and numbers into a plan you're comfortable with.

Rate Challenge compares 35+ lenders and works with clients across Southport, the wider Gold Coast and interstate moves. The Mortgage Broker Southport page and the broader Mortgage Broker Gold Coast hub give more context on local pockets and lender appetite.

When you're ready to test your own plan, you can use the form above or head to Contact Rate Challenge. A short conversation can give you a much clearer view of what's realistic for your move.