Try out different values to see how they affect the mortgage.
Mortgage deals and interest rates can be found here.
Stamp duty calculation is according to tariffs.
| Price tariff | Rate | Amount Applicable | Stamp Duty |
|---|---|---|---|
| {{tariffRow.priceTariff}} | {{tariffRow.tariffRate | percentage:0}} | {{tariffRow.amount | currency:'£ '}} | {{tariffRow.stampDuty | currency:'£ '}} |
| Total Stamp Duty | {{calcValues.stampDuty | currency: '£ '}} | ||
Net repayment income is the amount left from the monthly rental proceeds after paying for their share of the mortgage. Click on the Rental Income section to expand.
Rent at the full market rate. Double rooms in the Bristol city centre and the surroundings go for £ 500 at least. The brilliant location and own bathroom would get an extra £ 50.
Subsidised rent would be for owner A or B themselves to live in the room. Or for renting out to partners/friends/people in need. Just need to make enough to cover their share of their mortgage.
Parking can be rented out for upwards of £ 100 p/m to residents in the same building or to outsiders who commute to the city centre and need parking.
Rental income for Room 1 and Parking goes to Owner A and rental income for Room 2 goes to Owner B. For extra rooms, add the split amount under Room 1 and Room 2 for Owner A and Owner B, respectively. E.g. to split £ 500 rental income for an extra room, add £ 250 to Room 1 and £ 250 to Room 2.
Equity is growth of the original deposit and the mortgage paid so far.
Loan-to-value (LTV) is how much you still owe vs. value of the collateral (property).
Net equity is the profit or loss after deducting the original deposit.
Tick the box to calculate amount remaining on the mortgage based on the number of monthly repayments made. Click on the Repayments tab to see the breakdown of the loan amortization amount.
Click on the year row to expand the monthly repayments breakdown.
| Payment # | Amount | Principal | Interest | Balance | Mortgage Paid Off |
|---|---|---|---|---|---|
| {{yearKey}} | {{yearField.amountPaidToYearEnd | currency:'£ '}} | {{yearField.principalPaid | currency:'£ '}} | {{yearField.interestPaid | currency:'£ '}} | {{yearField.balanceRemaining | currency:'£ '}} | {{yearField.mortgagePaidOff | currency:'£ '}} |
| Month {{monthRow[0]}} | {{monthRow[1] | currency:'£ '}} | {{monthRow[2] | currency:'£ '}} | {{monthRow[3] | currency:'£ '}} | {{monthRow[4] | currency:'£ '}} | {{monthRow[5] | currency:'£ '}} |
The property is now worth {{calcValues.propertyValue | currency:'£ '}}. A and B are in negative equity. The amount they owe is greater than the property's value. The property has increased in value The property has decreased in value, giving A and B {{calcValues.netEquity | currency:'£ '}} net equity.
The outstanding mortgage is the same at reduced to increased to {{calcValues.outstandingMortgage | currency:'£ '}}.
A and B sell the property for {{calcValues.propertyValue | currency:'£ '}} After paying off the outstanding mortgage of {{calcValues.outstandingMortgage | currency:'£ '}}, A and B are left with equity of {{calcValues.equity | currency:'£ '}} a loss of {{calcValues.equity*-1 | currency:'£ '}} to be split among themselves.
Besides the deposit, they have also paid {{calcValues.stampDuty | currency:'£ '}} in stamp duty, not to mention other fees which need to be accounted for.
The property is now worth {{calcValues.propertyValue | currency:'£ '}}. A and B are in negative equity. The amount they owe is greater than the property's value. The property has increased in value, making it a larger collateral. The property has decreased in value, making it a smaller collateral.
The outstanding mortgage is the same at reduced to increased to {{calcValues.outstandingMortgage | currency:'£ '}}.
A and B remortgage for {{calcValues.outstandingMortgage | currency:'£ '}} with a new LTV of {{calcValues.newLTV | percentage:2}}. They now effectively own more of the property, making the LTV lower. They now own less of the property, making the LTV higher.
The property is now worth {{calcValues.propertyValue | currency:'£ '}}. A and B are in negative equity. The amount they owe is greater than the property's value. The property has increased in value, making it a larger collateral. The property has decreased in value, making it a smaller collateral.
A wants to buy out B's share and take over the whole mortgage. A will pay {{calcValues.equityB | currency:'£ '}} equity to B to buy out B. B will pay {{(calcValues.equityB*-1) | currency:'£ '}} equity to A to buy themselves out.
A's new mortgage of {{calcValues.newMortgageA | currency:'£ '}} is the outstanding mortgage {{(calcValues.equityB > 0) ? 'plus' : 'minus'}} the buyout for B's share. A remortgages for {{calcValues.newMortgageA | currency:'£ '}} with a new LTV of {{calcValues.newLTVa | percentage:2}}
After B deducts their deposit of {{(calcValues.depositB) | currency:'£ '}} from B's equity of {{(calcValues.equityB) | currency:'£ '}}, B has {{(calcValues.netEquityB) | currency:'£ '}} net equity – a loss. B has {{(calcValues.netEquityB) | currency:'£ '}} net equity – a profit. B has {{(calcValues.netEquityB) | currency:'£ '}} net equity – breaking even.
The property is now worth {{calcValues.propertyValue | currency:'£ '}}. A and B are in negative equity. The amount they owe is greater than the property's value. The property has increased in value, making it a larger collateral. The property has decreased in value, making it a smaller collateral.
B wants to buy out A's share and take over the whole mortgage. B will pay {{calcValues.equityA | currency:'£ '}} equity to A to buy out A. A will pay {{(calcValues.equityA*-1) | currency:'£ '}} equity to B to buy themselves out.
B's new mortgage of {{calcValues.newMortgageB | currency:'£ '}} is the outstanding mortgage {{(calcValues.equityA > 0) ? 'plus' : 'minus'}} the buyout for A's share. B remortgages for {{calcValues.newMortgageB | currency:'£ '}} with a new LTV of {{calcValues.newLTVb | percentage:2}}
After A deducts their deposit of {{(calcValues.depositA) | currency:'£ '}} from A's equity of {{(calcValues.equityA) | currency:'£ '}}, A has {{(calcValues.netEquityA) | currency:'£ '}} net equity – a loss. A has {{(calcValues.netEquityA) | currency:'£ '}} net equity – a profit. A has {{(calcValues.netEquityA) | currency:'£ '}} net equity – breaking even.