Mortgage Affordability Calculator Explained

Mortgage affordability calculators are a new way for mortgage lenders to calculate how much you can borrow for a new mortgage. Mortgage lenders have traditionally looked at income multiples to decide how much to let you borrow. Although now due to lifestyle, some borrowers may be able to get a little more through Lenders that use mortgage affordability calculators.

There are approximately 25 lenders currently that lend on your ‘ability to pay’ instead of income multiples like 2 times joint income or even 3.5 times single income. But if, for example, you have a clean credit record, no children and two incomes, some lenders may be willing to lend a little more. 

Enhanced Affordability Calculators

Lenders are now prepared to offer you even more if you choose a five or ten-year fixed rate mortgage. This is because the monthly repayments stay the same for a long time, and so feel like less of a risk to the lender.

For more details on lenders that use mortgage affordability calculators please feel free to contact us and one of out advisors will contact you to discuss how much you could borrow with a lender that uses affordability calculators. If you wish to get an idea now on how much you could borrow using mortgage affordability instead of income multipliers please feel free to use the link below to the Halifax's affordability calculator on their web site.

Halifax Affordability Calculator (Click Here)





The link provided here is to an external website which does not belong to Mortgage Solutions.  We have no control over the compliance or content on this external website and the link is provided purely for your information purposes only.  In no way do the results of the link or website bind the lender or Mortgage Solutions to any formal acceptance of any mortgage proposal.