Buy-to-Let Calculator

The Buy-to-Let calculator analyses the full profitability of a UK rental property — combining gross and net yield with cash flow after mortgage costs, void periods, agent fees, maintenance and tax. It models the post-2020 Section 24 rules where individual landlords no longer deduct mortgage interest from rental income, instead receiving only a 20% basic-rate tax credit. That single change has reshaped buy-to-let economics and made limited-company SPV ownership materially more attractive for higher-rate taxpayers. In 2025/26, BTL mortgage rates sit around 5-6%, the additional-property SDLT surcharge is 5% (up from 3% in April 2025), Scotland's ADS is 8% and Wales's higher-rate LTT adds 5%. On a £250,000 BTL in England, total SDLT is £25,000 — a hefty entry cost that affects break-even. Net yields after Section 24 typically run 2-4% for higher-rate landlords versus 4-6% inside a limited company that fully deducts interest at 19-25% corporation tax. This calculator is for new landlords assessing their first BTL, portfolio landlords stress-testing acquisitions, accidental landlords deciding whether to let or sell, and accountants advising clients on personal vs SPV ownership. It is also useful when reviewing whether an existing property is still earning its keep at current values and 2025/26 mortgage rates. What the calculator does NOT include: Capital Gains Tax on disposal (18% basic / 24% higher rate, £3,000 annual allowance for 2025/26, 60-day reporting), full corporation tax modelling, dividend tax for SPV extraction, refurbishment capital allowances vs revenue repairs, HMO licensing, EPC upgrade costs (new minimum C is expected from 2028), or the impact of the Renters' Rights legislation reforms on Section 21 evictions and rent increases. It is a profitability estimator, not a tax return. Regional notes: BTL tax differs across the UK — Scotland uses LBTT with 8% ADS, Wales uses LTT with a 5% higher-rate surcharge, England and Northern Ireland use SDLT with the 5% additional-property surcharge. Tenancy law also varies (PRT in Scotland, assured shorthold in England). Pair with Rental Yield, Stamp Duty, Capital Gains Tax and Income Tax calculators.