Wondering how much you’ll pay per month on a £340k 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 £340k 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 £340k mortgage will likely vary between £1,989 and £2,404 per month.
| Interest Rate | Monthly Repayments |
| 5% | £1,989 |
| 5.5% | £2,088 |
| 6% | £2,190 |
| 6.5% | £2,295 |
| 7% | £2,404 |
How Much Do I Need To Earn For A £340k 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 £68,000 and £113,333 to afford a £340k mortgage.
| Income Multiple | Required Salary |
| 3X | £113,333 |
| 3.5X | £97,143 |
| 4X | £85,000 |
| 4.5X | £75,556 |
| 5X | £68,000 |
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% | £68,194 |
| 5.5% | £71,575 |
| 6% | £75,072 |
| 6.5% | £78,686 |
| 7% | £82,416 |
How Much House Can I Afford With A £340k 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 £340k mortgage.
| Deposit Percentage | Deposit Amount | Maximum House Purchase Price |
| 10% | £37,778 | £377,778 |
| 20% | £85,000 | £425,000 |
| 30% | £145,714 | £485,714 |
| 40% | £226,667 | £566,667 |
| 50% | £340,000 | £680,000 |
How Much Stamp Duty Will I Pay On A House With A £340k 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 |
| £377,778 (10% Down) | £6,389 |
| £425,000 (20% Down) | £8,750 |
| £485,714 (30% Down) | £11,786 |
| £566,667 (40% Down) | £15,833 |
| £680,000 (50% Down) | £21,500 |
Other Mortgage Amounts:
£350k Mortgages
£360k Mortgages
£370k Mortgages
£380k Mortgages
£390k Mortgages