Most UK mortgage lenders will offer between 4 and 4.5 times your annual salary, though some will stretch to 5 or even 6 times in certain circumstances.
Here is a quick guide based on salary:
£25,000 salary: mortgage of £100,000 to £112,500 £30,000 salary: mortgage of £120,000 to £135,000 £35,000 salary: mortgage of £140,000 to £157,500 £40,000 salary: mortgage of £160,000 to £180,000 £50,000 salary: mortgage of £200,000 to £225,000 £60,000 salary: mortgage of £240,000 to £270,000 £75,000 salary: mortgage of £300,000 to £337,500 £100,000 salary: mortgage of £400,000 to £450,000
For joint applications, both salaries are typically combined. A couple earning £30,000 each (£60,000 combined) could borrow £240,000 to £270,000.
However, income multiple is only part of the picture. Lenders also assess affordability based on your monthly outgoings, existing debts (credit cards, car finance, student loans), childcare costs, and living expenses.
Your deposit size affects both the amount you can borrow and the interest rate you receive. The key thresholds are 5% (minimum for most lenders), 10% (significantly better rates), 15% (good rates available), and 20% or more (best rates).
The current average mortgage rate in the UK is around 4 to 5 percent for a five-year fix, though this changes frequently. Even a small difference in rate has a huge impact over 25 years.
On a £250,000 mortgage at 4.5% over 25 years, your monthly payment would be approximately £1,390. At 5.5%, it jumps to £1,535 — an extra £145 per month or £1,740 per year.
Use our mortgage calculator to see exact monthly payments for any property price, deposit and interest rate.