Buying a home is an exciting milestone, but one of the biggest questions on every buyer’s mind is: How much mortgage can I get?
Whether you’re a first-time buyer, moving home, or investing in property, understanding your borrowing potential is key to planning your purchase.
In this guide, we’ll break down what affects your mortgage affordability, how to calculate your borrowing power, and how much you might need for a deposit.
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How Do Lenders Decide How Much You Can Borrow?
Mortgage lenders assess a variety of factors to determine how much you can borrow, including:
✅ Your Income – The higher your salary, the more you may be able to borrow. Most lenders offer between 4 to 4.5 times your annual income as a general rule.
✅ Your Outgoings – Monthly expenses like loans, credit card payments, and childcare costs will impact affordability.
✅ Your Credit Score – A strong credit score can open up better mortgage deals and increase your borrowing potential.
✅ Your Deposit – The bigger the deposit, the less you need to borrow, which could also mean better interest rates.
✅ The Type of Mortgage – Different types of mortgages (e.g., residential, buy-to-let, guarantor mortgages) have different borrowing criteria.
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How Much Mortgage Can I Get Based on My Income?
While mortgage affordability varies by lender, a rough guide is:
• £30,000 salary → Borrow between £120,000 - £135,000
• £40,000 salary → Borrow between £160,000 - £180,000
• £50,000 salary → Borrow between £200,000 - £225,000
• £60,000 salary → Borrow between £240,000 - £270,000
• £70,000 salary → Borrow between £280,000 - £315,000
If you're applying as a couple, lenders will consider your combined household income, which increases the borrowing potential.
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How Much Deposit Do You Need to Buy a House?
The minimum deposit required is typically 5% of the property price. However, a larger deposit means:
✔️ Lower monthly payments
✔️ Access to better mortgage rates
✔️ Increased borrowing options
Example Deposits for Different House Prices:
• £200,000 home → £10,000 deposit (5%)
• £300,000 home → £15,000 deposit (5%)
• £400,000 home → £40,000 deposit (10%)
If you’re buying a buy-to-let property, lenders often require a minimum 25% deposit.
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How to Know If You Can Afford a House
Before committing to a mortgage, consider these key factors:
🔹 Your Monthly Repayments – Can you comfortably afford the payments alongside other bills?
🔹 Your Savings – Do you have enough for a deposit, legal fees, and moving costs?
🔹 Your Job Stability – Is your income steady enough to cover repayments long-term?
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What If You Need Help Buying a House?
If you’re struggling with the upfront costs of homeownership, you may be eligible for:
🏡 Government Schemes – Shared Ownership, Help to Buy, or First Homes Scheme.
🏡 Guarantor Mortgages – A family member can help secure a mortgage with their income.
🏡 Low-Deposit Mortgages – Some lenders offer 95% mortgages, meaning you only need a 5% deposit.
💡 Tip: Speak to an independent mortgage broker (like us!) to explore your best options and maximise your borrowing potential.
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Check How Much You Can Borrow Today
Every mortgage application is unique, and lenders assess affordability differently. If you’re wondering "How much mortgage can I get?", the best step is to get personalised advice.
🔹 Book a free consultation with our team at Chetwood Lloyd Mortgages.
🔹 Let’s find the best mortgage for you – fee-free and stress-free!
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