Wondering how much you’ll pay per month on a £200k Mortgage? Then keep reading to find out how much you’ll pay and what you need to earn.
How Much Will I Pay Per Month On A £200k Mortgage?
The main factor determining how much you’ll pay is your interest rate. Current interest rates for a standard 25 year repayment mortgage are between 5% and 7% in the UK.
This means you’re monthly repayments on a £200k mortgage will likely vary between £1,170 and £1,414 per month.
Interest Rate | Monthly Repayments |
5% | £1,170 |
5.5% | £1,228 |
6% | £1,288 |
6.5% | £1,350 |
7% | £1,414 |
How Much Do I Need To Earn For A £200k Mortgage?
In general most banks and mortgage lenders will let you borrow between 3X and 5X your income with 4X-4.5X being the norm.
This means you’d need to earn between £40,000 and £66,667 to afford a £200k mortgage.
Income Multiple | Required Salary |
3X | £66,667 |
3.5X | £57,143 |
4X | £50,000 |
4.5X | £44,444 |
5X | £40,000 |
Another way to look at how much you’d need to earn is to keep total debt repayments (including mortgage repayments) below 35% of gross (pre-tax) income.
On that basis here is the absolute minimum salary you could earn based on various interest rate scenarios.
Interest Rate | Minimum Safe Salary |
5% | £40,114 |
5.5% | £42,103 |
6% | £44,160 |
6.5% | £46,286 |
7% | £48,480 |
How Much House Can I Afford With A £200k Mortgage?
In most cases it’s no longer possible to get 100% or no deposit mortgages in the UK. Therefore you’ll have to put at least 10% down.
Below we’ve calculated how much house you could afford based on your deposit amount and a £200k mortgage.
Deposit Percentage | Deposit Amount | Maximum House Purchase Price |
10% | £22,222 | £222,222 |
20% | £50,000 | £250,000 |
30% | £85,714 | £285,714 |
40% | £133,333 | £333,333 |
50% | £200,000 | £400,000 |
How Much Stamp Duty Will I Pay On A House With A £200k Mortgage?
Finally, when you buy a house you may have to pay stamp duty. Below we’ve made the calculations on how much you’d pay based on the house prices above.
House Purchase Price | Stamp Duty Owed |
£222,222 (10% Down) | £0 |
£250,000 (20% Down) | £0 |
£285,714 (30% Down) | £1,786 |
£333,333 (40% Down) | £4,167 |
£400,000 (50% Down) | £7,500 |
Other Mortgage Amounts:
£210k Mortgages
£220k Mortgages
£230k Mortgages
£240k Mortgages
£250k Mortgages