Wondering how much you’ll pay per month on a £260k 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 £260k 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 £260k mortgage will likely vary between £1,521 and £1,838 per month.
| Interest Rate | Monthly Repayments |
| 5% | £1,521 |
| 5.5% | £1,596 |
| 6% | £1,674 |
| 6.5% | £1,755 |
| 7% | £1,838 |
How Much Do I Need To Earn For A £260k 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 £52,000 and £86,667 to afford a £260k mortgage.
| Income Multiple | Required Salary |
| 3X | £86,667 |
| 3.5X | £74,286 |
| 4X | £65,000 |
| 4.5X | £57,778 |
| 5X | £52,000 |
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% | £52,149 |
| 5.5% | £54,734 |
| 6% | £57,408 |
| 6.5% | £60,171 |
| 7% | £63,024 |
How Much House Can I Afford With A £260k 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 £260k mortgage.
| Deposit Percentage | Deposit Amount | Maximum House Purchase Price |
| 10% | £28,889 | £288,889 |
| 20% | £65,000 | £325,000 |
| 30% | £111,429 | £371,429 |
| 40% | £173,333 | £433,333 |
| 50% | £260,000 | £520,000 |
How Much Stamp Duty Will I Pay On A House With A £260k 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 |
| £288,889 (10% Down) | £1,944 |
| £325,000 (20% Down) | £3,750 |
| £371,429 (30% Down) | £6,071 |
| £433,333 (40% Down) | £9,167 |
| £520,000 (50% Down) | £13,500 |
Other Mortgage Amounts:
£270k Mortgages
£280k Mortgages
£290k Mortgages
£300k Mortgages
£310k Mortgages