Buy-to-Let Mortgage Calculator
Work out the monthly payment on a buy-to-let mortgage. Enter the price, deposit, rate and term to see the loan, the loan-to-value and the interest over the term, for interest-only or repayment. To check the deal also passes the lender's affordability rules, use the mortgage stress test and see the full picture with the cashflow calculator.
That is 75% LTV. Most buy-to-let lenders want at least 20-25% down.
Your product rate. Buy-to-let rates usually sit above residential rates.
Most landlords use interest-only to keep monthly cashflow up; the loan is repaid when you sell or remortgage.
A guide to the mortgage cost only, not a lending decision or financial advice. Actual rates, fees and affordability depend on the lender. Check with a broker before you commit.
Questions landlords ask
How does a buy-to-let mortgage calculator work?+
Enter the price, your deposit, the interest rate and the term. It works out the loan (price minus deposit), the loan-to-value, and the monthly payment. Most buy-to-let mortgages are interest-only, so the monthly cost is just the interest and the loan is repaid in full when you sell or remortgage.
Interest-only or repayment for a buy-to-let?+
Most landlords choose interest-only to keep monthly cashflow as high as possible, and clear the loan by selling or refinancing later. A repayment mortgage costs more each month but chips away at the balance so you own the property outright at the end of the term. Toggle between the two above to compare.
What deposit do I need for a buy-to-let mortgage?+
Usually at least 20% to 25% of the price, so a maximum loan-to-value of around 75% to 80%. A bigger deposit unlocks lower rates. Lenders also apply a rental affordability test on top: the rent has to cover the mortgage interest by 125% to 145% at a stressed rate.
What is a let-to-buy mortgage?+
Let-to-buy is when you keep your current home and switch it to a buy-to-let mortgage so you can let it out, while taking a normal residential mortgage on a new main home. The buy-to-let side works exactly like the maths here; the difference is that you are not selling the first property.
Does this include the lender's affordability test?+
No. This tool shows what the mortgage costs. Whether a lender will actually offer the loan depends on the rental stress test, where the rent must cover the interest by 125% or 145% at a stressed rate. Use the buy-to-let mortgage stress test tool to check that separately.
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