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TARANProperty Hub

Money & Mortgage

Steps 2 and 3 of the journey: your deposit, your real budget and getting ready for a mortgage.

Mortgage & LTV Calculator

See how the property price, deposit, interest rate and term affect your loan-to-value (LTV) and monthly repayments. Free, no sign-up, nothing is sent anywhere.

Your figures

Deposit

Enter the deposit in £ or as a %. The other updates automatically.

Mortgage amount

£270,000

Calculated automatically: property price − deposit.

Type any rate you want to test. We do not show live mortgage rates.

Mortgage term
Repayment type

Capital repayment: each monthly payment covers interest and part of the loan, so the loan is fully repaid by the end of the term.

Results

Illustrative estimates

Monthly repayment

£1,500.75

Repayment · 4.5% · 25 years

LTV

90%

Higher deposit = lower LTV.

Property price

£300,000

Deposit

£30,000

10%

Mortgage required

£270,000

Interest rate

4.5%

Mortgage term

25 years

Total repayment over term

£450,224

Total interest over term

£180,224

Assumes the same interest rate for the whole term. In practice rates usually change after an initial fixed or tracker period, and fees are not included.

What is LTV?

LTV (loan-to-value) is the mortgage as a percentage of the property price: mortgage ÷ price × 100. For example, a £270,000 mortgage on a £300,000 property is 90% LTV.

A lower LTV often gives access to more mortgage products, but no particular LTV guarantees a mortgage or an interest rate. Each lender makes its own decision.

Quick LTV scenarios

Based on your property price of £300,000.

DepositDeposit £MortgageLTV
5%£15,000£285,00095%
10% (closest to your deposit)£30,000£270,00090%
15%£45,000£255,00085%
20%£60,000£240,00080%
25%£75,000£225,00075%
40%£120,000£180,00060%

Higher deposit = lower LTV.

What if the interest rate changes?

Estimated monthly repayments on your mortgage amount and term at higher rates. This is an illustration to show sensitivity to rates, not a lender's stress test.

Interest rateMonthlyChange
4.5%your rate£1,501—
5.5%+1%£1,658+£157
6.5%+2%£1,823+£322
7.5%+3%£1,995+£495

Term comparison

Approximate monthly repayments on your mortgage amount and rate over different terms. Not every term is available to every borrower; lenders set their own limits.

TermMonthly
20 years£1,708 / month
25 years£1,501 / month
30 years£1,368 / month
35 years£1,278 / month

This calculator provides illustrative estimates only. It is not mortgage advice and does not confirm how much you can borrow, the interest rate you may receive or whether a lender will approve an application. Speak to an appropriately authorised mortgage adviser for advice based on your circumstances.

Abbreviations: LTV — loan-to-value. AIP / DIP — Agreement in Principle / Decision in Principle: a lender's early indication of how much it may lend, not a mortgage offer.

Step 2

Money

This stage is about your money: the deposit, the other costs of buying, a safety buffer and what monthly payment you can manage.

  • Add up the savings you can use for a deposit.
  • Estimate your other buying costs (solicitor, survey, fees, moving, possible tax).
  • Keep a buffer for emergencies after you move in.
  • Work out a monthly payment you are comfortable with — not just the maximum.
  • Check your credit report and fix any errors.
  • Start gathering documents a mortgage adviser normally asks for.
Open stage: Money

Step 3

Mortgage Ready

This stage prepares you to borrow. You learn the language of mortgages, speak to an authorised mortgage adviser or lender and usually obtain an Agreement in Principle (AIP).

  • Learn the key terms: AIP, LTV, fixed rate, term, product fee.
  • Decide whether to use a mortgage broker or go to a lender directly.
  • Check any adviser on the FCA Register.
  • Prepare the information an adviser normally asks for.
  • Obtain an Agreement in Principle.
  • Note the date your AIP expires.
Open stage: Mortgage Ready

Work out your numbers

Documents mortgage advisers commonly ask for

Requirements differ between lenders. Your adviser will tell you exactly what they need. Never send these documents to us.

  • Photo ID (passport or other accepted ID)
  • Proof of address
  • Proof of your right to live in the UK, where relevant
  • Recent payslips (often three months)
  • Recent bank statements
  • P60 or tax documents (self-employed applicants usually need more)
  • Proof of deposit and how it built up
  • Gift letter if family is contributing
  • Details of regular commitments: loans, credit cards, childcare

New to the UK?

Lenders set their own criteria about residency status, time in the UK, visa type and length of UK credit history. Criteria differ a lot between lenders, so an authorised mortgage adviser is often the best route to find out which lenders may consider your situation.

We do not provide regulated mortgage advice. Where advice is needed, speak to an appropriately authorised mortgage adviser. We can help you understand the process and prepare.

Official and independent sources

This is general information, not mortgage advice. We are not authorised to recommend mortgages. Speak to an FCA-authorised mortgage adviser about your circumstances.