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Mortgages & property

Mortgage affordability calculator (UK)

Estimate the maximum mortgage you can borrow and the property price you can target. Uses your income, deposit, existing commitments and a +3% stress-test — the same affordability logic UK lenders apply.

Max property you can buy
£238,000
Max loan
£198,000
Loan-to-value
83.2%
Total gross income£45,000
Income multiple (4.5×)Headline before affordability adjustments.£202,500
Reduction for other commitmentsApprox. 1.5× your annualised commitments.−£4,500
Estimated monthly payment at typed rate£1,037.64
Stress-test payment at rate + 3%Most lenders still apply a stress rate; budget for this.£1,423.97
Indicative maximum loan£198,000

This is an indication only. Real lender decisions also factor in credit score, employment type, account conduct and the property itself. The Bank of England removed its mandatory 3% stress test in August 2022 but most lenders still apply their own — typically between rate+1% and rate+3%.

How it works

  1. We start from a headline figure of total household income × your chosen income multiple. Most UK lenders use 4.0–4.75×; some go to 5.5× for higher earners or specific schemes.
  2. We then reduce the loan by about 1.5× your annualised existing commitments (loans, credit cards, car finance, childcare). Lenders run a more detailed affordability check; this approximates the typical adjustment.
  3. We show the monthly payment at your chosen rate and at rate + 3% as a stress test. The Financial Policy Committee removed its mandatory 3% test in August 2022 but most lenders still apply their own stress (typically rate +1% to +3%).

Common questions

Why is this different from what the bank told me?
Banks run a full affordability check using your real bank statements, credit file, lender-specific stress rate and policy. This calculator gives you a realistic ballpark before you apply, not a guaranteed number.
Should I use the maximum I can borrow?
Borrowing to the maximum leaves no buffer if rates rise at remortgage or your circumstances change. Many people aim for a payment that is comfortable at rate + 3%, not just today's rate.
Does this work for buy-to-let?
No. Buy-to-let affordability is based on rental income covering 125–145% of the mortgage interest, not on the landlord's salary. Use the buy-to-let yield calculator instead.

Background reading