Mortgage Repayment Calculator 2026

Your monthly payment is calculated using the standard EMI formula: P × r × (1+r)^n ÷ ((1+r)^n − 1), where P is the loan amount, r is the monthly interest rate, and n is the total number of months. This spreads your loan repayments equally across the full term.

A repayment mortgage means each monthly payment covers both interest and a portion of the loan capital, so the debt reduces each month and is fully paid off at the end of the term. An interest-only mortgage means you only pay the interest each month — the original loan amount remains unchanged and must be repaid in full at the end of the term.

LTV (Loan-to-Value) is your mortgage as a percentage of the property value. A lower LTV (e.g. 60%) typically means you qualify for better interest rates. Most lenders require a minimum 5–10% deposit (90–95% LTV), but the best rates are usually available at 60–75% LTV.

Most mortgages allow overpayments of up to 10% of the outstanding balance per year without early repayment charges. Overpaying reduces your balance faster, saving significant interest over the life of the mortgage. Always check your mortgage terms before overpaying.

Most UK lenders require a minimum deposit of 5–10% of the property value, meaning a 90–95% loan-to-value (LTV) mortgage. However, larger deposits unlock better interest rates. A 25% deposit (75% LTV) typically accesses much cheaper deals than a 5% deposit, because the lender's risk is lower. Saving a larger deposit can significantly reduce both your monthly payment and total interest.

A longer term (e.g. 35 years) lowers your monthly payments but increases the total interest you pay over the life of the loan. A shorter term (e.g. 20 years) means higher monthly payments but substantially less total interest. The right choice balances monthly affordability against long-term cost — use the calculator to compare both.

Yes. While mortgage products vary by country, the underlying repayment mathematics is universal. Select your country in the currency dropdown and the calculator will display results in your local currency. The formula for monthly repayments is the same whether you're in the UK, US, Canada, Australia or UAE.

An amortisation schedule shows how each payment is split between interest and capital over the life of your mortgage, and how your outstanding balance reduces year by year. Early payments are mostly interest; later payments are mostly capital. Our calculator generates a year-by-year breakdown so you can see exactly how your balance falls over time.