Property & Landlord2 min check

Buy-to-Let Cost Calculator

Build a realistic running-cost picture for a single BTL — including void provision, repairs and tax.

Short answer

Annual BTL costs typically include mortgage interest (~50–60% of rent), insurance (£200–£400), agent fees (10–15% if managed), maintenance (1–2% of property value), gas safety + EPC + EICR, and ground rent / service charge if leasehold. Allow ~30–40% of rent for non-mortgage costs.

Step 1 of 20%

Calculation method, coverage and version

Inputs used: Monthly rent, Void allowance, Monthly mortgage interest, Letting agent fees (% of rent), Annual insurance, Annual repairs / maintenance, Annual compliance (gas, EICR amortised, licence), Marginal income tax band, Held in.
Calculation approach: The calculator applies the rules and assumptions described in “How it works” to the values you enter. Rounding can cause small differences from an official or provider calculation.
Coverage: Property & Landlord. UK nations, tax treatment, local rules and provider criteria can differ; check the official sources shown below before acting.
Content version: No page-specific review date is currently published. Treat the result as indicative and verify current rules independently.

Not included unless explicitly requested: personal circumstances not entered, provider discretion, future rule changes, professional fees and case-specific exceptions. Read the full calculator methodology.

Primary sources and official verification

Use these official sources to verify current rules before acting. Coverage and dates can differ across England, Scotland, Wales and Northern Ireland.

See the sitewide source policy.

How it works

We tally every recurring landlord cost into a single annual figure, then express net cashflow against rent. Section 24 means individual landlords get only a 20% tax credit on mortgage interest — not full deduction — so high-rate taxpayers pay tax on revenue, not profit.

Worked example

£200k flat, £950/m rent (£11,400/y), interest-only mortgage at £350/m → £4,200 interest, £350 insurance, £100/m service charge, £1,140 management, £600 maintenance, £100 gas safety. Costs: ~£10,790. Pre-tax cashflow £610. After S24 tax: often loss for HR taxpayer.

Who should use this

•Prospective landlords stress-testing a deal
•Existing landlords reviewing profitability
•People comparing personal vs Ltd Co structures

Common mistakes

×Ignoring Section 24 — pre-2017 spreadsheets dramatically overstate profit
×No void / arrears budget
×Forgetting one-off licensing (HMO, selective)
×Underestimating wear & tear on furnished lets

Frequently asked questions

Are mortgage interest costs deductible?▾

Not for individual landlords — replaced by a 20% tax credit since 2020. Ltd Co landlords still deduct fully.

What insurance do I need?▾

Buildings (mandatory if mortgaged), landlord liability, optional contents and rent guarantee.

Do I need an EICR?▾

Yes — every 5 years in England, and at every change of tenancy if expired.

Related calculators

Rental Yield →BTL Stress Test →Landlord Compliance →EPC Duty →