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🏠 Mortgage Calculator (UK)

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

A UK mortgage repayment is calculated using the standard amortisation formula M = P × [r(1+r)^n] ÷ [(1+r)^n − 1]. The Bank of England base rate drives variable products; fixed-rate deals price off SONIA swap rates. The FCA's Mortgage Conduct of Business handbook governs UK affordability rules.

UK mortgage maths in 2026 sits in a meaningfully different regime from the pre-2022 era of sub-2% rates. Borrowers refinancing from deals struck in 2018-2021 are landing in 4-5% products, and the affordability stress test embedded in lender models has materially compressed how much most households can borrow.

This calculator handles the four mortgage products UK borrowers actually use:

Beyond the headline rate, the calculator handles: - Capital repayment vs interest-only — capital repayment is the default for residential; interest-only is typically restricted to buy-to-let or high-net-worth lending - Term length — 25 years is standard, but 30-35 year terms are increasingly common to pass affordability. Extending term raises lifetime interest cost materially - Loan-to-value tiers — pricing steps at 60% / 75% / 85% / 90% / 95% LTV. Below 60% gets the best rates; 95% LTV (via the Mortgage Guarantee Scheme) carries the biggest premium - Affordability — lenders cap at 4-4.5x income, with FCA-mandated stress-testing against SVR+1% - Stamp Duty Land Tax — separate calculation; first-time buyers pay no SDLT up to £425,000 in England/NI

For underlying rules, the FCA's MCOB handbook governs UK mortgage advice and the Bank of England's monthly Money and Credit statistical release covers current SME and household lending rates. HMRC's Stamp Duty Land Tax calculator on gov.uk handles the SDLT calculation separately.

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🏠 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
$0
Monthly P&I Payment
$0
Total Monthly (incl. tax & ins.)
$0
Total Interest Paid
$0
Total Cost of Loan

Mortgage Summary
ItemValue

Amortisation Schedule (first 24 months)
MonthPaymentPrincipalInterestBalance
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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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