When purchasing a property using a mortgage, knowing the monthly repayments is crucial to ensure that you can comfortably afford it. Mortgage repayments will vary depending on a few different factors: amount borrowed, interest rate, and mortgage term. Our Mortgage Repayment Calculator provides an easy way to work this out.
How to use the Mortgage Repayment Calculator
To use our Mortgage Repayment Calculator, simply enter your info:
- Amount borrowed
- Interest rate
- Mortgage term (years)
Enter your details and hit “calculate”, the tool will then show you what your monthly repayments will be. It will also show the total amount of interest you should expect to pay, along with the annual outstanding balance throughout the mortgage term.
Mortgage example 1
Let’s consider a mortgage of £500,000 at 3.8%, with a 30 year term.
If we enter this into the calculator, we will see that the monthly payments are £2,330.
The total amount to be repaid comes to £838,724.
Of this, £500,000 was the original amount borrowed, and the remaining £338,724 is the interest paid.
Mortgage example 2
Let’s look at a similar mortgage to the first example, borrowing £500,000 at 3.8%, with a 20 year term.
The calculator shows us that the monthly repayments are £2,977.
But the total amount to be repaid comes to £714,593.
Of this, £500,000 was the original amount borrowed, and the remaining £214,593 is the interest paid.
Comparison
| Example | Mortgage Amount | Interest Rate | Mortgage Term | Monthly Repayments | Total Repaid |
|---|---|---|---|---|---|
| 1 | £500,000 | 3.8% | 30 years | £2,330 | £838,724 |
| 2 | £500,000 | 3.8% | 20 years | £2,977 | £714,593 |
Summary
The examples above show how borrowing the same amount at the same interest rate over a shorter period of time will increase the monthly payments, but decrease the total interest paid. Use our Mortgage Repayment Calculator to see what your monthly payments might be.
This does not constitute financial advice. Always do your own research.