A clear, real-world breakdown of how much you need to earn to buy a £250,000 home in the UK. This guide explains how lenders calculate affordability, how deposit size affects borrowing, what monthly repayments typically look like, and why location plays a huge role in what £250,000 can buy. Written to help first-time buyers sense-check the numbers before making an offer.
Jan 26, 2026
If you are wondering how much you need to earn to get a £250,000 mortgage in the UK, you are asking the right question.
This is one of the most common points where first-time buyers get stuck. People assume a £250,000 home is out of reach because they look at the price, not how lenders actually assess affordability.
The reality is more straightforward than most people expect.
This guide breaks down:
Most UK lenders work on an income multiple of 4 to 4.5 times your household income, depending on circumstances.
Here is what that looks like in practice.
To borrow £225,000, you would typically need a household income of around £37,000 to £40,000.
That lines up with:
So what gives?
The key point is this: income multiples are not the only factor.
Affordability is based on:
For many buyers with clean finances and no major debts, lenders can comfortably support a £225,000 mortgage on an income around £37,500, especially on a joint application.
If you are a single applicant, the maths changes slightly.
As a rough guide:
This is where a lot of people assume they are priced out, even when they are not.
In many cases, adjusting the deposit or choosing the right lender makes the difference.
Using the example above:
You are looking at around £900 to £1,000 per month, depending on the rate and product.
That is important because in many parts of the UK, especially across the North of England, rent for a similar property is often in the same range or higher.
The difference is where the money goes.
Rent pays someone else’s mortgage.
A mortgage pays down your own.
Massively.
A £250,000 budget means very different things depending on where you are buying.
In many northern towns and cities, that figure can buy:
In higher-priced regions, the same budget may only stretch to a small flat.
This is why national affordability headlines often feel misleading. Lenders care about your income, but buyers should care just as much about local property values.
Income is only part of the picture.
Lenders will also look at:
Two people on the same salary can get very different outcomes depending on how their finances are structured.
This is where buyers often get caught out using online calculators alone.
At Mortgage Brokers Near Me, we do not just plug numbers into a calculator and hope for the best.
We:
Our job is not to push you to borrow the maximum. It is to make sure what you buy works long-term.
Buying your first home is not about hitting an arbitrary price point.
It is about understanding:
A £250,000 home is well within reach for many households earning around £37,500. You just need the right advice before you commit.
If you want a clear answer based on your numbers, not assumptions, that is exactly what we help with. Reach out today and Speak to a mortgage adviser.
This article is for general information only and does not constitute mortgage advice. Mortgage availability is subject to lender criteria, affordability checks, and underwriting. Your home may be repossessed if you do not keep up repayments on your mortgage.
If you’re paid regularly but not officially on PAYE, you’re not alone, and it doesn’t mean a mortgage is out of reach. Many subcontractors are wrongly told their income “doesn’t count” or that they need years of accounts. In reality, some lenders assess subcontracted income based on consistency, average earnings, and contracts, not just how you’re paid. With the right lender and the right advice, your income may go further than you’ve been led to believe.
Read Article
A mortgage deposit is the amount you contribute toward a property purchase before a lender provides the rest. In the UK, deposits usually start from 5%, but the amount you need, where it can come from, and how it must be proven depends on your situation, the lender, and the property type. This guide explains mortgage deposits in plain English, including gifted deposits, proof of funds, common mistakes, and how deposits affect mortgage rates.
Read Article
Buying a home in London can feel like a minefield, especially with rising prices and different types of mortgages available. In this guide, we’ll break it all down for you in plain English. Whether you’re a first-time buyer, landlord, or remortgaging, we’ll walk you through what you need to know to make informed decisions and move forward with confidence. We’ll also share expert tips from our team at Mortgage Brokers Near Me, who’ve helped thousands of clients secure mortgages across the capital.
Read ArticleIf you’re buying, moving, or remortgaging, speak with a MBNM adviser and get clear guidance on what’s realistically available to you, before you commit to anything.
Your Home (or property) may be repossessed if you do not keep up repayments on your mortgage or any other debts secured on it.
Mortgage Brokers Near Me LTD is an Appointed Representative of The Right Mortgage LTD which is authorised and regulated by the Financial Conduct Authority.
The guidance and/or information contained within this website is subject to the UK regulatory regime and is therefore targeted at consumers based in the UK. The Financial Conduct Authority does not regulate Will Writing and some forms of Trusts and Buy to Lets. A fee may be charged for mortgage advice. The exact amount will depend on your circumstances.
Mortgage Brokers Near Me LTD are registered in England and Wales with company number 15189091.
C/O The Financial Management Centre, Meads Business Centre, 19 Kingsmead, Farnborough, England, GU14 7SR
