capitalfortune

Call us today to speak to an expert

0207 7 100 400

Capital Fortune is a national and
award winning mortgage, buy-to-let
and insurance broker.

Call today to speak to an expert

0207 7 100 400

REQUEST A CALLBACK
Image

How Much Can I Borrow?

Buying your first home is exciting but there are a lot of costs to consider before you commit. Before you start looking for properties, it’s a good idea to find out roughly how much you can borrow from a mortgage lender.

Once you know this, you’ll be able to work out how much you can afford to spend on a property. Remember to factor in additional costs – when you buy a home there are legal, valuation, mortgage and advice fees to pay as well as stamp duty and moving costs.

Our calculator below will help you work out what you can borrow and provide a list of potential mortgages you could be eligible for.

To get a good idea of what you can afford to borrow on a mortgage, you’ll need details of your income and your partner’s if you’re buying together. You’ll also need to know what your monthly expenses are – things like council tax, school or nursery fees, utility bills, insurance payments or car or personal loan repayments.

The mortgage lender needs to see evidence of both your income and outgoings in order to assess how much you could afford to repay each month on your mortgage. This will then determine what you can borrow.

There are several other things that affect how much you can borrow. 

Mortgage rate – this is the rate of interest charged on the capital loan you borrow. The higher the rate, the more expensive the mortgage repayments will be. 

Loan-to-value – this measures the amount you borrow compared to the amount of deposit you put in. The bigger the deposit, the lower the LTV, the cheaper the mortgage rate.

The length of the mortgage term – when you take a mortgage it’s likely you’ll choose a two-year or a five-year deal, whether that’s fixed or variable rate. But the full mortgage is repayable over a much longer timeframe than this. This is known as the mortgage term and is typically between 25 years and 35 years.

The longer the term, the more months you have to repay the loan, the lower the monthly repayment. However, the longer it takes you to repay the full outstanding mortgage balance, the more interest you will pay overall, so it’s best to try to pay as much of your mortgage off as fast as you can.

Use our affordability calculator to work out how much you can borrow and talk to an adviser to find out more.

How Much Can I Borrow?
As Featured
Read all 1561 reviewsOur customers have
rated our service
An organisation who helps to realise your dreams!
The remarkable online feedback for Capital Fortune depicts strong story which otherwise is hard to believe ...Read More
Amit Parab - Purchase

What Our Customers Say

Professionalism, Quality, Responsiveness, Value
Absolutely brilliant, and I would highly recommend it. This is the second time I have used their service, and they delivered again as promised. Thanks, Stephen Marsh and James Drury, for your exceptional service. ...Read More
Jane - Purchase
13 days ago

Very good! ...Read More
Customer - Further Advance
13 days ago

You need Capital Fortune on your team to be successful!
I can highly recommend Capital Fortune and would definitely recommend Capital Fortune to anyone seeking a property loan in the UK. I can say unequivocally, that I would not have been successful in being approved for a property loan (mortgage) ...Read More
David Balgobin - Residential Purchase
20 days ago

Image

Get competitive rate mortgages

Award-winning
Mortgage Advisers

Fast Decisions

National Coverage

Holistic Approach

Comprehensive Panel

Direct Access to Underwriters

no obligation quotes

Get a quote for these services

No Sale, No Fee, Fixed Price

Low Cost, National Coverage

Instant Online Quotes