UK Mortgage Affordability 2026: How much can I really afford?
See how much you can borrow for a UK mortgage in 2026 - income 4×/4.5×/5× scenarios, SDLT/LBTT/LTT by region, first-time-buyer relief, +3pp stress test.
Shows what 4×, 4.5× and 5× your gross income would let you borrow, the Stamp Duty / LBTT / LTT on the resulting price for your region, and the monthly payment with a +3pp stress test. Lenders also run their own affordability checks on your outgoings, so treat this as a range, not an offer. SDLT, LBTT and LTT bands re-checked against GOV.UK, Revenue Scotland and the Welsh Revenue Authority on 1 October 2026.
Your numbers
Max property price · 4.5× multiplier
£297,500
£247,500 mortgage + £50,000 deposit
- Monthly payment
- £1,376
- Stress (+3pp)
- £1,829
- Property tax
- £0
- Upfront cash
- £50,000
"Upfront cash" = deposit + property-transaction tax. Legal fees, survey and lender fees are not included - add your own quotes.
Multiplier scenarios
Lender decisions vary by credit, job type, existing debt, and outgoings. These three multipliers show the common offer spread:
4.0× · Conservative
£270,000
Lower end: higher outgoings, existing debt or weaker affordability.
4.5× · Standard
£297,500
The Bank of England LTI flow-limit threshold (4.5× and above).
5.0× · Stretch
£325,000
Above the 4.5× threshold, so it counts towards the LTI flow limit; not every lender offers it.
How the numbers are built
The tool chains three calculations:
- Income multiplier — gross household income × 4.0 / 4.5 / 5.0 = max loan. Conservative to stretch.
- Max price = max loan + your deposit.
- Property-transaction tax — SDLT (England & NI), LBTT (Scotland), or LTT (Wales), applied to max-price-at-4.5× with FTB relief where applicable.
The monthly payment uses the standard UK repayment-mortgage formula
M = P × [c(1+c)n] ÷ [(1+c)n − 1]
where c is the monthly rate and n is term-in-months.
The stress-tested figure repeats the calculation at your rate + 3 percentage
points. This is a personal sanity check, not a regulatory figure: the Bank of England's
Financial Policy Committee withdrew its affordability-test recommendation with effect from
1 August 2022, and FCA rule MCOB 11.6.18 now requires each lender to allow for likely rate
rises over at least five years (unless the rate is fixed for five years or more) on its own basis.
Every SDLT, LBTT and LTT band used here was checked against the official publication on 1 October 2026 — see the FAQ below for the exact schedules. Rates can change at UK Budgets and at the Scottish and Welsh Budgets. The tax shown is the main residential rate; it does not include the higher rates for additional properties or non-UK residents.
Worked scenarios: salary x deposit
Pre-computed affordability pages for common UK salary + deposit combinations. Each page covers the 4.0x / 4.5x / 5.0x multiplier table, LTV pricing band, monthly payment vs take-home stretch ratio, and SDLT at the target property price.
- £25,000 + £10,000
- £25,000 + £25,000
- £25,000 + £50,000
- £25,000 + £75,000
- £25,000 + £100,000
- £25,000 + £150,000
- £25,000 + £200,000
- £25,000 + £300,000
- £35,000 + £10,000
- £35,000 + £25,000
- £35,000 + £50,000
- £35,000 + £75,000
- £35,000 + £100,000
- £35,000 + £150,000
- £35,000 + £200,000
- £35,000 + £300,000
- £45,000 + £10,000
- £45,000 + £25,000
- £45,000 + £50,000
- £45,000 + £75,000
- £45,000 + £100,000
- £45,000 + £150,000
- £45,000 + £200,000
- £45,000 + £300,000
- £55,000 + £10,000
- £55,000 + £25,000
- £55,000 + £50,000
- £55,000 + £75,000
- £55,000 + £100,000
- £55,000 + £150,000
- £55,000 + £200,000
- £55,000 + £300,000
- £65,000 + £10,000
- £65,000 + £25,000
- £65,000 + £50,000
- £65,000 + £75,000
- £65,000 + £100,000
- £65,000 + £150,000
- £65,000 + £200,000
- £65,000 + £300,000
- £80,000 + £10,000
- £80,000 + £25,000
- £80,000 + £50,000
- £80,000 + £75,000
- £80,000 + £100,000
- £80,000 + £150,000
- £80,000 + £200,000
- £80,000 + £300,000
- £100,000 + £10,000
- £100,000 + £25,000
- £100,000 + £50,000
- £100,000 + £75,000
- £100,000 + £100,000
- £100,000 + £150,000
- £100,000 + £200,000
- £100,000 + £300,000
- £130,000 + £10,000
- £130,000 + £25,000
- £130,000 + £50,000
- £130,000 + £75,000
- £130,000 + £100,000
- £130,000 + £150,000
- £130,000 + £200,000
- £130,000 + £300,000
- £175,000 + £10,000
- £175,000 + £25,000
- £175,000 + £50,000
- £175,000 + £75,000
- £175,000 + £100,000
- £175,000 + £150,000
- £175,000 + £200,000
- £175,000 + £300,000
- £250,000 + £10,000
- £250,000 + £25,000
- £250,000 + £50,000
- £250,000 + £75,000
- £250,000 + £100,000
- £250,000 + £150,000
- £250,000 + £200,000
- £250,000 + £300,000
Related calculators
Salary Take-Home →
Lenders check affordability against what you take home as well as gross income. See your net pay.
