How much
can I borrow?
Discover Your Borrowing Potential Based on Rental Income and Investment Goals.
Calculate Your Maximum Loan Amount with Our Buy-to-Let Affordability Calculator.
Explore Mortgage Options That Suit Your Investment Budget and Objectives.
Gain Clarity on Your Loan Affordability for Confident, Informed Decisions.
Buy to Let Affordability Calculator
Enter a few details below to get an estimate of your borrowing potential.
Whether you’re a first-time landlord or an experienced buy-to-let investor, our mortgage affordability calculator helps you understand how much you could comfortably borrow.
Borrowing Structure
Specify whether you’re borrowing as an individual or through a limited company. This choice impacts the interest coverage ratio (typically 125% to 145%) and the maximum loan amount, as lenders apply different criteria based on the borrowing structure.Interest Rate Assessment
For short-term fixed and variable rates, lenders often add about 1.50% to the product rate in their affordability calculations. For fixed-rate products lasting five years or more, affordability is usually assessed at the product’s pay rate. This approach helps manage potential rate fluctuations.Property Type
Properties like Houses in Multiple Occupation (HMOs) or Multi-Unit Freehold Blocks may require a higher interest coverage ratio than standard buy-to-let properties due to their unique risk profiles.
How much can i borrow ?
Discover your buy-to-let borrowing potential. Our calculator uses your expected rental income to estimate how much you might qualify for, just enter the monthly rental income.
Simplify Your Mortgage Journey
Compare today's best interest rates
Compare 20,000+ mortgages from over 100 lenders
Simplify Your Mortgage Journey
Speak to Our Expert
Connect with Our Expert
Mortgage Advisors
Call free for mobile and landline
Start Your
Mortgage Online
See the deals you qualify for & how much you could borrow
Why choose Mortgage.One for your Buy to Let Investment Journey?
- Transparent Fee Structure: No Broker fees, we are paid by lenders. Get initial cost estimates with our calculator.
- Thousands of Options at Your Fingertips: Compare numerous rates and deals to find the best fit for you.
- Specialist Buy-to-Let Expertise: We understand the complexities of buy-to- let lending, including limited company and unique situations.
- Informed Decision-Making: Make confident choices using our buy-to-let calculators. Analyze various aspects of your mortgage.
- Proven Track Record: We’ve arranged over £100 million in buy-to-let mortgages. See our success stories.
- Established Lender Connections: Access a broad range of buy-to-let mortgage products with competitive terms designed to support your investment needs.
- Save Time & Secure Deals Faster: We streamline the mortgage process, so you can focus on your investments.
- Dedicated Mortgage Assistance: Get bespoke advice and support from mortgage advisors through every step of the process.
Lets talk about mortgages
Start your buy-to-let journey the smart way
Explore our guides and calculators for clarity and confidence.
- Buy to Let Mortgages Calculators
- How Much Can I Borrow?
- How Much it will Cost?
- How much stamp duty will I pay?
- Interest Only Mortgage Calculator
- Mortgage Overpayment Calculator
See how much can you borrow on Mortgage
See How Much it will Cost on Mortgage
Buying a Second Home or Investment Property?
Calculate the Stamp Duty Land Tax (SDLT) for your additional property in England or Northern Ireland. Understand the potential impact of the additional 3% surcharge on second homes and buy-to-let properties.
See Mortgage Interest Calculator
See Mortgage Overpayment Calculator
Get Personalized Assistance
Unlock Mortgage Wisdom
Explore Our Comprehensive Guides & Insights
- Limited Company Buy to Let
- HMO & Multi Unit Freehold
- Buy to let remortgage
Real Feedback, Genuine Experiences
Frequently Asked Questions
Buy-to-let affordability depends on various factors, including the rental income potential of the property, your borrowing structure (individual vs. limited company), and the lender’s interest rate assessment. Other factors include the type of property (standard buy-to-let vs. HMO or multi-unit), property location, and loan-to-value (LTV) ratio. Lenders also evaluate your existing portfolio if you’re a portfolio landlord, as well as any other personal or business income you may have. Our calculator helps assess these factors to give you an accurate estimate of your borrowing potential.
Interest rates play a crucial role in determining buy-to-let mortgage affordability. For short-term fixed and variable rates, lenders typically add a 1.50% buffer to the product rate in their calculations. For five-year fixed rates or longer, they may assess affordability based on the pay rate. A lower interest rate generally improves affordability by reducing monthly payments, while higher rates may limit the loan amount available. Use our calculator to understand how varying interest rates affect your borrowing capacity.
The borrowing structure—whether you apply as an individual or through a limited company—significantly impacts buy-to-let affordability calculations. Lenders generally apply different rental income coverage requirements based on the borrowing structure to account for varying tax liabilities and risk profiles.
For example, if your monthly mortgage payment is £1,000, a lender might expect the rental income to be at least £1,250 if you’re applying through a limited company or if you’re a basic-rate taxpayer. However, if you’re a higher-rate or additional-rate taxpayer applying in your personal name, the lender may require a higher rental income, usually between £1,400 and £1,450, to cover the mortgage payments.
This distinction helps lenders ensure that, regardless of ownership structure, the rental income can adequately support the mortgage, even if market conditions change.
Yes, our buy-to-let affordability calculator can help you estimate borrowing potential for Houses in Multiple Occupation (HMOs) and Multi-Unit Freehold Blocks (MUFBs). However, please note that lenders may have different criteria for these property types, often requiring a higher interest coverage ratio due to perceived risk. The amount you can borrow will vary based on your unique circumstances, as well as the lender and rate you choose. For an accurate assessment, get in touch with our buy-to-let experts.
Lenders assess buy-to-let affordability primarily by looking at the rental income the property can generate. Typically, lenders require the rental income to cover at least 125% to 145% of the mortgage payments, ensuring there’s a buffer for potential vacancies, maintenance costs, or interest rate increases.
For example, if your monthly mortgage payment is £1,000, a lender would generally expect the rental income to be around £1,250 if you own the property through a limited company or if you’re a basic-rate taxpayer. For higher-rate or additional-rate taxpayers who own the property in their individual names, the required rental income might be higher, typically between £1,400 and £1,450.
These coverage requirements help lenders ensure the mortgage remains affordable under different financial circumstances.
Simplify Your Mortgage Journey
Consult with a Pro
Connect with Our Expert Mortgage Advisors
- Call: 0345 345 6788
- Arrange a call back
- Submit an enquiry
- Email us