UK Buy-to-Let Mortgage & Tax Relief Calculator
Calculate rental yields, BTL mortgage payments, and Section 24 basic tax credits.
UK Buy-to-Let Mortgage & Section 24 Tax Calculator
Simulate buy-to-let mortgage payments, Section 24 basic interest tax relief, and net property yields.
Property Holdings
Section 24 Rule Notice
Calculations include a standard 75% LTV mortgage. Interest deductions are not allowed; you receive a flat 20% basic tax credit on mortgage interest payments.
What is the UK Buy-to-Let Mortgage & Tax Relief Calculator?
Check UK Buy-to-Let profitability. Simulates rental yields, mortgage interest, and Section 24 tax relief credits for landlords.
How Does the UK Buy-to-Let Mortgage & Tax Relief Calculator Work?
1. Input property purchase price. 2. Input monthly rent. 3. Input mortgage rate and your marginal tax rate. 4. View net annual profit and yield.
Formula & Calculation Method
Assumes a 75% LTV mortgage. Applies the Section 24 landlord rules: rental profits are taxed on gross revenues, offset by a basic 20% tax credit on mortgage interest.
Example Calculation
Property £250,000, rent £1,200/mo. Mortgage rate 5.5%, tax rate 40%. Interest cost = £10,312. Gross rental = £14,400. Gross tax = £5,760. Section 24 credit = £2,062. Net tax = £3,698. Net profit = £390/yr.
Frequently Asked Questions
Assumes a 75% LTV mortgage. Applies the Section 24 landlord rules: rental profits are taxed on gross revenues, offset by a basic 20% tax credit on mortgage interest.
Disclaimer: This tool is provided for informational and calculation purposes. Output values are estimates based on standard user inputs.