Wondering how much you’ll pay per month on a £4.5 Million 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 £4.5 Million 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 £4.5 Million mortgage will likely vary between £26,325 and £31,815 per month.
| Interest Rate | Monthly Repayments |
| 5% | £26,325 |
| 5.5% | £27,630 |
| 6% | £28,980 |
| 6.5% | £30,375 |
| 7% | £31,815 |
How Much Do I Need To Earn For A £4.5 Million 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 £900,000 and £1,500,000 to afford a £4.5 Million mortgage.
| Income Multiple | Required Salary |
| 3X | £1,500,000 |
| 3.5X | £1,285,714 |
| 4X | £1,125,000 |
| 4.5X | £1,000,000 |
| 5X | £900,000 |
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% | £902,571 |
| 5.5% | £947,314 |
| 6% | £993,600 |
| 6.5% | £1,041,429 |
| 7% | £1,090,800 |
How Much House Can I Afford With A £4.5 Million 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 £4.5 Million mortgage.
| Deposit Percentage | Deposit Amount | Maximum House Purchase Price |
| 10% | £500,000 | £5,000,000 |
| 20% | £1,125,000 | £5,625,000 |
| 30% | £1,928,571 | £6,428,571 |
| 40% | £3,000,000 | £7,500,000 |
| 50% | £4,500,000 | £9,000,000 |
How Much Stamp Duty Will I Pay On A House With A £4.5 Million 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 |
| £5,000,000 (10% Down) | £511,250 |
| £5,625,000 (20% Down) | £586,750 |
| £6,428,571 (30% Down) | £683,179 |
| £7,500,000 (40% Down) | £811,750 |
| £9,000,000 (50% Down) | £991,750 |
Other Mortgage Amounts:
£4 Million Mortgages
£4.5 Million Mortgages
£10 Million Mortgages
£20 Million Mortgages