Different mortgage lenders use different methods to calculate how much they’re willing to lend to you. One method is based on income multiples for example 3x income multiplier - annual salary of £30,000, times this by 3 gives £90,000 – which would be the total amount the lender would be prepared to lend.
However recently, mortgage lenders are using more sophisticated calculations which include an assessment of your credit score, the loan to property value ratio, suitability of the property itself along with an analysis of the money you have coming in, the money you have going out including any credit commitments and then do a calculation based on the difference. For this reason, this calculator only gives you an indication of the cost of a mortgage and will not be exact as it is for illustrative purposes only- please speak to us to get more information.
Your home may be repossessed if you do not keep up repayments on your mortgage.