UK House Price Affordability Calculator
How to Use This Calculator
Use the asking price or agreed sale price.
Use combined gross annual income for joint purchases — most lenders will lend 4-4.5x joint income.
The larger the deposit, the better the mortgage rate available (5%, 10%, 15%, 20%+ are key thresholds).
Income multiple, deposit %, and monthly repayment as % of income are the key lender assessment criteria.
Frequently Asked Questions
How much will banks lend me?
Most UK mortgage lenders apply income multiples of 4 to 4.5 times annual gross income. Some specialist lenders offer up to 5x or even 5.5x for professional borrowers. The cap is usually lower for higher loan-to-value (LTV) borrowing.
What's the minimum deposit for a mortgage?
The absolute minimum is 5% (95% LTV). However, 10% deposit gives access to far more lenders and better rates. The best rates are typically at 60-75% LTV (25-40% deposit).
What is a good income multiple for affordability?
Most financial advisers suggest keeping mortgage debt below 4x household income as a rule of thumb. The monthly payment should not exceed 28-35% of gross monthly income.
How does the stress test work?
Lenders must check you can still afford repayments if interest rates rise by typically 3% above the initial rate. This is why lenders sometimes offer less than the income multiple suggests — they're testing affordability at a higher rate.
What are average UK house prices by region?
UK average prices vary enormously: London ~£500,000+, South East ~£380,000, East England ~£330,000, South West ~£320,000, East Midlands ~£250,000, West Midlands ~£255,000, Yorkshire ~£220,000, North West ~£220,000, North East ~£165,000 (2025 estimates).
Does the Mortgage Guarantee Scheme still exist?
The UK Mortgage Guarantee Scheme (supporting 95% LTV mortgages) was extended to June 2025. Check gov.uk for the latest status. Many lenders now offer 95% LTV products without the scheme.
Can I get a joint borrower sole proprietor mortgage?
Yes — some lenders allow a parent to be on the mortgage (boosting income assessed) while the property is owned solely by the child. This helps first-time buyers in expensive areas but has SDLT implications.
What other costs should I budget for?
Beyond the deposit: SDLT (stamp duty), survey costs (£300-£1,500), solicitor fees (£1,500-£3,000), mortgage arrangement fee (£0-£2,000), buildings insurance, and removal costs. Budget for at least £5,000-£10,000 in purchase costs.
Official Sources & References
Data verified against official UK government sources. Last checked April 2026.