Mortgage calculator

As mortgage rates soar, homeowners with spare cash will ask if they should overpay their mortgage, save or invest the money.

We explain what you need to know and our calculator can help you work out the cost of buying your home Basic-rate tax relief, for instance, adds 25% to the value of your pot, and for higher-rate taxpayers there is an even larger boost. We explain which deals, how it could affect you - and what you can do She was previously editor of Times Money Mentor, and prior to that was deputy Money editor at The Sunday Times. - Regularly compare your mortgage rate and savings rate, especially if there’s a big movement with either of them. Check your mortgage balance online or give your lender a call to check how much you can overpay penalty-free. Because once a mortgage overpayment is made, you normally lose access to that money.” That way, you’ll benefit from cutting the amount of interest you owe and becoming mortgage-free quicker. It also has the psychological benefit of putting you one step closer towards achieving the financial milestone of owning your own home outright.” Or is it better to save or invest the money instead? For example, if you have £10,000 in a savings account paying 2% interest, you’ll earn £200 a year. [Interest rates have hit 2.25%](https://www.themoneyedit.com/banking/interest-rates-rise-2-25-per-cent) - and are expected to rise further to 5% - while the average two-year mortgage rate has breached 6% for the first time in 14 years.