How much can I borrow for a mortgage?
Most UK lenders start with your income and multiply it. The typical range is 4 to 4.5 times your yearly income before tax, or the combined income of two applicants. Some lenders go up to 5 or 5.5 times for higher earners, certain professions or first-time buyer schemes. This calculator multiplies your income by the figure you choose, then adds your deposit to show the price of property you could buy.
Property budget = mortgage + deposit
Loan-to-value (LTV) = mortgage ÷ property price
Worked example: one income of £40,000
With a £40,000 salary and a £30,000 deposit:
| Multiple | Borrow | Property price | LTV |
|---|---|---|---|
| 4 × | £160,000 | £190,000 | 84.2% |
| 4.5 × | £180,000 | £210,000 | 85.7% |
| 5 × | £200,000 | £230,000 | 87.0% |
| 5.5 × | £220,000 | £250,000 | 88.0% |
At 4.5 times income, a £180,000 mortgage over 25 years at 4.5% costs about £1,000 a month. If the rate were 3 points higher, at 7.5%, it would be about £1,330.
Joint mortgage example
Two buyers earning £40,000 and £30,000 have a combined income of £70,000. At 4.5 times that's £315,000. With a £50,000 deposit they could look at homes up to around £365,000, with monthly payments of about £1,751 at 4.5% over 25 years.
Lenders also stress-test what you can afford
An income multiple is only the starting point. Under Financial Conduct Authority rules, lenders must check that the mortgage is affordable. They look at:
- Your outgoings: bills, childcare, travel and everyday spending, usually from your bank statements.
- Existing debts: car finance, loans, credit cards and student loan repayments all reduce what you can borrow.
- A stress test: lenders check you could still afford the payments if interest rates rose. Each lender sets its own stress rate, which is why one may offer you far more than another.
- Your credit file: missed payments or defaults can limit you to fewer lenders or higher rates.
The Bank of England also limits how much lending each lender can do at 4.5 times income or more, to 15% of its new mortgages. That's why higher multiples are rationed and often reserved for applicants with bigger incomes or deposits.
Why your deposit matters
Your deposit sets your loan-to-value, which drives the interest rate you're offered. Rates generally improve at each 5% step, with the best deals from around 60% LTV. Most lenders need at least a 5% deposit. Remember to budget separately for stamp duty, solicitor's fees, surveys and moving costs.
Tips to borrow more (or borrow better)
- Pay down credit cards and loans before applying, and avoid new credit in the months before.
- Register on the electoral roll and check your credit file for errors.
- A longer term can raise what you can borrow, but it increases the total interest. Check the cost on the mortgage calculator.
- A mortgage broker can match you to lenders that suit your income type, especially if you're self-employed or rely on bonuses.
- Get an agreement in principle before house hunting. It shows sellers you're serious and confirms roughly what a lender will offer.
Make sure the payment fits your actual take-home pay, not just the lender's maximum. The take-home pay calculator shows what you'll have each month.
Frequently asked questions
How much can I borrow on a £30,000 salary?
Most lenders would offer between £120,000 (4 times) and £135,000 (4.5 times) on a £30,000 salary. A few lenders go up to 5.5 times, or £165,000, depending on your outgoings and credit record.
How much can I borrow on a £50,000 joint income?
At 4 to 4.5 times income, a combined £50,000 could support a mortgage of £200,000 to £225,000. Add your deposit to that to get your property budget.
Do lenders use gross or net income?
Lenders base income multiples on your gross income before tax. They then use your actual outgoings and take-home pay to check the payments are affordable.
What is a stress test on a mortgage?
It's a check that you could still make the payments if interest rates rose. Each lender sets its own stress rate under FCA rules, which is one reason different lenders offer different amounts.
What deposit do I need to buy a house?
Most lenders need a deposit of at least 5% of the price, so £12,500 on a £250,000 home. A 10% to 15% deposit gives you access to noticeably cheaper rates.
Last reviewed October 2026 using 2026/27 figures. This calculator gives an estimate for guidance only.