Use the calculator
Important: this is a rough guide only. Lenders decide how much to lend after assessing your income, spending, debts, credit history and the property. The amount you are offered may be lower or higher.
How this calculator works
Many lenders start by looking at how many times your income they would be willing to lend. This calculator uses that idea to give a quick first estimate:
- It adds together the gross annual income of up to two applicants.
- It multiplies that by the income multiple you choose, giving an estimated maximum loan.
- It adds your deposit to give an estimated maximum purchase price.
- It shows the loan to value (LTV): the loan as a percentage of that price.
The default multiple is 4.5 times, which is the point the Bank of England uses to define "high loan to income" lending. Across the market, the share of new mortgages at or above 4.5 times income is limited, so many borrowers are offered less than that. Some lenders offer higher multiples to certain applicants, for example with higher incomes or larger deposits.
Worked examples
All results were produced by this calculator.
Example 1: single applicant, £35,000 income, £20,000 deposit
At 4.5 times income the estimated loan is £157,500, giving a maximum price of about £177,500 and an LTV of 88.7%. Using the mortgage repayment calculator, £157,500 over 25 years at 4.75% would cost about £897.93 a month.
Example 2: joint applicants, £40,000 and £30,000, £30,000 deposit
Combined income is £70,000. At 4.5 times the estimated loan is £315,000 and the price range is up to £345,000, with an LTV of 91.3%. Over 30 years at 4.75%, £315,000 would cost about £1,643.19 a month, so it is worth checking this against the household's budget.
Example 3: a more cautious multiple
A single applicant on £52,000 with a £60,000 deposit, using 4 times income, gets an estimated loan of £208,000 and a price range up to £268,000, with an LTV of 77.6%. A lower LTV can give access to a wider choice of mortgage rates.
Figures used
| Item | Value used | Source |
|---|---|---|
| High loan to income threshold | 4.5 times income | Bank of England (PRA) |
| Income multiples offered by this calculator | 4, 4.5, 5 or 5.5 times | User choice, for comparison only |
| Loan to value | Loan ÷ (loan + deposit) | Standard definition |
Assumptions and what this calculator does not cover
- Not a lender decision: lenders carry out a detailed affordability assessment, including your regular spending, debts, dependants and how the payment would look if rates rose. This calculator does none of that.
- Debts and commitments: loans, credit cards, car finance, childcare and student loan repayments can reduce what you can borrow. They are not deducted here.
- Type of income: lenders may treat bonuses, overtime, self-employed profits and benefits differently from basic salary.
- Deposit and LTV limits: lenders set a maximum LTV for each product. The calculator does not check whether a product is available at your LTV.
- Buying costs: Stamp Duty, legal and survey fees and moving costs are not included and usually need to be paid from savings.
- Schemes: shared ownership and other schemes use their own rules.
Before you rely on the figure
An income multiple tells you what might be possible, not what is comfortable. Use the mortgage repayment calculator to see the monthly cost at a realistic rate, then test it at a rate one or two percentage points higher. If you are buying in England or Northern Ireland, add Stamp Duty from the Stamp Duty calculator. First-time buyers saving for a deposit may also want to read about the Lifetime ISA and affordable home ownership schemes on GOV.UK, and our guide to how much to save each month. For advice on your own situation, speak to a qualified mortgage adviser.
Frequently asked questions
How many times my salary can I borrow?
Many lenders use around 4 to 4.5 times income as a starting point, and some offer more to certain applicants. The amount you are actually offered depends on a full affordability assessment.
What does "high loan to income" mean?
The Bank of England defines a high loan to income mortgage as one at or above 4.5 times the borrower's income, or joint income. The share of new mortgages at that level is limited across the market.
Does a bigger deposit help?
A bigger deposit lowers the amount you need to borrow and your loan to value, which can give you access to more mortgage deals. It does not usually change the income multiple a lender will use.
Do debts reduce how much I can borrow?
Usually yes. Lenders take regular commitments such as loans, credit cards and car finance into account, which can reduce the amount they will lend.
Is this calculator a mortgage agreement in principle?
No. An agreement in principle comes from a lender after it has checked your details. This calculator is an estimate only.
Sources
- Bank of England (PRA): High loan to income lending policy statement, October 2026
- Bank of England: Interest rates and Bank Rate
- GOV.UK: Stamp Duty Land Tax – residential property rates
- GOV.UK: Affordable home ownership schemes
- GOV.UK: Lifetime ISA
Rates for tax year 2026/27, last reviewed October 2026.
Results are estimates for planning, not financial or tax advice. See our terms and methodology.