Capital Gains Tax →
Selling a second home or buy-to-let to fund a move? Gains are taxed at 18% or 24%. Work out the tax before offering.
60% Tax Trap →
Between £100,000 and £125,140 the Personal Allowance taper creates a 60% marginal rate. See how pension contributions change it.
Inheritance Tax →
Property is the biggest single estate asset. Check IHT exposure before you buy or gift.
Sources
- HMRC — SDLT residential rates (rates from 1 April 2025, retrieved 1 October 2026)
- Revenue Scotland — LBTT residential rates (rates effective 1 April 2021, retrieved 1 October 2026)
- Welsh Revenue Authority — LTT main residential rates (effective 10 October 2022, retrieved 1 October 2026)
- Bank of England — Bank Rate (3.75%, held 17 September 2026; retrieved 1 October 2026)
- Bank of England — Financial Policy Summary and Record, July 2022 (affordability-test recommendation withdrawn from 1 August 2022)
- Bank of England — Financial Stability Report, July 2025 (LTI flow limit of 15%; individual lenders may exceed it while the aggregate stays within it)
- FCA Handbook — MCOB 11.6 responsible lending (MCOB 11.6.18 interest-rate rises)
Browse mortgage affordability by income
Pre-calculated mortgage affordability for 20 salary levels in 2026/27. 4-4.5× income multiple, stress test at higher rates, deposit + LTV scenarios per salary.
Next steps
Working out the tax is one half of the decision. These cover the other half.
Related calculators
Other UK tax calculators that pair with the Mortgage.
Frequently asked questions
How much can I realistically borrow for a UK mortgage?
Income multiples of around 4 to 4.5 times gross annual income (combined income for joint applications) are common, and some lenders go higher for some borrowers. The Bank of England limits how much lending at 4.5 times income or more the market does in total. The final offer depends on your credit record, existing debt, outgoings and the lender's own affordability test.
What is the 4.5× income cap?
The Bank of England's Financial Policy Committee caps lending at a loan-to-income ratio of 4.5 or more at 15% of new mortgage lending. Following its July 2025 Financial Stability Report, individual lenders may go above 15% as long as the market as a whole stays within the 15% limit. It is a portfolio limit, not a per-borrower rule, so an individual borrower can still be offered 4.5 times income or more.
What is the Stamp Duty Land Tax (SDLT) rate in England and Northern Ireland in 2026?
Main residential rates from 1 April 2025: 0% up to £125,000, 2% on £125,001-£250,000, 5% on £250,001-£925,000, 10% on £925,001-£1.5m, 12% above £1.5m. First-time buyers pay nothing up to £300,000 and 5% on £300,001-£500,000, with no relief if the price is over £500,000. You usually pay 5% on top if you will own more than one home.
What is LBTT in Scotland in 2026?
Scotland's Land and Buildings Transaction Tax (LBTT) residential rates, in force since 1 April 2021: 0% up to £145,000, 2% on £145,001-£250,000, 5% on £250,001-£325,000, 10% on £325,001-£750,000, 12% above £750,000. First-time buyer relief raises the nil-rate threshold to £175,000, a saving of up to £600.
What is LTT in Wales in 2026?
Wales uses Land Transaction Tax (LTT). Main residential rates since 10 October 2022: 0% up to £225,000, 6% on £225,001-£400,000, 7.5% on £400,001-£750,000, 10% on £750,001-£1.5m, 12% above £1.5m. LTT has no separate first-time-buyer relief; the £225,000 nil-rate band applies to every buyer of a main residence.
Why is the stress test at +3pp?
It is a personal sanity check, not a regulatory number. The Bank of England's Financial Policy Committee withdrew its mortgage affordability-test recommendation with effect from 1 August 2022. FCA rule MCOB 11.6.18 still requires lenders to allow for likely interest-rate rises over at least five years (unless the rate is fixed for five years or more), but each lender sets its own stress rate.
What mortgage rate should I use?
Use the rate on a deal you have been quoted if you have one. The tool defaults to 4.5% as an illustration only. Bank Rate was held at 3.75% on 17 September 2026, but mortgage rates are set by lenders and vary with the fixed period, loan-to-value and your circumstances - check a broker or comparison site for live deals.
How much cash do I need upfront beyond the deposit?
Beyond the deposit you will need any property-transaction tax (SDLT, LBTT or LTT), plus legal fees, a survey, any lender arrangement fee, and moving and insurance costs. This tool shows the deposit plus property tax only; get quotes for the rest, as they vary by property and provider.