Wondering how much you’ll pay per month on a £970k 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 £970k 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 £970k mortgage will likely vary between £5,675 and £6,858 per month.
| Interest Rate | Monthly Repayments |
| 5% | £5,675 |
| 5.5% | £5,956 |
| 6% | £6,247 |
| 6.5% | £6,548 |
| 7% | £6,858 |
How Much Do I Need To Earn For A £970k 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 £194,000 and £323,333 to afford a £970k mortgage.
| Income Multiple | Required Salary |
| 3X | £323,333 |
| 3.5X | £277,143 |
| 4X | £242,500 |
| 4.5X | £215,556 |
| 5X | £194,000 |
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% | £194,554 |
| 5.5% | £204,199 |
| 6% | £214,176 |
| 6.5% | £224,486 |
| 7% | £235,128 |
How Much House Can I Afford With A £970k 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 £970k mortgage.
| Deposit Percentage | Deposit Amount | Maximum House Purchase Price |
| 10% | £107,778 | £1,077,778 |
| 20% | £242,500 | £1,212,500 |
| 30% | £415,714 | £1,385,714 |
| 40% | £646,667 | £1,616,667 |
| 50% | £970,000 | £1,940,000 |
How Much Stamp Duty Will I Pay On A House With A £970k 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 |
| £1,077,778 (10% Down) | £49,028 |
| £1,212,500 (20% Down) | £62,500 |
| £1,385,714 (30% Down) | £79,821 |
| £1,616,667 (40% Down) | £105,750 |
| £1,940,000 (50% Down) | £144,550 |
Other Mortgage Amounts:
£980k Mortgages
£990k Mortgages
£1 Million Mortgages
£1.5 Million Mortgages
£2 Million Mortgages