How do I calculate home equity?

Home equity is the current market value of the property minus the outstanding mortgage balance. If you are selling, you should also subtract estate agent and legal costs to estimate net proceeds.

Why does my current LTV matter?

A lower loan-to-value ratio usually unlocks better remortgage pricing because the lender is taking less risk relative to the property value.

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Home equity

UK Home Equity Calculator

See exactly how much of your home you own today versus how much the bank still has a claim on. Plan a refinance or sale with full visibility of net proceeds and current LTV.

1. Property values

Purchase price (when bought)

Current market value

Deposit you put down (20.0%)

2. Mortgage details

Original term (years)

Interest rate (APR)

Years you've owned

3. Optional adjustments

Monthly overpayment made

Lump-sum overpayment made

Selling costs (agent + legal)

Your home equity today

£149,141

41.4% of current value · Current LTV 58.6%

You vs the bank

41%

yours

Your equity£149,141

Bank's claim£210,859

If you sold today

Sale price£360,000

Pay off mortgage− £210,859

Selling costs (2.5%)− £9,000

Net cash to you£140,141

Outstanding mortgage

£210,859

Principal repaid

£29,141

Appreciation gain

£60,000

Refinance outlook

Current EMI

£1,334.00/mo

Likely lender LTV band

60% LTV — best rates

Lower LTV usually unlocks better rates. If your equity has grown, remortgaging when your fix ends could meaningfully cut your monthly payment.

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