Wondering how much you’ll pay per month on a £670k 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 £670k 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 £670k mortgage will likely vary between £3,920 and £4,737 per month.
Interest Rate | Monthly Repayments |
5% | £3,920 |
5.5% | £4,114 |
6% | £4,315 |
6.5% | £4,523 |
7% | £4,737 |
How Much Do I Need To Earn For A £670k 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 £134,000 and £223,333 to afford a £670k mortgage.
Income Multiple | Required Salary |
3X | £223,333 |
3.5X | £191,429 |
4X | £167,500 |
4.5X | £148,889 |
5X | £134,000 |
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% | £134,383 |
5.5% | £141,045 |
6% | £147,936 |
6.5% | £155,057 |
7% | £162,408 |
How Much House Can I Afford With A £670k 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 £670k mortgage.
Deposit Percentage | Deposit Amount | Maximum House Purchase Price |
10% | £74,444 | £744,444 |
20% | £167,500 | £837,500 |
30% | £287,143 | £957,143 |
40% | £446,667 | £1,116,667 |
50% | £670,000 | £1,340,000 |
How Much Stamp Duty Will I Pay On A House With A £670k 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 |
£744,444 (10% Down) | £24,722 |
£837,500 (20% Down) | £29,375 |
£957,143 (30% Down) | £36,964 |
£1,116,667 (40% Down) | £52,917 |
£1,340,000 (50% Down) | £75,250 |
Other Mortgage Amounts:
£680k Mortgages
£690k Mortgages
£700k Mortgages
£710k Mortgages
£720k Mortgages