Calculate your monthly mortgage repayments based on UK mortgage rules
Fill in your mortgage details to see your monthly repayments
Our UK mortgage calculator helps you estimate your monthly mortgage payments based on the property value, deposit amount, interest rate, and loan term. The calculator uses standard UK mortgage formulas to provide accurate estimates for both repayment and interest-only mortgages.
For repayment mortgages, your monthly payment covers both the interest and a portion of the capital (loan amount), meaning you'll own the property outright at the end of the term. For interest-only mortgages, you only pay the interest each month, and the full loan amount must be repaid at the end of the term through other means.
The calculator also shows your Loan-to-Value (LTV) ratio, which is the percentage of the property value you're borrowing. A lower LTV typically means better mortgage rates and more lender options. Most UK lenders offer mortgages up to 95% LTV for first-time buyers and 90% for others.
A mortgage is typically the largest financial commitment most people make in their lifetime. Understanding your monthly payments helps you budget effectively and ensures you don't overstretch yourself financially.
The difference between mortgage types can significantly impact your finances. While interest-only mortgages have lower monthly payments, you'll need a solid plan to repay the capital at the end of the term. Repayment mortgages provide peace of mind as you gradually build equity in your home.
Even small differences in interest rates can have a huge impact over the life of a mortgage. For example, on a £300,000 mortgage over 25 years, a 1% difference in interest rate can mean paying tens of thousands of pounds more in interest. That's why it's crucial to shop around for the best rates.
Understanding your LTV is also important when remortgaging. As you pay down your mortgage and your property value increases, your LTV decreases, which can give you access to better rates and save you money.
With a repayment mortgage, your monthly payments cover both the interest and part of the capital, so you'll own the property outright at the end of the term. With an interest-only mortgage, you only pay the interest, and you'll need to repay the full loan amount at the end through savings, investments, or selling the property.
This calculator provides accurate estimates based on the information you enter. However, actual mortgage offers may vary depending on your credit score, income, employment status, and the lender's specific criteria. Always get a formal mortgage quote from a lender or broker.
LTV is the percentage of the property value you're borrowing. For example, if you're buying a £300,000 property with a £30,000 deposit, you'll borrow £270,000, giving you an LTV of 90%. Lower LTVs typically get better interest rates.
Beyond the deposit and monthly payments, you'll need to budget for stamp duty (unless you're a first-time buyer buying under the threshold), solicitor fees, survey costs, mortgage arrangement fees, buildings insurance, and potentially ground rent and service charges for leasehold properties.
Yes, 95% LTV mortgages (5% deposit) are available in the UK, particularly for first-time buyers. However, you'll typically face higher interest rates compared to mortgages with larger deposits. Government schemes like the Mortgage Guarantee Scheme can help with 95% LTV mortgages.
The most common mortgage terms in the UK are 25-30 years. Shorter terms mean higher monthly payments but less interest paid overall. Longer terms reduce monthly payments but increase the total interest. Choose a term that balances affordability with your long-term financial goals.
Fixed-rate mortgages give you certainty over your monthly payments for a set period (typically 2, 3, 5, or 10 years), protecting you from interest rate rises. Variable and tracker mortgages can be cheaper but leave you exposed to rate changes. Consider your risk tolerance and financial situation when choosing.
UK lenders typically lend 4-4.5 times your annual income, though this varies based on your circumstances. They'll assess your affordability by looking at your income, outgoings, credit history, and other financial commitments. Some lenders may lend more for higher earners or those with excellent credit.
This mortgage calculator is provided for informational and educational purposes only. The results are estimates based on the information you provide and should not be considered financial advice.
Actual mortgage offers will depend on your individual circumstances, including your credit score, income, employment status, existing debts, and the lender's specific criteria. Interest rates, fees, and terms vary between lenders and products.
We strongly recommend speaking with a qualified mortgage advisor or broker before making any property purchase decisions. They can assess your specific situation and help you find the best mortgage deal for your needs.
This calculator does not account for additional costs such as mortgage arrangement fees, early repayment charges, buildings insurance, or changes to interest rates over time. Always read the full terms and conditions of any mortgage offer carefully.