Use this buy to let mortgage calculator to estimate your monthly mortgage payment, gross rental yield, and potential monthly cash flow from a UK rental property.
Enter the property price, deposit percentage, interest rate, mortgage term, expected monthly rent, and monthly property costs. The results help you assess whether rental income may cover the mortgage payment and the costs you include.
How to Use the Buy to Let Calculator
Start with the expected purchase price and deposit to estimate the mortgage amount. Enter the annual interest rate and repayment term, followed by the rent you expect to collect each month.
Include your estimated monthly costs, such as letting agent fees and routine maintenance. Adjust the inputs to compare different property prices, deposits, rents, and mortgage rates.
Understand Monthly Mortgage Payments and Cash Flow
The calculator subtracts the estimated monthly repayment and the costs you enter from your expected rental income. A positive result indicates that rent exceeds those selected outgoings, while a negative result indicates a monthly shortfall.
This is a simplified cash-flow estimate, not your final profit: tax, insurance, vacancies, major repairs, service charges, and other expenses may reduce your actual return.
Calculate Gross Rental Yield
Gross rental yield compares annual rental income with the property’s purchase price. It is calculated by dividing annual rent by the property price and multiplying by 100.
A higher yield can indicate more rental income relative to the purchase price, but it does not account for mortgage interest, operating costs, taxes, or the initial purchase expenses. Compare yield alongside cash flow rather than using it alone.
Check Buy to Let Mortgage Affordability
Before committing to a property, test how your figures change if interest rates rise, rent falls, or maintenance costs increase. Lenders assess buy to let applications using their own criteria, which may include rental-income coverage, interest-rate stress tests, personal circumstances, and the property itself.
The calculator’s 125% comparison is only a simplified illustration and does not establish whether a lender will approve your application.
Disclaimer: This calculator provides estimates for informational and educational purposes only, not financial, tax, legal, or professional advice. Results are based on the information entered and may differ from actual costs, payments, rates, fees, or eligibility. Verify details with the relevant lender, financial professional, or official source before making financial decisions.
About Us
We’re MortgageRatesChecker, a financial education and tools platform helping consumers make smarter decisions about borrowing, budgeting, saving, and everyday spending. We provide practical guides, calculators, and resources covering mortgages, loans, home buying, refinancing, personal finance, money management, and budget-conscious travel. Explore our guides, calculators, and resources to make more informed financial decisions.
Disclaimer
MortgageRatesChecker provides educational mortgage calculators, loan tools, and financial guides designed to help you better understand home financing. Our content is researched, fact-checked, and regularly updated in accordance with our Editorial Policy, using trusted information from our Data Sources and transparent methodologies explained in How We Calculate. Learn more about our commitment to accuracy on Why Trust Us. This content is provided for informational purposes only and should not be considered financial, legal, tax, investment, or mortgage advice. Mortgage rates, lending requirements, loan programs, and regulations may change without notice. Before making any borrowing, refinancing, or home-buying decision, consult your Bank or Mortgage Lender, licensed financial advisor, tax professional, or attorney based on your individual circumstances. MortgageRatesChecker is an independent educational resource and is not a lender, mortgage broker, financial advisor, or government agency. Please review our Affiliate Disclosure, Advertiser Disclosure, Disclaimer, and Terms & Conditions for additional information.
