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🇬🇧 United Kingdom / Mortgage
Calculate UK mortgage payments, affordability, and Stamp Duty Land Tax. Covers 2-year and 5-year fixed rates, SVR revert costs, and LTV-based pricing.
10 calculators
Find out how much you can borrow for a mortgage in the UK. Based on income, deposit, and existing commitments under standard lender income multiples and affordability rules.
Calculate monthly payments, rental yield, and profitability of a buy-to-let property in the UK. Factor in Stamp Duty surcharge, mortgage interest tax relief changes, and stress test rates.
Calculate your monthly payments under the Help to Buy equity loan scheme. See the split between your mortgage, equity loan repayments, and how the scheme affects your total cost.
Calculate your mortgage Loan-to-Value ratio and see which LTV bands you fall into. Find out how your deposit size affects available mortgage rates and lender eligibility.
Compare two or more UK mortgage deals side by side. Calculate total cost including fees, monthly payments, and interest over the full term or initial fixed period.
Calculate your monthly mortgage repayment and total interest for any UK home loan. Enter property price, deposit, term, and interest rate to see your full payment schedule.
Calculate how much interest and time you save by overpaying your UK mortgage. See the impact of monthly overpayments or lump sums on your mortgage end date and total cost.
Calculate whether remortgaging saves money when your fixed rate ends. Compare your current rate against new deals after accounting for exit fees, arrangement fees, and solicitor costs.
Calculate your monthly costs under Shared Ownership including mortgage payment and rent on the unsold share. See total housing costs and staircasing options for buying more shares.
Calculate Stamp Duty Land Tax on any UK residential property purchase. Covers first-time buyer relief, additional property surcharge, and the latest SDLT threshold changes.
The UK mortgage market operates on fundamentally different terms from markets like the United States, where 30-year fixed rates are the norm. In the UK, borrowers take out mortgages with initial fixed periods, most commonly 2 or 5 years, during which the interest rate is locked. At the end of the fixed term, the mortgage reverts to the lender's Standard Variable Rate (SVR), which is typically 2–4% higher than the fixed rate. This creates a refinancing cycle where borrowers shop for a new deal every 2–5 years, incurring arrangement fees each time but avoiding the long-term rate lock that US mortgages impose.
The Bank of England base rate is the primary driver of mortgage pricing. The base rate reached 5.25% in August 2023 before being cut to 4.75% in late 2024, bringing average 2-year fixed rates to approximately 5.1% and average 5-year fixed rates to approximately 4.8%. Loan-to-Value (LTV) ratio is the most important pricing variable, with borrowers at 60% LTV or below accessing lower rates than those at 90–95% LTV.
Stamp Duty Land Tax (SDLT) is a one-off purchase cost payable on properties above £250,000. First-time buyers benefit from enhanced nil-rate thresholds. Lenders Mortgage Insurance is not standard in the UK, but lenders require higher deposits or charge higher rates at elevated LTV ratios. The Help to Buy scheme ended in March 2023, replaced by various First Homes and shared ownership schemes for eligible buyers.
Lenders apply their own affordability stress tests on top of FCA requirements, typically checking that the borrower can afford repayments at the SVR or at the fixed rate plus 3%, whichever is higher. Interest-only mortgages are available but require an approved repayment vehicle. Offset mortgages, where savings linked to the mortgage reduce the interest-bearing balance, are less common than in Australia but are offered by a handful of UK lenders.