UK Mortgage Calculator
Calculate monthly repayments, compare mortgage deals, and understand the true cost of buying a home
Last updated: February 2026
Property & Mortgage
10.0% deposit • 90.0% LTV
Affordability Estimate
Based on 4.5x income, you'd need approx:
£60,000/year
Loan to Value (LTV)
StandardBalance Over Time
Annual Payments
Upfront Costs
+ solicitor fees (~£1,500), survey (~£500), moving costs
Summary
Understanding UK Mortgages
Everything you need to know about getting a mortgage
LTV (Loan to Value)
Percentage of property value you're borrowing. 10% deposit = 90% LTV. Lower LTV = better rates.
Repayment Mortgage
Monthly payments cover interest + loan principal. You'll own the property outright at the end.
Interest-Only
Only pay interest monthly. The full loan is still owed at the end - you need a repayment plan.
Fixed Rate
Rate stays the same for a set period (2-10 years). Protects against rate rises.
Tracker Rate
Follows Bank of England base rate. Payments go up/down with the base rate.
SVR (Standard Variable Rate)
Lender's default rate, usually higher. You move to this when your deal ends.
Product/Arrangement Fee
Fee to set up the mortgage. Lower rates often have higher fees.
ERC (Early Repayment Charge)
Penalty for overpaying more than allowed (usually 10%/year) during a fixed deal.
APRC
Annual cost including fees, as a percentage. Useful for comparing deals.
Porting
Taking your mortgage deal to a new property when you move.
Frequently Asked Questions
What is LTV (Loan to Value) and why does it matter?
LTV is the ratio of your mortgage to the property value, expressed as a percentage. For example, a £180,000 mortgage on a £200,000 home is 90% LTV. Lower LTV means you have more equity and typically qualifies you for better interest rates. Most lenders offer their best rates at 60% LTV or below. A higher LTV (above 90%) is considered higher risk, so rates are higher and fewer deals are available.
What is the difference between repayment and interest-only mortgages?
With a repayment mortgage, your monthly payment covers both the interest and a portion of the loan, so the mortgage is fully paid off by the end of the term. With an interest-only mortgage, you only pay the interest each month, so the original loan amount remains. Interest-only payments are lower, but you need a plan to repay the capital at the end (e.g. savings, investments, or selling the property). Most residential mortgages in the UK are now repayment.
How much can I borrow for a mortgage in the UK?
UK lenders typically offer 4 to 4.5 times your annual gross income, though some may go higher for certain professions or with large deposits. For joint applicants, both incomes are considered. Lenders also stress-test your affordability at higher rates (usually the standard variable rate + a buffer) to ensure you could still afford payments if rates rise. Your outgoings, credit score, and deposit size all affect the maximum amount you can borrow.
What is a fixed-rate vs variable-rate mortgage?
A fixed-rate mortgage locks your interest rate for a set period (typically 2 or 5 years). Your payments stay the same regardless of Bank of England base rate changes. A variable-rate mortgage (tracker or SVR) moves with the base rate, so payments can go up or down. Fixed rates offer certainty for budgeting, while variable rates can be cheaper initially but carry the risk of increases. Most UK borrowers choose fixed rates.
What fees should I budget for when buying a home?
Beyond the deposit, budget for: Stamp Duty Land Tax (varies by price and buyer status), solicitor/conveyancing fees (£1,000–£2,000), survey/valuation (£300–£1,500), mortgage arrangement fee (£0–£2,000, can be added to the loan), removal costs, and building insurance. First-time buyers are exempt from stamp duty on properties up to £425,000. Total additional costs typically range from £2,000 to £10,000+ depending on the property price.
Disclaimer: This calculator provides estimates only. Actual offers depend on your circumstances, credit history, and lender criteria. Speak to a qualified mortgage adviser. Rates and thresholds subject to change. Updated 2025.