How Much Can You Borrow vs How Much Should You Borrow?

Banks tell you how much they'll lend. This tells you how much you should borrow — based on your actual income, commitments and life, not a lender's formula.

The average buyer is offered significantly more than they should comfortably borrow

Your situation

Everything you have — deposit and buying costs all come from this

Target property budget

How much are you looking to spend? £300,000
£100k£300k£500k£700k£900k

Your income

Auto-enrolment minimum is 5%
Calculated take-home: —/mo

Monthly committed outgoings these reduce what's available for housing

Check your payslip — only enter if you're currently repaying. The amount matters, not the plan.
Don't include rent — that's what we're replacing

Your financial targets these also reduce what's available for housing

What you want to keep saving each month after paying the mortgage — this is subtracted from what's available for housing

Mortgage assumptions

Use your expected rate — not the best advertised rate
Your funds — the reality check
Available funds
—
Buying costs
—
Real deposit
—
—
Loan to value
Deposit: — LTV: —
—
For housing costs to stay within the recommended range
—
Comfortable to manageable mortgage (25–33% of take-home)
—
A bank may offer you up to
—
Based on 4.5x gross income — lenders may offer more
The gap
—
—
How your budget breaks down
Total take-home—
Committed outgoings—
Available for housing—
Comfort zones — monthly mortgage payment
Comfortable
—
— property
Manageable
—
— property
Stretched
—
— property
25% / 33% / 40% of take-home, capped at what's left after outgoings and your savings target. Sources: HomeOwners Alliance, English Housing Survey 2024–25.
What's left after the mortgage — for bills, food & life
Current rate
—
—
Rate +1%
—
—
Rate +2%
—
—
Remaining after mortgage, outgoings and savings target. This is what you'd have for everything else.
What this means Enter your details above.

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For illustrative purposes only. Not financial advice.
Speak to an independent mortgage adviser before applying.