Calculate how much mortgage you’ll be able to borrow to buy a home based on your income.

 

What other factors will impact how much I can borrow?

Monthly outgoings

Lenders will want to know how you spend your money as part of an affordability assessment. You are likely to get questions about:

  • Debt repayments (e.g. student loans and credit card bills)
  • Regular bills (e.g. gas and electricity)
  • Transport costs
  • Grocery costs
  • Spending on leisure activities

Your lender will also want to see recent bank statements and payslips to support your application.

Read our guide to saving for a mortgage deposit to find out more about keeping outgoing costs down.

Interest rates

Though it’s something you have no control over, interest rates have a part to play when mortgage providers decide how much they might lend you.

In most cases, lenders will ‘stress test’ any proposed mortgage repayment plan to make sure you could withstand a rise in interest rates of at least three percentage points. Use our mortgage interest rate rise calculator to see how your mortgage payments would be affected if your interest rate increased.

If you have a fixed-rate mortgage, interest rate rises won’t affect you until the end of your fixed-rate period. But with a variable-rate mortgage, your interest rate could rise or fall at any point during your term.