Enter annual income before tax. For a joint scenario, use combined annual income. Enter only the deposit available for the purchase; use 0 if it is genuinely zero.
The multipliers are illustrative assumptions, not lending offers or confirmed borrowing limits.
ESTIMATED PROPERTY BUDGET
£0.00
Enter your income, deposit and an illustrative scenario to calculate.
Compare property budgets
i The chart compares 4×, 4.5× and 5× using your main income and deposit. Add up to two alternatives with their own income, deposit and selected multiplier.Compare illustrative property budgets
i Each bar combines estimated borrowing with the deposit entered. Hover, tap or focus a table row for the exact figures. A larger bar is not a recommendation or a lender decision.The chart is unavailable. The exact comparison figures are shown below.
| Illustrative scenario | Annual income | Estimated borrowing | Deposit | Estimated property budget |
|---|
The three income multiples use your main income and deposit. Each complete comparison adds its own selected scenario. All figures update as you change the inputs.
An illustrative income-multiple estimate only. It does not assess expenditure, debts, credit history, monthly repayments or lender eligibility. Purchase taxes and fees are not included.
How this mortgage affordability calculator works
This calculator explores an estimated property budget using annual income, a deposit and an illustrative income multiplier. It is a starting point for comparing assumptions, rather than a assessment of what you can afford or what a lender will offer.
Estimated borrowing = annual income × selected multiplier. Estimated property budget = estimated borrowing + deposit. Enter income before tax, and use combined annual income when exploring a joint purchase.
The result on the right follows your selected multiplier. The chart also shows the 4×, 4.5× and 5× scenarios using the same main income and deposit, so you can see the effect of changing the borrowing assumption without repeatedly entering your figures.
Worked example: £40,000 income and £30,000 deposit
Suppose you enter annual income of £40,000, a deposit of £30,000 and select the 4.5× illustrative scenario.
| Step | Calculation | Result |
|---|---|---|
| Annual income | Income entered before tax | £40,000 |
| Income multiplier | Selected illustrative scenario | 4.5× |
| Estimated borrowing | £40,000 × 4.5 | £180,000 |
| Deposit | Deposit entered | £30,000 |
| Estimated property budget | £180,000 + £30,000 | £210,000 |
The £210,000 result is not a mortgage offer. It also leaves purchase taxes, legal fees and other buying costs outside the calculation. Keep money needed for those costs separate from the deposit you enter.
Comparing 4×, 4.5× and 5× income
Holding income and deposit constant makes the effect of the multiplier clear. For the same £40,000 income and £30,000 deposit:
| Illustrative scenario | Estimated borrowing | Deposit | Estimated property budget |
|---|---|---|---|
| 4× income | £160,000 | £30,000 | £190,000 |
| 4.5× income | £180,000 | £30,000 | £210,000 |
| 5× income | £200,000 | £30,000 | £230,000 |
Each additional 0.5× adds £20,000 to estimated borrowing in this example. The deposit remains £30,000 in every scenario. The coloured part of each chart bar represents estimated borrowing; the muted segment represents the deposit.
Why the multipliers are illustrative
The 4×, 4.5× and 5× options are comparison assumptions. They are not minimum, typical or maximum amounts promised by a lender. Selecting 5× does not establish eligibility for that amount, and selecting 4× does not establish that the resulting repayments would be affordable.
This calculator does not apply a lender’s policies or regulatory lending allowances. It performs the same transparent arithmetic for each selected multiplier. A formal lending assessment is a separate process.
How to compare your own scenarios
Use the two + buttons to add alternatives with their own annual income, deposit and multiplier. Each complete comparison contributes one additional bar and one table row. Its inputs remain available while you change the main calculation, so you can compare alternatives without rebuilding them.
Changing one input at a time makes the difference easier to interpret. For example, hold income and multiplier constant while comparing deposits, or hold deposit and multiplier constant while exploring a different combined income.
Read estimated borrowing alongside the total budget. Two scenarios can produce the same property budget while requiring different mortgage amounts. Use the Mortgage Calculator to explore the monthly repayments associated with each borrowing figure.
How your deposit affects your property budget
Within this model, every additional £1 of deposit adds £1 to the property budget. It does not change estimated borrowing when income and multiplier remain unchanged.
For example, £180,000 of estimated borrowing plus a £20,000 deposit gives a £200,000 budget. The same borrowing plus a £40,000 deposit gives a £220,000 budget.
These are different from comparing two deposits against a fixed property price. For a £200,000 property, a £20,000 deposit leaves £180,000 to borrow, while a £40,000 deposit leaves £160,000 to borrow. This calculator estimates the budget from your inputs; it does not start from a target property’s price.
Loan-to-value and the deposit
Loan-to-value, or LTV, expresses the mortgage amount as a percentage of the property’s value. If a property costs £200,000 and the mortgage is £180,000, the LTV is 90%; the £20,000 deposit covers the remaining 10%.
For an illustrative scenario here, dividing estimated borrowing by estimated property budget gives the corresponding estimated LTV. This describes the relationship between the two figures; it does not confirm that a mortgage product is available.
Entering a zero deposit is allowed so the arithmetic can be explored, but it must not be read as confirmation that a zero-deposit mortgage is available to you.
Property budget and monthly repayments
A property budget does not tell you the monthly mortgage payment. Repayments also depend on the amount borrowed, interest rate, mortgage term and repayment type.
