Calculate how much you can borrow for a mortgage
Include loans, credit cards, and other monthly obligations
£275,000
£225,000
£1,250.62
42.0%
Note: Most lenders use 4-4.5x annual income as a guideline. The actual amount you can borrow depends on your credit score, existing debts, and the lender's criteria.
Before you start viewing properties, one question matters more than any other: how much can you actually borrow? UK lenders assess affordability in detail — they look beyond your salary and consider your existing monthly commitments, living costs, and how your finances would hold up if interest rates were to rise. This affordability calculator gives you a realistic estimate of your maximum borrowing power based on the same criteria lenders use.
Getting this figure right at the start of your property search saves a lot of wasted effort. There is no point falling in love with a £400,000 home if the most you can borrow is £280,000. Equally, some buyers underestimate their borrowing capacity and miss out on properties they could have comfortably afforded. Use this tool to set a realistic budget before you speak to an estate agent or mortgage broker.
Your deposit size is just as important as your income. A larger deposit reduces the loan-to-value (LTV) ratio on the mortgage, which typically gives you access to lower interest rates. Try entering different deposit amounts to see how your maximum property price and monthly payment change. Even an extra £5,000 in deposit can make a meaningful difference to the rate you are offered.
The calculator applies the income multiple method used by most UK lenders. It takes your annual income and multiplies it by 4.5 (the standard maximum for most high-street lenders) to produce a maximum borrowing figure. It then subtracts the impact of your monthly debts by converting them to an annual cost and factoring that against your income. Your deposit is added to the maximum borrowing to give a maximum property price.
The monthly payment is calculated on the maximum borrowing figure at your stated interest rate over the chosen term, using the standard amortisation formula. The debt-to-income ratio shows what percentage of your gross monthly income goes toward debt repayments — lenders generally prefer this to stay below 40–45%. These are estimates; your actual offer will depend on a full lender assessment including credit score and employment type.