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🏠 Mortgage Calculator for First-Time Buyers

Calculate your monthly repayment, total interest, and full amortisation schedule for any home loan.

First-time buyer (FTB) schemes vary by country. UK FTBs use the Lifetime ISA, Mortgage Guarantee Scheme, Shared Ownership, and FTB Stamp Duty relief. US FTBs use FHA (3.5% down), VA (0% for veterans), USDA rural loans, and state-level Down Payment Assistance. South Africa offers the FLISP subsidy.

First-time buyers in 2026 face the most challenging affordability environment in 30+ years on both sides of the Atlantic. UK house-price-to-income ratios are at 8-10x in London and 5-6x nationally; US home prices have risen 45%+ since 2020 against mortgage rates near 6-7%. This calculator models the FTB-specific schemes that actually move the affordability needle.

UK first-time buyer toolkit: - Lifetime ISA (LISA): contribute up to £4,000/year between ages 18-50, receive a 25% government bonus (maximum £1,000/year), usable for a first home up to £450,000 or for retirement at 60 - FTB Stamp Duty relief (England/NI): no SDLT up to £425,000; 5% on the portion £425,001-£625,000; no relief on properties above £625,000. Scotland (LBTT) and Wales (LTT) have separate FTB structures - Shared Ownership: buy 25-75% of a property, pay rent on the rest, staircase ownership up over time - Mortgage Guarantee Scheme: government guarantees the 91-95% LTV slice to encourage 5% deposit lending. Authoritative source: gov.uk Help to Buy and Lifetime ISA pages, plus HMRC SDLT guidance

US first-time buyer toolkit: - FHA Loan: 3.5% down with 580+ FICO; 10% down with 500-579 FICO. Mortgage insurance for the life of the loan if down payment is under 10% - VA Loan: 0% down for eligible veterans/active duty/spouses, no PMI, capped funding fee - USDA Rural Development: 0% down in designated rural areas, income limits apply - State and local DPA: most states offer 3-5% down payment assistance grants or forgivable second loans - HomeReady (Fannie) / Home Possible (Freddie): 3% down conventional with reduced PMI for lower-income borrowers - Authoritative sources: HUD homebuyer resources and the CFPB's loan-program comparison guides

South Africa first-time buyer toolkit: - Finance Linked Individual Subsidy Programme (FLISP): government subsidy for qualifying first-time buyers earning R3,501-R22,000/month, paid as either a deposit contribution or a loan reduction - No transfer duty on properties below R1.1M (2024 threshold) - Authoritative source: Department of Human Settlements FLISP guidance

The calculator models each regime in parallel, surfacing total cost of borrowing across the holding period rather than headline monthly payment alone — because FHA's life-of-loan MIP and LISA's compounded bonus play out over decades, not months.

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Home › Mortgage Calculator

🏠 Mortgage Calculator

Calculate your monthly repayment, total interest, and full amortisation schedule for any home loan.

How is a mortgage payment calculated?

A standard fixed-rate mortgage uses the amortising annuity formula: M = P × r(1+r)n / ((1+r)n−1), where P is the loan amount, r is the monthly interest rate (annual ÷ 12), and n is the total number of monthly payments. Most of each early payment goes to interest; the principal share grows over time.

Your Mortgage Details
Your Mortgage Summary
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Monthly P&I Payment
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Total Monthly (incl. tax & ins.)
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Total Interest Paid
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Total Cost of Loan
Mortgage Summary
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Amortisation Schedule (first 24 months)
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Methodology & Sources

This calculator implements the standard mortgage amortisation formula: M = P × [r(1+r)^n] / [(1+r)^n − 1]. Region-specific tax and rate defaults are sourced directly from each country's primary government source and reviewed against the publication date below.

Last verified: May 2026.

Frequently Asked Questions

How is a mortgage payment calculated?
Your principal and interest payment uses the formula M = P × r(1+r)⊃n / ((1+r)⊃n − 1), where P is the loan amount, r is the monthly interest rate (annual rate ÷ 12), and n is the total number of payments (years × 12). This gives a fixed payment that fully repays the loan over the term.
How much deposit do I need?
In the USA, a 20% down payment avoids Private Mortgage Insurance (PMI). In the UK, most lenders require 5–10% with better rates at 25%+. In South Africa, banks typically require 10% though 100% bonds are sometimes available to qualifying first-time buyers. A larger deposit always reduces your monthly payment and total interest.
Should I choose a 15 or 30 year mortgage?
A 15-year mortgage has higher monthly payments but you pay significantly less interest overall — often less than half. A 30-year mortgage offers lower monthly payments and cash flow flexibility. If you can comfortably afford the 15-year payment, you will build equity much faster and save substantially on interest.
South Africa: What is transfer duty?
Transfer duty is a government tax on property transfers. Properties up to R1,100,000 are exempt. Above that, rates range from 3% to 13% on a sliding scale. Transfer duty is a once-off cost paid by the buyer on registration and is separate from your monthly bond repayment.
UK: What is stamp duty?
Stamp Duty Land Tax (SDLT) is paid on property purchases in England and Northern Ireland. From April 2025, the nil-rate threshold returns to £125,000 (2% on £125k–£250k, 5% on £250k–£925k). First-time buyers get relief up to £425,000 until March 2025, then £300,000. Scotland and Wales have their own equivalent taxes.
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