Mortgage Calculator UK
Work out monthly mortgage repayments on a repayment or interest-only mortgage, your loan-to-value and the Stamp Duty due in England and Northern Ireland.
Property and mortgage
| Total interest | £180,224 |
| Total repaid over 25 years | £450,224 |
| Stamp Duty (England & NI) | £5,000 |
| Cash needed (deposit + Stamp Duty) | £35,000 |
Balance over time
| Year | Interest that year | Principal that year | Balance left |
|---|---|---|---|
| 1 | £12,028 | £5,981 | £264,019 |
| 5 | £10,850 | £7,159 | £237,216 |
| 10 | £9,048 | £8,961 | £196,178 |
| 15 | £6,792 | £11,217 | £144,806 |
| 20 | £3,967 | £14,042 | £80,499 |
| 25 | £431 | £17,578 | £0 |
Assumes one rate for the whole term; most UK deals are fixed for 2–5 years and then move to the lender’s variable rate. Stamp Duty is for a main residence in England or Northern Ireland — Scotland (LBTT), Wales (LTT) and additional properties differ.
Quick answer
Your monthly mortgage repayment depends on the amount borrowed, the interest rate and the term. A £270,000 repayment mortgage at 4.5% over 25 years costs about £1,501 a month and about £180,000 in interest over the full term; on interest-only the same loan costs £1,013 a month but the £270,000 is still owed at the end.
How UK mortgage repayments are calculated
On a repayment (capital and interest) mortgage each monthly payment is the same: M = P × r ÷ (1 − (1 + r)^−n), with P the loan, r the annual rate divided by 12 and n the number of months. Early payments are mostly interest; by the final years most of each payment clears the balance.
On an interest-only mortgage you pay just the interest each month (loan × rate ÷ 12) and repay the whole loan at the end of the term, usually from savings, investments or a property sale. Lenders require a credible repayment plan.
Loan-to-value (LTV) is the mortgage divided by the property price. Rates usually get cheaper at 90%, 85%, 75% and 60% LTV, so a slightly larger deposit can lower your rate as well as your loan.
Stamp Duty and other upfront costs
In England and Northern Ireland, Stamp Duty Land Tax on a main home is charged in bands: nothing up to £125,000, 2% to £250,000, 5% to £925,000, 10% to £1.5 million and 12% above. First-time buyers pay nothing up to £300,000 and 5% from £300,000 to £500,000; above £500,000 they pay the standard rates. Buying an additional property adds a surcharge.
Scotland charges Land and Buildings Transaction Tax and Wales charges Land Transaction Tax, with different bands. Budget also for lender arrangement fees, a survey, solicitor fees and moving costs.
Fixed rates and remortgaging
- Most UK mortgages are fixed for 2 or 5 years, then revert to the lender’s standard variable rate (SVR), which is usually much higher.
- Remortgaging or taking a product transfer before the fix ends avoids the SVR; enter your new rate here to see the new payment.
- Overpayments of up to 10% of the balance a year are allowed without penalty on most fixed deals.
Reference tables & worked examples
| Mortgage | At 4% | At 4.5% | At 5% | At 5.5% |
|---|---|---|---|---|
| £150,000 | £792 | £834 | £877 | £921 |
| £200,000 | £1,056 | £1,112 | £1,169 | £1,228 |
| £250,000 | £1,320 | £1,390 | £1,461 | £1,535 |
| £300,000 | £1,584 | £1,667 | £1,754 | £1,842 |
| £400,000 | £2,111 | £2,223 | £2,338 | £2,456 |
| Property price | Standard | First-time buyer |
|---|---|---|
| £200,000 | £1,500 | £0 |
| £250,000 | £2,500 | £0 |
| £300,000 | £5,000 | £0 |
| £400,000 | £10,000 | £5,000 |
| £500,000 | £15,000 | £10,000 |
| £600,000 | £20,000 | £20,000 (no relief) |
| £1,000,000 | £43,750 | £43,750 (no relief) |
Frequently asked questions
How much are monthly repayments on a £200,000 mortgage?
Over 25 years, about £1,056 a month at 4%, £1,112 at 4.5% and £1,169 at 5% on a repayment basis. See the table above for other amounts.
What is the difference between repayment and interest-only?
A repayment mortgage clears the loan by the end of the term. Interest-only has lower monthly payments, but you still owe the full amount borrowed at the end.
How much Stamp Duty will I pay?
In England and Northern Ireland, nothing on the first £125,000, 2% on £125,001–£250,000 and 5% on £250,001–£925,000 for a main home. First-time buyers pay nothing up to £300,000 if the price is £500,000 or less.
What is loan-to-value (LTV)?
The mortgage as a percentage of the property price. A £270,000 mortgage on a £300,000 home is 90% LTV. Lower LTV usually means a lower interest rate.
How long should my mortgage term be?
25 years is the traditional term, but 30–35 years is common for first-time buyers to lower monthly payments. A longer term means paying more interest overall.
How much can I borrow?
Lenders typically offer around 4 to 4.5 times household income, subject to affordability checks on your outgoings and a stress test at a higher rate.
Does this include Scotland or Wales?
Repayments apply anywhere in the UK, but the Stamp Duty figure is for England and Northern Ireland. Scotland uses LBTT and Wales uses LTT.
Sources
Estimates for general information only — not tax, legal or financial advice. Check your payslip, employer or a qualified adviser before acting.
Popular salary breakdowns
UK take-home pay for every salary from £15,000 to £100,000Related tools & guides
Get notified when UK tax bands or NI change
One email after the Budget or before the new tax year (6 April) if Income Tax or National Insurance changes.