Take the estimated borrowing figure into the Mortgage Calculator to compare repayment amounts and total interest. If reviewing an existing mortgage, the Remortgage Calculator can help explore a different rate or term. The Mortgage Overpayment Calculator explores the effect of paying extra against a repayment mortgage.
What a lender assesses beyond income
A lender’s affordability assessment considers income and expenditure, rather than relying only on an income multiple. Existing commitments and the effect of future interest-rate increases can also matter.
This calculator does not collect that information. Before treating a budget as workable, consider your regular spending, debt payments, childcare, household bills and the money you need to retain for other commitments.
Joint income and variable earnings
For a joint scenario, enter the combined annual income you want to model. The calculator applies the multiplier to that total without distinguishing between applicants or income sources.
It does not verify payslips, business accounts, bonuses, overtime or other earnings, or decide how much of them a lender would accept. Use consistent income assumptions across comparisons and confirm the evidence required during a real mortgage application.
Allowing for purchase taxes and fees
The estimated property budget assumes the entire entered deposit is available towards the property price. It does not deduct legal fees, surveys, moving costs, mortgage fees or property transaction taxes.
Use the Stamp Duty Calculator for a purchase in England or Northern Ireland, the LTT Calculator for Wales, or the LBTT Calculator for Scotland. Allow for the relevant purchase costs separately before deciding how much cash is available as a deposit.
What this calculator includes and excludes
It includes:
- annual income entered before tax;
- the deposit available towards the property price;
- the selected illustrative income multiplier;
- estimated borrowing and estimated property budget;
- three main multiplier scenarios and up to two independent comparisons.
It does not assess or calculate:
- monthly spending, debts or disposable income;
- credit history, income evidence or lender eligibility;
- interest rates, mortgage term or monthly repayments;
- lender-specific affordability rules or mortgage products;
- purchase taxes, fees or moving costs;
- future income changes or interest-rate changes;
- buy-to-let rental coverage requirements.
For a potential rental property, the Rental Yield Calculator can compare rent and operating costs relative to property value. Rental yield is a separate measure and does not establish mortgage eligibility.
Why another estimate may differ
Another calculator may use a different multiplier, subtract commitments, assess monthly repayments or apply a lender’s own criteria. Comparing the headline totals without checking those assumptions can be misleading.
Here, the method stays explicit: annual income multiplied by the selected scenario, then the deposit added. The breakdown, chart and table present the same figures.
Important note
This calculator is for general information. It does not provide financial or mortgage advice, assess whether repayments are affordable, or predict a lending decision. Its results are not an agreement in principle or a mortgage offer.
Frequently Asked Questions
How does this affordability calculator work?
It multiplies annual income by the selected illustrative multiplier, then adds the deposit to estimate a property budget.
Should I enter income before or after tax?
Enter annual income before tax. This is the income basis used by the formula; the calculator does not calculate take-home pay or disposable income.
Can I use combined income for a joint mortgage?
Yes. Enter the combined annual income you want to model. This does not determine which income a lender would accept or whether either applicant is eligible.
Does selecting 4.5× mean I can borrow that amount?
No. It is a calculation assumption. Your available borrowing depends on a lender’s assessment and may differ from the illustrated amount.
Is the 5× scenario a recommendation?
No. It shows the arithmetic under a different assumption. A larger budget is not a recommendation to borrow more.
Does increasing my deposit increase estimated borrowing?
Not in this model. With income and multiplier unchanged, estimated borrowing stays the same while the property budget increases by the additional deposit.
Can I enter a zero deposit?
Yes, enter 0 to explore that scenario. A blank deposit is incomplete. A calculated result with a zero deposit does not confirm the availability of a suitable mortgage.
Does the result include Stamp Duty, LTT or LBTT?
No. Use the relevant Stamp Duty, LTT or LBTT calculator and allow for purchase costs separately.
Does this calculator check spending or credit history?
No. It does not assess debts, expenditure, credit history or evidence of income.
How do I estimate monthly repayments?
Use the estimated borrowing amount in the Mortgage Calculator, together with an interest rate and mortgage term.
Can I compare different incomes and deposits?
Yes. Add up to two comparison scenarios, each with its own income, deposit and multiplier. Incomplete comparisons are omitted from the chart and table until valid.
Why are the chart bars split into two parts?
Estimated borrowing and deposit contribute separately to the property budget. The split shows how much of each illustrated budget comes from borrowing and how much comes from the deposit entered.
Is this suitable for checking buy-to-let mortgage eligibility?
No. It does not assess rental coverage or buy-to-let lending criteria. The Rental Yield Calculator can explore rental income and operating costs separately.
Can I share my calculation?
The page address updates with your entered figures and comparison scenarios. Use the site’s Share control or copy the address to reopen the same inputs. Shared links contain the financial figures you enter.
Sources and review
The estimates use the formulas explained above. Lending assessments are separate from this income-multiple calculation. The following official sources provide context on responsible lending and mortgage affordability:
- FCA Handbook: MCOB 11.6 — responsible lending and financing
- Bank of England: the distinction between its former affordability test and wider lending assessments
Formula and explanatory content reviewed in October 2026. The calculator does not reproduce regulatory lending allowances or lender-specific criteria. Consult current official guidance when checking lending rules.