Affordability

What salary do you need for a £400k mortgage in the UK?

A £400,000 mortgage is a big commitment, and the salary you need depends on how much you’re borrowing, your deposit, your outgoings, and the lender’s affordability rules. As a rough guide, many lenders base borrowing on 4x to 4.5x income, which often puts the required household income in the region of £89,000 to £100,000 for a £400,000 loan. Some applicants can borrow more, but it depends on the full picture.

Will Sharman

Feb 23, 2026

Before we talk numbers, make sure we’re talking about the same “£400k mortgage”

People use “£400k mortgage” in two different ways:

£400,000 mortgage as the loan amount (you borrow £400,000)
£400,000 property price (you buy a £400,000 home, and borrow less than that because you have a deposit)

Most of the salary figures you see online assume the first one, that you’re borrowing £400,000. If you’re actually buying a £400,000 home with a deposit, the mortgage you need may be £320,000 to £380,000, and the salary required can be lower.

In this guide, we’ll cover both, but we’ll start with the most common question, what income you might need if you’re borrowing £400,000.

The quick answer: salary ranges for a £400,000 mortgage loan

Many UK lenders use an income multiple as a starting point, often around 4x to 4.5x your annual income, then they run a full affordability assessment. Some lenders may go higher for certain applicants, but it’s not something you should assume.

Here’s what the maths looks like for a £400,000 loan:

At 4x income: £400,000 ÷ 4 = £100,000
At 4.5x income: £400,000 ÷ 4.5 = £88,889
At 5x income: £400,000 ÷ 5 = £80,000
At 5.5x income: £400,000 ÷ 5.5 = £72,727
At 6x income: £400,000 ÷ 6 = £66,667

So in plain terms:

A lot of households land around £89,000 to £100,000 if the lender is using 4x to 4.5x.
Some applicants may get there on £80,000 to £90,000, but usually only when affordability is strong and the lender’s criteria allow it.
If your outgoings are high, you can earn more than this and still be offered less.

This is why two people on the same income can get completely different results.

Loan amount vs property price: how deposit changes the mortgage you need

If you’re buying a £400,000 property, you’re probably not borrowing £400,000 unless you have a 0% deposit (which is rare).

Here are a few simple examples for a £400,000 property:

5% deposit (£20,000): mortgage needed £380,000
10% deposit (£40,000): mortgage needed £360,000
15% deposit (£60,000): mortgage needed £340,000
20% deposit (£80,000): mortgage needed £320,000

And if you’re looking at a £450,000 property (which is common when people say “a £400k mortgage”, because the loan plus deposit brings the purchase price up):

10% deposit (£45,000): mortgage needed £405,000
15% deposit (£67,500): mortgage needed £382,500
20% deposit (£90,000): mortgage needed £360,000

The bigger your deposit, the less you need to borrow, and that can make both affordability and rates more comfortable.

If you want a quick sense-check, you can use the MBNM calculator here.

What are typical monthly repayments on a £400k mortgage?

Monthly repayments depend on the rate and the term. Even small rate changes can shift the payment by a noticeable amount.

Below are example repayments for a £400,000 repayment mortgage, to help you picture the ranges people often see. These are examples, not a quote, and your own figures will depend on your rate, fees, and circumstances.

Example 1: 25-year term

Expect higher monthly payments, but you repay the mortgage faster and pay less interest overall.

Example 2: 30-year term

Monthly payments usually drop compared to 25 years, but total interest paid increases.

Example 3: 35-year term

Monthly payments drop again, but you’re paying interest for longer, so total cost can be much higher.

A longer term can help affordability, but lenders still stress-test your ability to pay, and you also need to be comfortable with the long-term cost.

Why the lender may offer less than the “income multiple” suggests

Income multiples are just the starting point. Lenders then run affordability checks, and this is where many applications succeed or fail.

Common reasons borrowing is reduced include:

Childcare costs
Car finance or PCP
Loans and credit card balances
Student loan deductions
High regular spending and commitments
Dependents
Maintenance payments
Existing mortgage or rent commitments
Variable income that is not accepted in full

Even if your salary looks high enough on paper, heavy monthly commitments can bring the available mortgage down.

If you’re buying your first home, it’s worth reading this alongside the first-time buyer service page.

Real-world salary scenarios for a £400k mortgage

These examples show how the “same mortgage” looks different depending on the household.

Scenario A: Single applicant on £95,000 with low outgoings

If you have a strong deposit, minimal debt, and stable income, you may be closer to the 4.5x end of the range. In some cases, that can support a £400,000 loan, depending on the lender and your affordability assessment.

Scenario B: Joint applicants on £55,000 and £45,000

A combined income of £100,000 often looks strong for a £400,000 loan on income multiple alone. But affordability still matters. If you have childcare, car finance, or multiple credit commitments, the amount offered can drop.

Scenario C: £80,000 salary with bonus or commission

Some lenders will use bonus and commission income, but often they look for a track record and may only use a percentage of it. If your basic salary is £80,000, whether you can reach £400,000 borrowing depends on how the lender treats your variable income and your outgoings.

Scenario D: Self-employed, director salary plus dividends

For company directors, lenders usually look at salary and dividends, and sometimes net profit, depending on the lender. A strong set of accounts and consistent earnings can help, but the “headline income” is not always assessed the same way across lenders. This is a common area where lender choice makes a big difference.

How to improve your chances of being approved for a £400k mortgage

If you’re slightly short, or you’re unsure how a lender will view your case, there are practical steps that can help:

Reduce unsecured debt where possible (especially credit cards)
Avoid taking out new finance close to applying (car finance, loans, new credit cards)
Keep bank statements clean for a few months so spending looks consistent and manageable
Check your credit file for errors and make sure you’re on the electoral roll
Consider your mortgage term carefully (a longer term can improve affordability, but you should be comfortable with the long-term cost)
Build the deposit if you can because it can improve both affordability and rates

7) How a mortgage broker can help with a £400k mortgage

When you’re borrowing £400,000, small differences in lender criteria can matter a lot.

A broker can help by:

Matching you with lenders that suit your income type (basic salary, overtime, bonus, self-employed)
Factoring in your outgoings realistically, before you apply
Helping you present the case properly, especially for variable income or self-employed applicants
Avoiding wasted applications with lenders that are unlikely to accept your situation

If you’re weighing up whether to go straight to your bank, this is a useful read: Broker Vs Bank

Next steps: a simple way to know where you stand

If you’re aiming for a £400,000 mortgage, start with three quick checks:

Are you talking about a £400,000 loan, or a £400,000 property?
Do your monthly commitments support the borrowing, not just your salary?
Is your deposit putting you in a comfortable loan-to-value range?

If you want a quick sense-check before you apply, MBNM can talk it through with you remotely and help you understand what’s realistic based on your full situation. Support is provided by phone, email or WhatsApp, so you can get clarity without needing to visit an office.

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