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Buy-to-Let Stress Test Calculator

Check whether your rental income passes lender stress tests. Most buy-to-let lenders require rent to cover 125-145% of the mortgage at a stress-tested interest rate.

Property & mortgage

£
£
Loan amount£187,500
LTV75.0%
£

Interest rates & criteria

The rate you expect to pay

%

Typically 5.5% — check with your lender

%

Typically 125% (basic rate) or 145% (higher rate)

%

Stress test result

FAILS stress test

Rental coverage at stress rate: 140% (need 145%)

Monthly payment (actual rate)

£703.13

at 4.5%

Monthly payment (stress rate)

£859.38

at 5.5%

Monthly rent£1,200
Rental coverage (actual)171%
Rental coverage (stress)140%

Minimum rent to pass

£1,246/mo

£14,953/year

Max borrowing at this rent

£180,564

at 5.5% stress rate

Buy-to-let stress testing explained

What is a stress test? Lenders check whether your rental income would still cover mortgage payments if interest rates rise. They use a "stress rate" (typically 5.5%) regardless of your actual rate.

Rental coverage ratio: Lenders require rental income to exceed the stressed mortgage payment by a margin. This is typically 125% for basic rate taxpayers or 145% for higher rate taxpayers. Some lenders use different ratios.

Why 125% vs 145%? Since Section 24 (mortgage interest restriction), higher rate taxpayers face a bigger tax bill on rental income. Lenders require higher coverage to account for this.

Interest-only: Most buy-to-let mortgages are interest-only. This calculator uses interest-only payments. If you have a repayment mortgage, your actual payments will be higher but the stress test typically still uses interest-only.

Use our mortgage calculator to see full repayment schedules, or our tax calculator to understand Section 24's impact.

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