Business & property finance
Commercial mortgage calculator
Buying your business premises or an investment property? Start with the deposit and monthly cost. For a refinance, compare the new advance with the debt and costs it must clear.
Your scenario
Jump to resultsDefaults are illustrative assumptions, not current rates or available offers. Figures stay on this page and are not sent to a lender.
Illustration · GBP
Your result
- Deposit + entered costs
- £167,000
- Base loan before added fees
- £350,000
- Debt including added fees
- £350,000
- Actual debt / property value
- 70.0%
- Total interest over assumed term
- £326,698
- Interest + fees + entered costs
- £343,698
- Capital due at end
- £0
- Monthly payment at rate + 2 points
- £3,262
- Entered cash / annual payments
- 1.77×
- Loan limit under your assumptions
- £350,000
The assumed loan limit uses only your LTV, cash and coverage inputs. It is not an approval or a lender borrowing estimate.
Comparison lasts until you leave or refresh this page.
Commercial mortgage deposit comparison
These are scenarios, not available products. Deposits below exclude fees, tax, VAT and all other transaction costs.
| Assumed LTV | Base loan | Deposit |
|---|---|---|
| 60% | £300,000 | £200,000 |
| 65% | £325,000 | £175,000 |
| 70% | £350,000 | £150,000 |
| 75% | £375,000 | £125,000 |
How this calculator works
Base loan = property value × your assumed LTV. Deposit = price minus base loan. An added arrangement fee increases both the debt and actual LTV; the lender may reduce the cash advance to keep within its limit.
Repayment uses equal end-of-month payments at annual rate ÷ 12. Interest-only pays that monthly rate on the balance and leaves all capital due at the end. The rate is held constant throughout the illustration; actual fixed periods can be shorter than the term.
Purchase cash includes the deposit, cash-paid arrangement fee and your other cost budget. Refinance proceeds deduct existing debt, cash-paid fees and the cost budget from the base advance. A negative result is extra cash needed, not releasable equity.
The cash-flow sensitivity divides your entered annual cash by your chosen coverage ratio and the annual payment for £1 of debt. It then compares that arithmetic limit with your assumed LTV loan. This does not estimate what a lender will approve. An interest-only capacity figure cannot be calculated at a zero rate.
A worked example
A £500,000 property at an assumed 70% LTV gives a £350,000 base loan and £150,000 deposit. A 2% cash-paid arrangement fee adds £7,000. With £10,000 of other costs, purchase cash is £167,000. Adding the fee to the loan instead produces £357,000 of debt and 71.4% actual LTV.
What the result cannot tell you
No credit, valuation, tenant covenant, lease length, business viability or lender-specific stress assessment is performed. Tax, VAT, early repayment charges and legal costs must be budgeted separately. A higher-rate payment test does not cover every business or property risk. Security and personal guarantees can put assets at risk.
Results are rounded for display; calculations use unrounded figures. A lender’s payment calendar, daily interest and rounding can produce different figures.
Put the numbers in context
TFP’s contact and introduction service is not open yet. You can use these tools without an enquiry. Get an appropriately qualified or authorised adviser’s help where the decision needs it.
Sources and responsibility
Published by The Finance Place. Methodology updated . The calculations are TFP illustrations; the sources explain the products and risks and do not validate a lending decision. No independent professional review is claimed.
Editorial and calculation standards