Real estate

UK Mortgage Calculator

Estimate a fixed-rate UK repayment mortgage from property price, deposit percent, interest rate, and term. Optionally add council tax, buildings insurance, mortgage insurance, service charges, and ground rent — using rates and costs you enter.

Calculate

£

Percent of the property price paid upfront. Loan amount = price − deposit.

%

Annual rate from your quote or scenario — not a live market feed.

%
years

Optional. Divided by 12 for the monthly estimate.

£

Optional buildings (and contents if you include it) premium per year.

£

Optional monthly premium when required (often with a lower deposit).

£/mo

Optional — leasehold service charges or similar.

£/mo

Optional — ground rent, or similar recurring costs.

£/mo

Updates as you type

Result

—

The formula

Loan amount is property price minus the deposit. A repayment mortgage then uses the standard amortization formula so capital and interest stay level while the balance declines. Optional annual costs are divided by 12 and added for a fuller monthly housing estimate.

Loan = Price × (1 − Deposit%/100) · M = P × [r(1+r)^n] / [(1+r)^n − 1] · Housing ≈ M + tax/12 + insurance/12 + MI + service charges

Worked example

  1. Property £350,000 with 15% deposit → loan P = £297,500
  2. Rate 5% for 25 years → r = 0.05/12; n = 300 → repayment ≈ £1,739.16
  3. Council tax £2,400 and buildings insurance £450 a year → +£200 and +£37.50 per month

Result: ≈ £1,739.16 repayment · ≈ £1,976.66 with council tax & buildings insurance

How this UK mortgage estimate is built

Most UK residential mortgages are repayment loans: each payment covers interest and reduces capital so the balance is cleared by the end of the term. You supply the interest rate and any local costs — nothing is pulled from live market feeds.

From price to loan

Enter the purchase price and a deposit percent. The calculator derives the loan balance. A 15% deposit on a £350,000 home leaves £297,500 to finance.

Capital & interest (repayment)

With monthly rate r and n = years × 12, the payment formula keeps the loan paid off by month n. Early payments are mostly interest; later ones retire more capital.

If the rate is 0%, payment is simply loan ÷ n. This page models repayment, not interest-only.

Optional housing costs

Council tax and buildings insurance are often thought of monthly (annual ÷ 12). Mortgage insurance may apply with a smaller deposit. Service charges, ground rent, and similar recurring costs can be added as monthly amounts you already know.

Leave optional fields at zero if you only want the mortgage repayment.

What we do not model

No live rate quotes, product fees, Stamp Duty Land Tax (or LTT/LBTT), SVR resets after a fixed deal, or overpayment schedules. Compare APRC and lender illustrations; recalculate when your quoted rate or deal period changes.

Interesting facts

You choose the rate

UK mortgage rates move with markets and credit. This page never auto-fills today’s averages — enter the rate from your Decision in Principle, offer, or a scenario you want to stress-test.

Deposit changes the loan

A larger deposit shrinks the loan and usually the repayment. Lower deposits can mean higher rates or mortgage insurance until equity rises.

Fixed deal then SVR

Many UK deals fix the rate for 2–5 years, then revert to the lender’s SVR unless you remortgage. This tool assumes one constant rate for the full term you enter.

Fees change APRC

Arrangement and booking fees raise the true cost. Compare APRC, not only the initial rate — this page estimates repayment and optional housing costs, not APRC.

Term trades payment for interest

Shorter terms raise the monthly repayment but usually cut lifetime interest. Longer terms do the opposite — useful when cash flow matters more than total cost.

Frequently asked questions

We take loan = price × (1 − deposit%/100), then apply M = P × [r(1+r)^n] / [(1+r)^n − 1] with monthly rate r and n = years × 12. That figure is capital and interest on a repayment mortgage.

Only if you fill those optional fields. Annual council tax and buildings insurance are split into monthly amounts; mortgage insurance, service charges, and other costs are added as monthly pounds you enter.

Rates change constantly and depend on credit, LTV, product, and deal length. Enter the rate from your lender quote or a planning assumption so the math stays accurate for your scenario.

A single fixed rate for the whole term you enter. For a 2- or 5-year fix, use that rate for the period you are studying and expect a different rate (often SVR) afterward unless you remortgage.

Enter the real percent. If your lender requires mortgage insurance, put the monthly premium in the mortgage insurance field until you expect it to drop off.

No. It is an educational estimate. Check FCA-regulated advisers and lender illustrations for fees, affordability stress tests, and APRC.

References

  1. Mortgages — MoneyHelper — MoneyHelper (Money and Pensions Service) Independent UK guidance on buying a home and mortgages.
  2. Mortgage comparison tools — GOV.UK / MoneyHelper Official consumer-facing mortgage education and calculators.
  3. Stamp Duty Land Tax — GOV.UK Upfront property tax context for England and Northern Ireland.