Mortgage calculator
How much mortgage can I afford?
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You are well on the way to purchasing your own home.
How much mortgage can I afford?
Calculate affordability and loan-to-value ratio here.
Do you have your eyes on a property?
HypoPlus, the Comparis mortgage partner, offers independent and professional support to help you find the right mortgage:
Loan-to-value ratio
With the mortgage, the bank makes it possible to finance the owner-occupied home through debt capital. The loan expresses how much money the bank contributes to the purchase . The affordability ratio is cited as a percentage. For residential property, it is usually a maximum of 80 percent of the market value of the property. The value is also used for the calculation of portability. This means the opposite: you must pay at least 20 percent of the purchase price yourself . At least 10 percent of the equity capital may not come from the pension fund. Further information can be found in the article on the financing of owner-occupied homes . Good to know: The loan for holiday, multi-family or commercial properties is often lower. There you need more equity.
Mortgage affordability
A mortgage must be acceptable to the property owners. This means that with your regular income you must be able to cover the total current costs of the property . The cost may represent at most one third of your gross income even if the interest cost would rise to 4.5 to 5 percent.
Calculate affordability and loan-to-value ratio
You will only receive a mortgage if you meet the sustainability requirements of the mortgage provider. When calculating sustainability, banks use differently strict standards. Some banks calculate sustainability without the income of the spouse.
Calculate sustainability: formula Sum of all current costs / annual household income = sustainability
The current costs consist of:
Calculate affordability: examples
In the case of a loan of over 66 percent, banks usually divide the mortgage into a first and a second mortgage. The interest rate on the second mortgage is higher. You must also amortize the second mortgage. This has an impact on the sustainability calculation. Here two examples to calculate the affordability of a mortgage – one with and one without amortisation.
Example 1: Affordability without repayments (loan-to-value ratio below 66%) | |
|---|---|
Purchase price or bank lending basis | CHF 1,000,000 |
Purchase price or bank lending basis | CHF 1,000,000 |
Deposit | CHF 350,000 |
Mortgage | CHF 650,000 (65% of the purchase price) |
Gross income per year | CHF 150,000 |
Interest costs | CHF 32,500 |
Maintenance costs | CHF 10,000 |
Expenditure per year | CHF 42,500 |
Affordability | 28% (based on an income of CHF 150,000) |
Example 2: Affordability with repayments (loan-to-value ratio above 66%) | |
|---|---|
Value of property | CHF 1,000,000 |
Deposit | CHF 200,000 |
Mortgage | 1. Mortgage of CHF 660,000 |
Gross income per year | CHF 150,000 |
Interest costs | 1. Mortgage of CHF 33,000 |
Repayments | CHF 9,340 |
Maintenance costs | CHF 10,000 |
Expenditure per year | CHF 60,740 |
Affordability | 40% (based on an income of CHF 150,000) |
FAQs on the mortgage calculator
Based on your stated deposit (at least 20 percent) and the gross wage, the mortgage calculator calculates the maximum portability of 33 percent and the maximum possible purchase price.
To do this, you need the market value of the property. Banks usually use their own estimates to determine sustainability. The hedonic pricing method is often used.
Gross income is necessary for the calculation of sustainability. Read more about portability in the upper section.
You need your own funds to finance a property and to calculate its affordability. You can learn more about this topic in the upper section on the loan. You can read about equity in the article on Financing in real estate.
The optimal amount of equity capital depends purely mathematically on the following factors: For a detailed calculation, please contact a mortgage specialist . These numbers aside, you also should consider your own liquidity situation (how fast can you access any assets you have?) and what you are personally comfortable with. It is generally sensible not drain your account completely but leave a cash cushion for emergencies if possible.
One of the monthly costs is the interest you pay on your mortgage. You can calculate this using the agreed mortgage rate (e.g. 1%) and the mortgage amount (e.g. 800,000 francs). In this case, the mortgage interest is 8,000 francs per year or 667 francs per month (800,000 x 1% = 8,000 p.a. and 8,000 / 12 = 667 francs per month). Ancillary costs and expenses must also be taken into account when calculating the overall cost of owning the property. A figure of 0.75-1% of the property's price/value is usually suggested. Depending on the size of the mortgage, the lender may also require an amortization amount (repayment of capital) – usually 1% of the mortgage amount. 1% of the mortgage amount is common. This does not really constitute an actual cost, more a kind of “forced saving”. This is because the amount amortized or repaid is not paid to any third party – it simply increases your equity in the property. For advice, please contact a < a href="https://en.comparis.ch/hypotheken/hypothekarzinsen/ueber-hypoplus"> mortgage specialist .