How much can I borrow?
Most UK lenders cap borrowing at about 4 to 4.5 times household income. Some offer up to 5.5 times for higher earners or certain professions. They also run an affordability check on your spending, debts and a stress-tested rate.
| Household income | 4x | 4.5x | 5.5x |
|---|---|---|---|
| £40,000 | £160,000 | £180,000 | £220,000 |
| £60,000 | £240,000 | £270,000 | £330,000 |
| £80,000 | £320,000 | £360,000 | £440,000 |
| £100,000 | £400,000 | £450,000 | £550,000 |
Monthly payments by loan size
Repayment mortgage over 25 years.
| Loan | 4% | 4.5% | 5% |
|---|---|---|---|
| £150,000 | £791.76 | £833.75 | £876.89 |
| £250,000 | £1,319.59 | £1,389.58 | £1,461.48 |
| £350,000 | £1,847.43 | £1,945.41 | £2,046.07 |
| £500,000 | £2,639.18 | £2,779.16 | £2,922.95 |
Repayment or interest only?
With a repayment mortgage you clear the loan by the end of the term. With interest only, payments are lower but you still owe the full loan at the end, so you need a plan to repay it. Interest-only is common for buy-to-let.
Loan to value (LTV)
LTV is the loan as a share of the property value. A 10% deposit means 90% LTV. Lower LTV usually gets better rates, with big steps at 60%, 75%, 85% and 90%.
Frequently asked questions
How much is a £200,000 mortgage per month?
At 4.5% over 25 years, a £200,000 repayment mortgage costs about £1,111.66 a month.
How much deposit do I need?
The minimum is usually 5%, but 10% or more gives you access to better rates.
Is this calculator accurate?
It uses the standard repayment formula lenders use. Your actual offer depends on fees, credit checks and the product.
Looking for a home in London?
Homes for saleTo rentThis calculator gives an estimate for guidance only. It is not financial or tax advice. Check the figures with your solicitor, mortgage broker or HMRC before you commit.