A second property in England or Northern Ireland
Every mainstream calculator answers what a lender will lend. Below is the other question, worked through for someone buying an additional property in England or Northern Ireland: which of the three limits runs out first, what is still theirs each month once the payment goes out, and what changes when the fixed rate ends and they take a new one.
Two incomes, keeping the home they already own, and buying a second one out of savings rather than by selling.
- Household income
- £130,000
- Take-home, combined
- £7,550 a month
- Living costs
- £3,600 a month
- Saving they intend to keep
- £800 a month
- Savings toward the deposit
- £110,000
- Maximum loan to value
- 75%
£331,400
£1,437 a month over 25 years at 4.89%
£1,757
23% of take-home, up from 19%, on a new deal at 7.00%
The limit they meet is their deposit — not the other two. At that price £1,463 a month is still theirs, with the £800 saving going out on top of it.
Cutting the saving would not raise this figure: their deposit limits the loan before the monthly payment does, so money freed up each month buys no more house — which means the saving is theirs to keep. That is the case a calculator built around a lender's maximum cannot show you, because it never asks what the saving was for.
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Stamp Duty Land Tax in England or Northern Ireland
SDLT · verified 13 August 2026
Stamp Duty Land Tax is the original of the three. Scotland replaced it in 2015 and Wales in 2018, so the rates below apply in England and Northern Ireland only.
On the £331,400 above, the tax is £23,143 — and it comes out of the same cash as the deposit rather than being borrowed, which is why it lowers the price this household can reach rather than simply being a bill at the end.
- up to £125,0000%
- up to £250,0002%
- up to £925,0005%
- up to £1,500,00010%
- above that12%
An additional property adds 5% of the whole price on top of the rates above — not of the slice above a threshold, but of the entire purchase, from the first pound.
The same household, priced elsewhere
Identical income, identical savings, identical monthly costs — only the region changes. The gap is the tax regime, and for someone buying an additional property it is worth this much:
Rates from the Bank of England quoted household interest rates, two-year fixed, as at 31 July 2026. Purchase tax verified 13 August 2026.
Other situations in England or Northern Ireland
This describes what happens to one illustrative set of figures. It is not advice, not a personal recommendation and not a mortgage illustration. A lender will run its own affordability assessment and may lend more or less than the figure above.
Work it out with your own figures