How much mortgage can I afford?
Start from what you can pay each month, not from what a lender will lend. Put in your monthly budget, a rate and a term, and this calculator shows the loan that budget would pay off. It then shows the payment on that loan if rates were higher, because your rate will change when a deal ends. If the higher payment would not fit your budget, think about a smaller loan.
What loan does my budget cover?
Free. No email needed. Runs in your browser, stores nothing.
The rate starts at the Bank of England's average quoted rate for 5-year fixed mortgages at 75% LTV in September 2026 (Bank of England database). Change it to any rate you want to test.
Loan your budget covers
Price with your deposit
If rates go up
The payment on that same loan, over the same term, at higher rates:
| Rate | Monthly payment | More than your budget by |
|---|
An illustration, not a quote. Repayment mortgage, rate held for the whole term, before fees. A lender may lend you more or less than this. Information, not advice.
Your budget comes first
Affording a mortgage and borrowing one are different questions. "How much can I borrow?" is what a lender might offer, based on your income and its own checks: see how much can I borrow. "How much can I afford?" is what you can pay each month and keep paying. Work out your budget from your take-home pay, less your bills, other debts and the saving you want to keep. Then use that figure here.
A worked example
A budget of £1,000 a month over 25 years, at 4.98% (the Bank of England's average quoted rate for 5-year fixed mortgages at 75% LTV in September 2026, from the Bank of England database), pays off a loan of about £171,402. Here is the payment on that loan at higher rates.
| Rate | Monthly payment on £171,402 | More than £1,000 by |
|---|---|---|
| 5.98% (+1 point) | £1,102 | £102 |
| 6.98% (+2 points) | £1,209 | £209 |
| 7.98% (+3 points) | £1,321 | £321 |
Our sums, not a quote. The rate is an average of rates lenders quoted, not a rate you will be offered. The payment is worked out the same way as our mortgage repayment calculator.
How lenders test for higher rates
Lenders have to check that you could still pay if rates rise. The FCA's mortgage rules say a lender "must assume that interest rates will rise by a minimum of 1%" over the first five years when it checks affordability (FCA Handbook, MCOB 11.6.18R). That rule does not apply where the rate is fixed for five years or more, or for the whole mortgage if that is shorter. The same rule says a lender must have regard to market expectations and any Bank of England recommendation on stress tests when it judges how far rates might rise, so lenders do not all use the same test rate.
There used to be a second test set by the Bank of England. Its Financial Policy Committee withdrew that test "from 1 August 2022" (Bank of England, June 2022). The FCA rule above still applies. The calculator shows a few higher rates so you can run a similar check on your own budget.
Bank Rate and your mortgage rate
Bank Rate was 3.75% as at 22 October 2026 (Bank of England). Lenders set their own mortgage rates, so the rate you are offered will not be the same as Bank Rate. Tracker and variable rates can move when Bank Rate moves. A fixed rate stays the same until the deal ends. See the Bank of England base rate for more.
Common questions
How much mortgage can I afford?
Work out the monthly payment you can keep up first. Then put it into the calculator above with a rate and a term to see the loan it covers.
Is this the same as how much a lender will lend me?
No. A lender looks at your income, your outgoings, your credit record and its own limits, and may offer more or less than this figure. Our how much can I borrow page covers the lender side. This page is about what you are comfortable paying.
Why does the calculator show higher rates?
So you can check you could still pay if your rate goes up when your deal ends.
Should I use a longer term to afford more?
A longer term lowers the monthly payment, so the same budget covers a bigger loan. But you pay interest for longer, so the total cost goes up, and you may still be paying in later life. Try both terms in the calculator and compare.
Is this a quote?
No. It is an illustration at the rate you enter, held at that rate for the whole term, before fees. Real deals change rate, and a lender will set your actual payment.
Next, see how much a lender might lend, get an agreement in principle, and use the loan-to-value calculator to see how your deposit affects your rate band.
Founder, MortgageExplained
Adam spent over eight years as a mortgage adviser at Just Mortgages, with further experience in commercial finance. He is CeMAP and CF qualified. He built MortgageExplained to do one thing well: explain mortgages in plain English, so you know where you stand before you speak to a regulated broker. Every page on the site is written by Adam.
AI-assisted check