Mortgage calculator
Use our quick and easy-to-use mortgage calculator to see how much you could borrow.
How much can I borrow?
Your income
Applicant 2's income
You could borrow up to
How much will it cost?
on a repayment basis
Important information about our mortgage calculator
We’ve put this mortgage calculator together to help you get an idea of what mortgage you could afford and the monthly repayments, however the rates and figures shown are for illustrative purposes and realistically the rate you pay will change during your chosen mortgage term. Before taking any mortgage out you should get a personalised illustration showing the full costs and charges, and if you have any questions on this please speak to your adviser.
Use our Mortgage Finder for a personalised quote
Our Mortgage Finder will show you how much you can borrow for a mortgage and what your monthly mortgage repayments might be. Then our Mortgage Finder’s unique mortgage affordability calculator will check over 45 lenders’ results and generate your Mortgage in Principle.
A Mortgage in Principle is a certificate indicating how much a lender is theoretically willing to lend you. It’s not a guarantee of a mortgage approval but it’s the initial step in the mortgage process. This certificate is an indicator that if you pass a lender’s mortgage affordability checks, you might be able to borrow up to the stated amount. You’ll also be able to see what your monthly repayments could hypothetically cost.
Get a Mortgage in Principle
See how much you can borrow and which deals you could be eligible for, and we'll email your certificate in minutes.
We'll check affordability for up to 45 lenders
Fee free, no obligation decision
FAQs about our first time buyer mortgage calculator
The amount you can borrow will vary between lenders, but - assuming you pass affordability checks - most lenders allow you to borrow up to between 4.5 and 5.5 times your annual salary. That means that if you earn £30,000, you may be able to get a mortgage of around £150,000.
Some lender offer mortgages up to 6 times your salary but this tends to be limited to certain products or professions. Bear in mind that, as well as your salary, lenders will take other factors into account such as your monthly spending, your deposit size, your age, and type of employment.
Your mortgage repayments depend on several factors, including how much you’re borrowing, your mortgage term, and the rate of interest you’re paying. If you opt for a repayment mortgage you’ll make monthly repayments which cover both the capital you borrowed and the interest due. If it’s interest-only you’ll just be paying the interest rather than reducing the amount you owe.
On a repayment mortgage the longer the mortgage term you choose the cheaper your monthly payments will be, but you’ll end up paying back more overall. If you choose a shorter term, your monthly payments might be higher, but you’ll reduce the total amount of interest you need to pay back, as you’ll be paying off the loan more quickly.
Calculating monthly payments
Once you’ve got an idea of how you’d like to repay your mortgage and how much you can borrow you can get started and calculate your monthly repayments. To work out exactly how much you’ll pay every month, you’ll need to know how much you want to borrow, over how many years, and what interest rate you’ll be paying.
You can then enter these figures into our repayment calculator and it’ll crunch the numbers and tell you how much your repayments might be every month, as well as the total amount you’ll pay over the term. You’ll also see exactly how much interest you’ll pay overall, and when you use our mortgage overpayment calculator, overpayments can also be added to see how this can help bring the total amount you’ll pay down.
Remember that you’re unlikely to pay the same interest rate throughout your mortgage term though, as most deals only last for a few years. If you don’t remortgage to another deal after your initial deal ends, you’ll default to your lender’s standard variable rate which is likely to result in higher monthly payments.
Mortgage payments have two separate parts: the total amount you’ve borrowed (the capital) and the interest charged on your loan. If you have a repayment mortgage, your monthly payments will cover both of these parts, with a portion of your monthly payment going towards the capital, and the other part covering the interest on your debt.
With an interest only mortgage you are only covering the interest with your mortgage payments so the amount you owe is not reducing each month. So, in summary your mortgage payments are calculated based on the amount borrowed, the term of your mortgage, the type of mortgage you’ve chosen, and the interest rate. When you take out a mortgage through L&C, we’ll take you through the options and ensure you understand exactly how much you’ll have to pay back every month.
If you’re buying a property that needs renovation, you might be wondering whether you can take out an additional amount on your mortgage to cover the work that needs to be done.
Unfortunately, lenders base their mortgage offers on the lower of the purchase price or current value of the property.
If you have a large deposit you may be able to hold some of that back to carry out the work and borrow more on your mortgage, but generally lenders will not lend more than 90-95% of the current value.
To ensure you have the best possible chance of obtaining mortgage approval, make sure that you check your credit report before starting the mortgage application process. When reviewing your report, which can be done for free via credit reference agencies like Experian, make sure there’s no incorrect information, as any discrepancies could affect your mortgage application.
You should also try and save as big a deposit as possible, but if you are a first time buyer or finding it difficult to save up enough for a big deposit, there are options available to you. You could look at schemes like shared ownership or shared equity, or a guarantor mortgage where a family member agrees to meet your monthly repayments if you can’t. Use our mortgage loan calculator to work out how much you might need to borrow and what deposit you need to save.
To figure out how much deposit you need it’s helpful to know what ‘loan to value’ (LTV) means, so the size of mortgage in relation to the value of the home you want to buy. The lower your LTV, the wider range of mortgages are available to you.
Use our offset calculator to see if you could save money on your mortgage
Use our loan to value calculator to see your LTV percentage
