Mortgage Calculator For £500000
Best Mortgage Rates
Mortgage Calculator For £500000
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- Lloyds Bank
- 3.98% Initial
- 5 year fixed
- 6.4% APRC
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Cashback Max £250Free LegalsFree Valuation
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- 3.99% Initial
- 2 year fixed
- 6.4% APRC
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Cashback £0Free LegalsFree Valuation
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- 4.05% Initial
- 5 year fixed
- 5.9% APRC
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Cashback Max £1,250Free LegalsFree Valuation
- Get quotes
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- 4.05% Initial
- 5 year fixed
- 5.9% APRC
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Cashback £0Free LegalsFree Valuation
- Get quotes
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- 4.06% Initial
- 5 year fixed
- 5.7% APRC
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Cashback £0Free LegalsFree Valuation
- Get quotes
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- 4.10% Initial
- 5 year fixed
- 6.3% APRC
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Cashback £0Free LegalsFree Valuation
- Get quotes
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- 4.12% Initial
- 5 year fixed
- 6.2% APRC
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Cashback £0Free LegalsFree Valuation
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- 4.12% Initial
- 5 year fixed
- 5.6% APRC
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Cashback £0Free LegalsFree Valuation
- Get quotes
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- 4.12% Initial
- 5 year fixed
- 6.1% APRC
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Cashback £0Free LegalsFree Valuation
- Get quotes
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- 4.12% Initial
- 5 year fixed
- 6.2% APRC
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Cashback £0Free LegalsFree Valuation
- Get quotes
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Can I borrow £500000 on a mortgage?
New rules governing the mortgage lending market have been introduced.
These rules have changed the way that lenders determine whether they are willing to provide mortgages to applicants.
Lenders’ main focus will now be on the affordability of a mortgage. Therefore, in support of your application, lenders will often request:
- Details of your employment
- Your income
- Your monthly outgoings
If you need a £500000 mortgage, find our mortgage table above that shows the best mortgage deals available.
How to calculate mortgage repayments for £500000
Our mortgage calculator allows you to work out how much you will likely need to pay each month in mortgage repayments.
Our mortgage calculator is simple and easy to use. Fill in the designated fields with the following information:
- The purpose of your mortgage
- The value of the property
- The amount you wish to borrow
- The type of mortgage you want
- Your preference on capital and interest or interest only mortgage
- The length of mortgage
Once you have completed the necessary fields, the calculator will generate the best mortgage deals available to suit your set of circumstances.
What is a fixed rate mortgage & can I get one for £500k?
Fixed rate mortgages allow you to benefit from a set interest rate for an extended period of time. You can find fixed rate mortgages with high street banks for 2,3,5 or 10 years.
Securing an interest rate could help you know exactly how much you have to pay each month for the first few years of your mortgage. However, it is impossible to predict how interest rates will behave, and it is possible that the best interest rate today may not continue to be as competitive throughout your fixed rate period.
Example of how much a £500,000 Mortgage Costs & Repayments
Mortgage Calculation
Mortgage Calculation Summary
This is a detailed breakdown of the mortgage calculation for a loan amount of £500,000 over a term of 15 years, with an interest rate of 4.5% APR.
| Detail | Amount |
|---|---|
| Monthly Payment | £3,824.97 |
| Total Payments over 15 years | £688,493.96 |
| Total Interest Paid | £188,493.96 |
Formula Used to calculate £500,000 Mortgage Repayments
The formula used to calculate the monthly payment is:
Where:
- M = Monthly payment
- P = Loan amount (£500,000)
- r = Monthly interest rate (Annual rate / 12)
- n = Total number of payments (Loan term in months)
These calculations assume fixed monthly payments, ensuring the loan is fully repaid at the end of the 15-year term.
These calculations assume fixed monthly payments, ensuring the loan is fully repaid at the end of the 15-year term.
The Formula used to Calculate the Cost of a £500K Mortgage over a fixed Mortgage Term
To calculate the monthly payments and total interest paid for a mortgage of £500,000 over 15 years with a 4.5% APR, we use the standard mortgage formula:
Where:
- is the monthly payment.
- is the loan amount (£500,000).
- is the monthly interest rate (annual interest rate divided by 12).
- is the total number of monthly payments (loan term in years multiplied by 12).
Step-by-step Calculation
- Loan Amount (): £500,000.
- Annual Interest Rate (APR): 4.5%.
- Monthly Interest Rate ():
- Loan Term ():
Monthly Payment Formula
What is a tracker rate mortgage
A tracker mortgage has an interest rate that varies depending on the Bank of England’s base interest rate. Therefore, if the Bank of England decide to hike their base rate, then tracker mortgages’ interest rate will increase.
Repayment or interest only
An interest only mortgage typically has some of the lowest minimal monthly mortgage repayments in the market, as you are only paying the interest on the mortgage. It should be noted that you cannot own the property at the end of the term through an interest only mortgage.
Repayment mortgages generally have higher monthly mortgage repayments. This is because you are paying both the capital and interest on a mortgage. Repayment mortgages may be a good option for you if you want to ultimately own the property outright.
Making overpayments
There are some banks on the high street that allow you to make overpayments on your mortgage. This could help you pay off your mortgage quicker than you had anticipated. However, not all lenders allow overpayments, and some lenders even charge early repayment charges if an overpayment is made. You should always check with your mortgage provider before making any overpayments.