Monthly repayment and total interest on a capital and interest loan.
This calculator is a guide only. It assumes a constant interest rate and does not include arrangement fees, valuation costs, legal fees or early repayment charges, all of which affect the real cost of borrowing. It is not a quotation and does not constitute an offer of finance.
Reading the result
The monthly figure is what most people focus on and the total interest figure is the one that matters. Extending the term always reduces the monthly payment and always increases the total interest. Try it and see how much.
On a practice purchase this is not academic. Goodwill is funded over a shorter term than property, so a transaction combining both has two figures rather than one. Two offers with identical rates can produce very different monthly costs depending on how that split is termed.
See dental goodwill valuation for why the term structure matters more than the rate.
Typical rates as a starting point
- Secured practice purchase lending: generally the cheapest option, priced against the security
- Goodwill lending: priced above property-secured borrowing and over a shorter term
- Unsecured professions loans: from around 8%, £30,000 to £500,000, growth facilities to £2m
- Short-term and bridging: priced monthly and materially higher. See bridging finance
Related: practice purchase finance and business loans.
All figures are indicative and subject to lender assessment, your circumstances, valuation and prevailing market conditions. Commercial mortgages and unregulated bridging loans are not regulated by the Financial Conduct Authority. Property offered as security may be at risk if you do not keep up repayments.