UK Commercial Mortgage Calculator 2026

See What You Can Actually Borrow, Not Just What It Costs

Most calculators only show a monthly payment. Ours also works out your maximum loan using the real affordability tests lenders apply: ICR for investment property and DSCR for trading businesses.

Rates from 5.5%

Up to 75% LTV

From £100k

200+ lenders

Commercial Mortgage Calculator | Westminster Finance
£
Estimated Monthly Payment
£3,728
Capital & interest over 20 years
Total interest£394,720
Total repayable£894,720
Loan to value noteBased on your inputs
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Indicative only. Not a quote or mortgage offer.
£
£
Maximum You Could Borrow
£525,000
Lower of the rental (ICR) limit and the LTV cap
Limited by rental income (ICR)£590,769
Limited by LTV cap£525,000
Implied gross yield8.0%
Your borrowing is capped by the LTV ceiling. A higher rent would not raise it further.
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Indicative ICR test at notional rate. Not a quote.
£
£
Maximum You Could Borrow
£420,000
Lower of the profit (DSCR 1.4x) limit and the LTV cap
Limited by profit (DSCR 1.4x)£958,036
Limited by LTV cap£420,000
Annual debt service£37,577
Your borrowing is capped by the LTV ceiling. The business profit comfortably covers this loan.
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DSCR assumes profit to cover payments by 1.4x. Not a quote.

5.5%

Rates from

75%
Max LTV
200+
UK lenders
£0
Upfront fee
How Lenders Really Decide

Why "How Much Can I Borrow" Beats "What Will It Cost"

Commercial lenders do not use simple income multiples like residential mortgages. They size the loan against the income the property or business produces. Our calculator applies the same two tests they do.

Investment Property: ICR

For property you let out, lenders apply an Interest Coverage Ratio. Your gross rent must cover the annual interest by a set multiple, typically 125% for limited company ownership or 140% for personal ownership, stress tested at a notional rate above the pay rate. The maximum loan is whichever is lower: the ICR figure or the LTV cap.

Trading Business: DSCR

For an owner-occupier buying their own premises, lenders use a Debt Service Coverage Ratio. Your adjusted business profit must cover the annual mortgage payment by roughly 1.4 times. Again, the loan is capped by the lower of the affordability figure and the LTV ceiling on the property value.

2026 Rate Context

Where Commercial Rates Sit Now

The Bank of England base rate sits at 3.75% in 2026, down from the 5.25% peak in 2023, so commercial pricing is materially lower than 18 months ago. Owner-occupied standard cases start around 5.5% to 8%, commercial investment around 6.5% to 9%, and semi-commercial in between.

Use a realistic rate in the calculator for your LTV and property type. The lower your LTV and the stronger your income cover, the better the rate you will be offered.

Manchester & the North West

Built by Manchester Brokers

Westminster Finance arranges commercial mortgages from our office at Manchester Business Park, across Greater Manchester and the wider UK. Commercial property here regularly delivers gross yields of 6% to 10%, which makes the affordability calculation more comfortable and supports stronger borrowing.

When you have a figure from the calculator, send it over and we will pressure test it against current lender appetite from our panel of over 200.

Calculator Questions

Commercial Mortgage Calculator FAQs

How much can I borrow on a commercial mortgage?
It depends on income, not just property value. For investment property, lenders size the loan so your gross rent covers the interest by 125% to 140% (the ICR test). For a trading business, your profit must cover the payment by around 1.4 times (DSCR). The final loan is the lower of that figure and the LTV cap, usually 70% to 75% of the property value. The calculator above works out both.
What is the difference between ICR and DSCR?
ICR (Interest Coverage Ratio) is used for investment property and tests rental income against the interest payment. DSCR (Debt Service Coverage Ratio) is used for trading businesses and tests business profit against the full mortgage payment. Both are affordability stress tests lenders use to size the maximum loan.
What interest rate should I enter?
Use a realistic 2026 figure for your case: around 5.5% to 8% for owner-occupied premises, or 6.5% to 9% for commercial investment, depending on LTV and property type. The calculator is an estimate, so a slightly conservative rate gives a safer result.
Is this calculator a mortgage offer?
No. It is an indicative tool to help you understand likely repayments and borrowing capacity before you approach lenders. Your actual terms depend on the lender, your accounts, the property, and the full underwriting assessment. Send your result to us and we will confirm what is achievable.
What is the minimum commercial mortgage Westminster Finance arranges?
We arrange commercial mortgages from £100,000 upwards across Greater Manchester and the UK. For smaller amounts, other forms of business finance may suit better, and we can advise on the right product.